GROUPE ESC CLERMONT

YouTube LLC : Going Global by Acting Local

Team D

een Marker

e LLC: Going Global by Acting Local

28/09/2011

Casares larri

Question 1 : SWOT analysis

Define :
Youtube wants to launch an indian version of youtube

Asses, environmental for threats

To have the wrong target, that Indian young people will not be interested in an Indian Youtube version.

Asses internal, strengths and weakness

Strenghts -Youtube is a popular online social networking and video sharing site in India. -Youtube is a subsidiary of Google. -Various partnerships in cultural business (Indians and foreign partners). -Capacity to protect the intellectual property. -Basic version of Youtube already profitable. (launched in 2006, became profitable in 2008) Opportunities Weaknesses -Speculation of a localized Youtube: cultural segregation. Indian youth may be more focus on international music and events than in their own culture --> the project will have the wrong target. -Site initially in English. -Some local label music may refuse that Youtube use their products (fears of hacking & apprehension in selling national culture to a foreign company.) Threats

Strenghts -Implentation on the largest online community in the world. -Rise of youth Indian population, more and more attracted by web networks ( ex: orkut ). -To share Indians culture ( Bollywood etc .. ). -To lauch partnership with indian film academy may be the beginning of a long term relation. -To launch a 20th country on a localized site.

Weaknesses -Independence strategic toward Google. -fundamentalist videos. -Competition with Indians sites and replay TV programs. -the youth may prefer to use the basic Youtubes website.(global culture attractiveness)

Alternatives
Maintain the basic Youtube without trying to launch an Indian version. They are taking the risk of failure of the project.

Choose the strategy

Develop the idea of an Indian Youtube They want to be a reference in India concerning videos and Medias (plus the presence of Indian language on the website). This is a unique idea to attract viewers. Then, Youtube is going to focus on Indian culture only. AS Sakina Arsiwala said in the text, it will only be about the most popular and relevant videos of India. The strategy is based on Indian nationalism to touch people. In fact its a way for them to rediscover their roots. Then, Youtube develop the fact this is an easy website to use for youngsters, to upload and see videos.

Set up control
By benefits Number of viewers Media cover

Question 2: Alliances and partnership

Youtube was acquired by Google, a juggernaut of technology and the Internet. Being a subsidiary of Google assure Financial Security. Different partnership: local TV channels, International TV channels, channel music group... Alliances rely on labels that authorize Youtube to use their videos (viewers listen on Youtube more than buying singles or albums). That includes free communication for artists and labels at long term, so profitability for them. Ministry of tourism: Youtube acquires the protection and got the agreements to settle into the Indian market. Its also a way for the Indian government to promote the Indian culture at a global level. Reaching for Indians partners is a way to be sure their project is going to work, they have reliable partners in different Indians Medias.

Question 3: Strategy of Youtube in India

Youtubes strategy is regionalism to suit to indians users. To enter this market, the Website has to fit Indians needs and adapt to viewers. By creating partnership with local cultural industry. By developing the image of a 100% indian Youtube. India is a new market to reach: Millions of young people, so many potential viewers attracted by the Medias, internet and entertainment. Furthermore, the equipment rate in increasing, so we can imagine a boom of technology in India in the next few years. Its a good strategy to invade India for long term profitability due to the fact India is the largest online community in the world But Youtube cant create a localized strategy with all the countries like it did in India. India is a specific market which culture is totally different from the rest of the world and deeply rooted. We can quote Bollywood which is as powerful as Hollywood in India. If Youtube succeed with its strategy in India today, the future Indian generation is going to grow with Youtube. We recommend Youtube to localize their website when the market they want to enter is big enough and with a strength specific culture like India or China.

Question 4: Problems Youtube is facing in India

Globalization have some limits, they have to adapt their website to local consumers if they want to reach success. Its the idea of change or fail. India have a strong cultural identity, the Western way to do may not fit well even in Indian youth. (ex: Mc Donald in India, they had to change meat in their sandwiches, because cows are worship in India).