Case | HBS Case Collection | March 2011 (Revised August 2012)


by Sunil Gupta, Ray Weaver and Dharmishta Rood


On November 4, 2011, Groupon, a marketing services company that promoted local businesses by selling deeply discounted vouchers for their products and services, completed its initial public offering that valued the company at $17 billion. Within a year Groupon's share price tumbled dramatically as the novelty for consumers started to wear off and merchants began to question the value of Groupon for their businesses. Is Groupon good for merchants? What are the future prospects for Groupon?

Keywords: Budgets and Budgeting; Customers; Entrepreneurship; Growth and Development; Marketing Channels; Competitive Strategy; Value Creation;


Gupta, Sunil, Ray Weaver, and Dharmishta Rood. "Groupon." Harvard Business School Case 511-094, March 2011. (Revised August 2012.)