Teaching Note | HBS Case Collection | November 2012

Groupon (TN)

by Sunil Gupta, Ray Weaver and Yien Hao Lock

Abstract

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: marketing; social networking; media; technology; strategy; Business Growth and Maturation; Marketing Strategy; Marketing; Online Technology; Retail Industry; Service Industry; Technology Industry; North America; United States;

Citation:

Gupta, Sunil, Ray Weaver, and Yien Hao Lock. "Groupon (TN)." Harvard Business School Teaching Note 513-046, November 2012.