Bidorbuy: Bidding for First Place

Description

Bidorbuy: Bidding for First Place: Abstract

In November 2009, bidorbuy was the largest South African online marketplace. Following a failed attempt earlier in the year to purchase bidorbuy, kalahari.net – a subsidiary of Naspers and a highly successful online retailer – indicated that it was going to compete directly with bidorbuy as an online marketplace. Andy Higgins, managing director of bidorbuy, was a firm believer that, if his company could reach a certain level of wide-scale popularity, it would virtually be impossible for a newcomer to compete. Higgins therefore had to find ways for bidorbuy to do this before kalahari.net entered the market.

Teaching objectives

This case was written to generate learning about competitive strategy, especially in an online retail environment.