Management > CASE STUDY > Running head: BILLCUTTERZ.COM CASE ASSIGNMENT (All)
Running head: BILLCUTTERZ.COM CASE ASSIGNMENT
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Running head: BILLCUTTERZ.COM CASE ASSIGNMENT Strategic Management MG800 Dr. Roberta Harris Abstract This assignment will dissect Billcutterz.com case study and analyze the findings. I will also ... explain the driving force behind the Five Forces, PESTEL, and SWOT Analysis as well as highlightsome problems and purposes of this analysis; giving some advantages and disadvanges of each problem/purpose. The two articles presented in this case study will support the analytical findings of this case. Introduction BillCutterz.com is a company that was established in May 2009 by founder Barry Gross. This company saves its clients’ 25-35% on their bills. They analyze bills for potential savings by contacting the service provider on the client’s behalf. Then they negotiate the best rates possible for the client’s bills. (BillCutterz.com, 2018) Five Forces • Competitive Rivalry- According to the case study, there is no formal bill negotiation industry, but they do have some indirect competition from Mint.com and Billshrink.com. • Barrier to entry- are extremely limited. Another company would need experienced negotiators who can perform well by providing customer with discounts on their bills. • Power of Buyer: No fee was charged for BillCutterz.com's services unless savings were negotiated on behalf of its customer. Once savings were obtained and the customer had received revised bills from providers, BillCutterz.com would receive one-half of the savingsfor the first year. Customers could elect to pay the fee to BillCutterz.com in a single payment or in 12 equal payments over one year. Customers paying in a single payment received a 10 percent discount on the bill negotiation fee. Service providers usually provided the discount for 12 months, at which time the discount could be renegotiated. (Gamble, Peteraf, Strickland, and Thompson, 2016) [Show More]
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