The slides accompany the Yahoo Case Study 2016 and Teaching Notes available from the web site. The Yahoo Case Study Dot com. John Ashcroft Dimensions of Strategy

1. The YAHOO! Case Study …
The YAHOO! Case Study …
Key Note Files …

2. 0
2,000,000
4,000,000
6,000,000
8,000,000
1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015
The YAHOO! Case Study …
The YAHOO! Case Study …
Yahoo Revenues $000
Marissa Mayer ………………………Carol Bartz …………………Terry Semel ,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,Tim Koogle CEO ….Jeff Mallett COO …………………………….………..

3. -300,000
0
300,000
600,000
900,000
1,200,000
1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015
The YAHOO! Case Study …
The YAHOO! Case Study …
Yahoo Operating Profits $000
Marissa Mayer ………………………Carol Bartz …………………Terry Semel ,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,Tim Koogle CEO ….Jeff Mallett COO …………………………….………..

4. -75%
0%
75%
150%
225%
300%
1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015
The YAHOO! Case Study …
The YAHOO! Case Study …
Sales Growth Rate Year on Year
Marissa Mayer ………………………Carol Bartz …………………Terry Semel ,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,Tim Koogle CEO ….Jeff Mallett COO …………………………….………..

5. 0
1,000
2,000
3,000
4,000
5,000
6,000
7,000
8,000
9,000
10,000
11,000
12,000
13,000
14,000
15,000
16,000
1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015
The YAHOO! Case Study …
The YAHOO! Case Study …
Number of Employees 000
Marissa Mayer ………………………Carol Bartz …………………Terry Semel ,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,Tim Koogle CEO ….Jeff Mallett COO …………………………….………..

6. 0
150
300
450
600
1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015
The YAHOO! Case Study …
The YAHOO! Case Study …
Revenues Per Employee $000
Marissa Mayer ………………………Carol Bartz …………………Terry Semel ,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,Tim Koogle CEO ….Jeff Mallett COO …………………………….………..

7. The YAHOO! Case Study …
The YAHOO! Case Study …com
Yahoo Share of Search US %
0%
10%
20%
30%
40%
50%
60%
70%
2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015
Data Source Comscore

8. The YAHOO! Case Study …
The YAHOO! Case Study …com
Yahoo Share of Online Ads US %
0.0%
10.0%
20.0%
30.0%
40.0%
50.0%
2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015
Dimensions of Strategy Estimates
Data is “representational
subject to further research

9. The YAHOO! Case Study …
The YAHOO! Case Study …
0.0
30.0
60.0
90.0
120.0
1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015
Revenue Comparisons …
$ Billions 0.0
0.5
1.0
1.5
2.0
2.5
3.0
2009 2010 2011 2012 2013 2014 2015

10. The YAHOO! Case Study …
The YAHOO! Case Study …
0.0
10.0
20.0
30.0
40.0
1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015
Revenue Comparisons …
$ Billions

11. The YAHOO! Case Study …
The YAHOO! Case Study …
0.0
50.0
100.0
150.0
200.0
250.0
1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015
Market Mapping - Framework Revenues
$ Billions
0.0
0.5
1.0
1.5
2.0
2.5
3.0
2009 2010 2011 2012 2013 2014 2015

12. The YAHOO! Case Study …
The YAHOO! Case Study …
Yahoo Share Price $
$0.00
$125.00
$250.00
$375.00
$500.00
1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016

13. The YAHOO! Case Study …
The YAHOO! Case Study …
Yahoo Market Cap $ Billions

14. The YAHOO! Case Study …
The YAHOO! Case Study …
On line Advertising $ Billions
Marissa Mayer ………………………Carol Bartz …………………Terry Semel ,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,Tim Koogle CEO ….Jeff Mallett COO …………………………….………..
$0.0
$17.5
$35.0
$52.5
$70.0
1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016
$65.4
$59.6
$49.5
$42.8
$36.6
$31.7
$26.0
$22.7
$23.5
$21.2
$16.9
$12.5
$9.6
$7.3
$6.0
$7.2
$8.1
$4.6
$1.9$0.9$0.3
Source IAB/PwC Internet Ad Revenue Report 1995 - 2015

15. The YAHOO! Case Study …
The YAHOO! Case Study …
On line Advertising $ Billions
Marissa Mayer ………………………Carol Bartz …………………Terry Semel ,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,,Tim Koogle CEO ….Jeff Mallett COO …………………………….………..
$0.0
$17.5
$35.0
$52.5
$70.0
1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016
$25.0
$20.7
$12.5
$7.1
$3.4
$1.6
$0.6
$40.4
$38.9
$37.0
$35.7
$33.2
$30.1
$25.4
$22.7
$23.5
$21.2
$16.9
$12.5
$9.6
$7.3
$6.0
$7.2
$8.1
$4.6
$1.9$0.9$0.3
Online Mobile
Source IAB/PwC Internet Ad Revenue Report 1995 - 2015

16. The YAHOO! Case Study …
The YAHOO! Case Study …
On line Advertising Mobile $ Billions
Source IAB/PwC Internet Ad Revenue Report 1995 - 2015
0.0
5.0
10.0
15.0
20.0
25.0
30.0
2010 2011 2012 2013 2014 2015 2016
$25.00
$20.70
$12.50
$7.10
$3.40
$1.60$0.60

17. The YAHOO! Case Study …
The YAHOO! Case Study …
SmartPhone Stock WorldWide
Source IAB/PwC Internet Ad Revenue Report 1995 - 2015
0.0
0.8
1.7
2.5
3.3
4.2
5.0
2007 2008 2009 2010 2011 2012 2013 2014 2015 2016
4.10
3.60
2.90
2.20
1.60
1.10
0.73
0.430.260.10

18. The YAHOO! Case Study …
The YAHOO! Case Study …
Revenue by Activity $ Billions
Yahoo Annual Reports
Data prior to 2008 not available
$0
$2,000,000
$4,000,000
$6,000,000
$8,000,000
2008 2009 2010 2011 2012 2013 2014 2015
Search Display Other

19. The YAHOO! Case Study …
The YAHOO! Case Study …
Valuation 2016
Source Trefis .com
16%
18%
53%
2%
5%6%
Search Display Other Alibaba Yahoo Japan Net Cash
Cash
Yahoo Japan
Alibaba
Yahoo! Valuation
$35 billion
just over 10%
attributable
to Yahoo! USA

20. $0.00
$125.00
$250.00
$375.00
$500.00
1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016
The YAHOO! Case Study …
The YAHOO! Case Study …
Yahoo Timeline
The Story
Begins
Microsoft
Bids $45
billon
iPhone
Launch
Carol
Bartz
Terry
Semel
Tumblr
acquisition
Tim Koogle CEO ….
Jeff Mallett COO …………………………….………..
Semel tries
to buy Facebook
for $850 million
Semel tries
to buy Google
for $ 5 billion plus
Marissa
Mayer