The focus is on Spotify’s diversification in the podcasting industry. Use the “tests” from the reading this week to evaluate this move. The overall question is: Was this a good move for Spotify? Explain why or why not. To develop this answer, your memo should address the following three questions as well:
What part(s) of the Podcast Ecosystem is Spotify diversifying into through its acquisitions of Gimlet Media, Anchor and more recently The Ringer? Think carefully about what Spotify is doing and refer to the Gimlet case. Look at the Harvard case where it talks about the Podcast Ecosystem.
Use key forces from the Five Forces to evaluate the new industry. (Hint: This means you do NOT have to do all 5 forces, select which ones you think make most sense here.)
Does Spotify’s diversification move pass the Better-Off Test? Explain.
Case is in Harvard Business School packet: Gimlet Media: A Podcasting Start-up, HBS 9-918-412 – the focus is on Spotify’s diversification into the podcasting industry and not so much Gimlet Media specifically, so read the case, but you can skim pg 8-10.
Reading Sources:
Gimlet Media case in the HBSP packet is the core case.
Everybody makes podcasts can anyone make them profitable – Bloomberg Businessweek(attached)
IAB Podcast Industry Ad Revenue Study (attached)
From Competitive Advantage to Corporate Strategy
citation style (any formal style you want). A website link is not a citation.
