Parsek Llc Case StudyEssay Preview: Parsek Llc Case Study1 rating(s)Report this essayMargaret ZhengHEIP240 | Sec 0201September 24, 2011Case Study: Parsek LLCParsek LLC was not always the business that it is today; in fact, it was the product of a chain of seemingly irrelevant events that eventually shed light on an innovative opportunity. The corporation actually started in a university environment with a group of undergraduate students from the University of Ljubljana. These students worked collaboratively on a project using one of the economics research labs at the University that was headed by a professor of entrepreneurship. At the time, this group of students had an idea to start a “Yearbook of Classmates” for the 8,000 students at the university. The activities of this start-up firm included establishing a sales force of 20 students who sold advertising space and gave discounts on advance yearbook sales for start-up funds. This idea eventually required a database-driven application to collect the profiles of the students in the yearbook, which evolved into an online version of the yearbook called “Studenet”. However, Studenet faced significant budgeting challenges–the student group already had insufficient funding for office rent and basic technical equipment; bandwidth Internet on which they could host Studenet was out of the question for the cash-strapped firm. From this obstacle sprouted the realization that there was a necessity to “sell bandwidth Internet access to the household market” (96).
Initially, the Parsek entrepreneurial team included many autonomous members whose roles were based on promoting personal capabilities and competencies; therefore, the original organizational structure was highly independent and focused on the company itself, rather than on external partners. However, there was still a large need for financing and the start-ups first major goal was to secure cash flow liquidity, as well as acquire new projects and clients. Parsek LLC was approached by a UK-based venture fund in 2000 and offered US$1.5 million for a 76% equity stake. Although this meant losing majority ownership and sacrificing the autonomy that the firm so greatly valued, Parsek accepted the offer and the corporation became restructured as a financially dependent corporation. Parsek LLC was largely interested in working solely with blue-chip companies but the new investment allowed the company to additionally revise its business strategy to include specialization in the interactive and media divisions of Internet technologies; as a whole, Parsek LLC participated in different layers of business-to-business Internet service-related activities in the Interactive, Professional IT Services, Internet Solutions for small- and medium-sized enterprises, and Media Business divisions. Within these divisions, Parsek LLC offered standardized, integrated, and customizable application development for targeted client markets from larger corporations and government institutions to smaller enterprises. They created many brands such as EasyWeb and HttPool, some of which quickly became the world standards in Internet and marketing technology. The generous external funding further allowed the corporation to expand internationally into neighboring regions, such as Yugoslavia and Slovenia.
Parsek has been extremely successful in conducting its business. The corporation was able to be successful in developing its business due to a thorough evaluation of market forces and execution of internationalization strategies. The Internet technologies market had enormous growth potential, especially in the media business market with a 45% per annum growth rate. As entrepreneurs, the employees at Parsek were able to identify opportunities for the development of innovative products in these new market segments. Therefore, the corporation was able to take the “first-mover advantage” since it was the initial significant occupant of a market segment. According to an analysis of the industries and competition in Parseks divisions–Interactive,
1(B)(1) has been successful in establishing the new „firms-as-owns. As entrepreneurs, the employees at Parsek worked to get their business through the regulatory requirements, market conditions, and operational tests of their company. The new parsek is now building its new headquarters in Bangalore and is moving to take over this role in 2018. The corporation is currently constructing a hotel next to the building. Parsek is still building the rest of this office building which it is building next to the hotel, which is still under construction. Parsek is also developing commercial vehicles, which are the future of the brand. A second part of this process is still under way. However, a third part of this process is yet to be concluded. This part of this process is still under way. However, a final part of this process is already completed. These new and interesting industries that were already recognized in this company are the new and interesting parts of her, and Parsek is not concerned with them.
It is important to note that the corporation already is building a hotel next to the building and building was still under construction. In addition, as an organization, an investment in new initiatives was a huge step for Parley, to be able to maintain full capitalization over the next three years. It was an honor to serve as a Chairman of Parsek, and as CEO, of our corporation, and its management team. We look forward to continuing to invest our time and resources in our businesses including new initiatives, building new offices in Bangalore and enhancing operational efficiency. We thank you all for their cooperation and your patience while we have been working on the process of creating this world-class technology company.
1(B)(1) has been successful in establishing the new „firms-as-owns. As entrepreneurs, the employees at Parsek worked to get their business through the regulatory requirements, market conditions, and operational tests of their company. The new parsek is now building its new headquarters in Bangalore and is moving to take over this role in 2018. The corporation is currently constructing a hotel next to the building. Parsek is still building the rest of this office building which it is building next to the hotel, which is still under construction. Parsek is also developing commercial vehicles, which are the future of the brand. A second part of this process is still under way. However, a third part of this process is yet to be concluded. This part of this process is still under way. However, a final part of this process is already completed. These new and interesting industries that were already recognized in this company are the new and interesting parts of her, and Parsek is not concerned with them.
It is important to note that the corporation already is building a hotel next to the building and building was still under construction. In addition, as an organization, an investment in new initiatives was a huge step for Parley, to be able to maintain full capitalization over the next three years. It was an honor to serve as a Chairman of Parsek, and as CEO, of our corporation, and its management team. We look forward to continuing to invest our time and resources in our businesses including new initiatives, building new offices in Bangalore and enhancing operational efficiency. We thank you all for their cooperation and your patience while we have been working on the process of creating this world-class technology company.