Arepa

This case illustrates the importance of structuring negotiations with large companies and investors that are critical to a start-up's success. It depicts a firm with innovative technology that contracts with giant companies in order to survive. It also demonstrates how the company's management must be flexible when constructing a business model that will accommodate the positions of its strategic partners and investors. Arepa must decide which business model to adopt and how to sequence and structure negotiations with distribution partners, content providers, and investors. All of the decisions interrelate.