Shift Technologies, Inc.

Thomas  Eisenmann; Nicole Tempest Keller

Case | HBS Case Collection | October 2017

Shift Technologies, Inc.

by Thomas Eisenmann and Nicole Tempest Keller

Abstract

In 2017, management at Shift, an online marketplace that uses a “high touch,” concierge approach to buy and sell used cars, was formulating plans for the San Francisco–based startup’s next phase of expansion. One option was to preserve Shift’s current business model and grow through geographic expansion. Another option was to decentralize more tasks to sellers and/or buyers, for example, management of inspections and repairs. While decentralizing tasks would reduce Shift’s labor per transaction and thereby improve the venture’s unit economics and its scalability, Shift might risk undermining users’ trust by handing off responsibility for critical tasks.

Keywords: Entrepreneurship; Market Design; Multi-Sided Platforms; Marketplace Matching; Growth and Development Strategy; Decision Choices and Conditions; Auto Industry; Retail Industry; United States;

Language: English

Format: Print

20 pages

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Citation:

Eisenmann, Thomas, and Nicole Tempest Keller. "Shift Technologies, Inc." Harvard Business School Case 818-002, October 2017.

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Shift Technologies, Inc.

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