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• Case | HBS Case Collection | July 2020 (Revised September 2020)

  Property Finder's Strategy for Online Classifieds in the MENA Region

  Krishna G. Palepu, Gamze Yucaoglu and Fares Khrais

  The case opens in 2020 as Michael Lahyani, founder and CEO of Property Finder, Dubai’s leading online real estate classifieds portal, contemplates the company’s five-year growth strategy.
  Since its founding in 2005 in the United Arab Emirates (UAE), Property Finder had secured multiple rounds of investments and expanded into countries in the Middle East and North Africa. The business grew following a proven business model revolving around monthly flat subscription fees paid by real estate brokers for packages of listings, while remaining free for end-customers to browse. By 2020, Property Finder had reached profitability in the UAE, Bahrain, and Qatar, which it considered its core markets, and had done significant brand building in newer markets of Saudi Arabia (KSA), Egypt, Morocco, Lebanon, and Turkey.
  In 2020, Lahyani needed to decide on the company’s growth strategy to increase profitability. Property Finder could focus on its core markets and switch to segmented pricing, lure in more developers to post first hand property directly, and create new revenue channels. Alternatively or in parallel, the company could tailor its business model to suit the dynamics of each of its newer markets. All the while, Lahyani had just onboarded a new executive team that was busy adjusting the organizational structure and institutionalizing procedures and processes. As a result, company resources were spread thin and Lahyani found himself at a crossroads; should the company focus its efforts on bolstering its position in incumbent markets and thus forego growth abroad, or should it pursue new markets and risk tarnishing its reputation in its core markets in case of a failure?

  Keywords: General Business; real estate; Entrepreneurship; Property; Strategy; Emerging Markets; Growth Management; Real Estate Industry; Technology Industry; United Arab Emirates; Saudi Arabia; Egypt; Turkey;

  Citation:

  Palepu, Krishna G., Gamze Yucaoglu, and Fares Khrais. "Property Finder's Strategy for Online Classifieds in the MENA Region." Harvard Business School Case 321-009, July 2020. (Revised September 2020.)  View Details

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• Case | HBS Case Collection | September 2020

  d.light

  Michael Chu, Krishna G. Palepu and Dilyana Karadzhova Botha

  Kenyan off-grid-solar pioneer d.light can power entire homes in rural Africa but must now decide how to fund the growth of its asset-heavy business model. Ned Tozun and Sam Goldman founded d.light in 2006 to transform lives through solar solutions enabling access to electricity, the seventh of the United Nations Sustainable Development Goals for 2030. Originally providing simple portable solar lanterns to people without access to reliable electricity, the enterprise developed solar home systems that included lights, mobile chargers, and an energy-efficient device such as a radio, fan or TV. By 2019, with the success of home systems, d.light had become one of the leading players in the off-grid solar sector, with the world’s largest distribution network for off-grid solar products and a projected revenue of over $90 million.
  Key to d.light’s solar home systems was pay-as-you-go (PayGo) plans, a lease-to-own model consisting of a down payment followed by small (<$1.50) daily payments, normally for a period of 12 to 18 months. In 2019, sales from PayGo products were expected to contribute close to 70% of the company’s annual revenue. However, PayGo was an asset-heavy model and in the past 18 months, d.light had raised over $90 million, nearly 75% of which was in debt facilities. As the company continued to grow rapidly, its co-founders were deliberating whether they ought to go out and raise capital again. If so, should it be equity or debt? How much and from whom? If not now, when? Alternatively, should they modify the business model to reduce the company’s need for so much external funding?

  Keywords: Alternative Energy; Business Model; Capital; Emerging Markets; Expansion; Financial Strategy; Renewable Energy; Strategy; Social Entrepreneurship; Energy Industry; Africa; Kenya; India;

  Citation:

  Chu, Michael, Krishna G. Palepu, and Dilyana Karadzhova Botha. "d.light." Harvard Business School Case 321-069, September 2020.  View Details

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• Case | HBS Case Collection | April 2020 (Revised July 2020)

  Amazon in China and India

  Krishna G. Palepu and Kairavi Dey

  Amazon has been unsuccessful in its efforts to develop a business in China. Even though Amazon was an early entrant into China’s e-commerce space, its domestic rivals, especially Alibaba, created innovative business models uniquely suited for the conditions in China. Amazon’s failure to adapt to the local conditions in China ultimately led to its exit from the country. Determined to learn lessons from this experience as it developed its business in India, Amazon made a number of innovations in its business model in India. By 2020, Amazon established a strong presence in India. However, the company faces a number of challenges because of changes in regulation that challenge its hybrid business model of both being a seller of its own goods and a marketplace for third party sellers, the rise of strong local rivals, and its own ambition to expand beyond top tier cities and upper middle class customers in India.

  Keywords: Global Strategy; Multinational Firms and Management; Emerging Markets; Business Strategy; Expansion; Business Model; Retail Industry; China; India; United States;

  Citation:

  Palepu, Krishna G., and Kairavi Dey. "Amazon in China and India." Harvard Business School Case 120-111, April 2020. (Revised July 2020.)  View Details

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