strategies of aol

A. Business Strategies 1. Strategic Objectives  Brand Name Recognition  Alliances with Suppliers to provide Customers with "one-stop shopping"  Develop massive customer base  Create an easy internet/email service  Create non-financial costs to customers to dissuade them from moving to competitors 2. Cost Strategy  Profits mater more than growth  Make cost to switch not financially practically  Make it financially difficult for competitors to contend with AOL 3. Differentiation Strategy  Provide on-line features with special offers to AOL subscribers  Attract …

…in a secure and make it difficult to switch format internet providers Cost Strategy #Increase monthly access fee #Charge premium rates for Cash surplus secures position privilege to advertise on any new delivery platform on AOL Differentiation Strategy #Provide user-friendly access *AOL brand name creates Lower costs of acquiring new immediate value to suppliers subscribers make it difficult for others to compete without suffering a financial hardship  * is Strength of AOL  # is Weakness of AOL