Userlike and the quest for growth : choosing the right growth option based on

Abstract

The thesis that is presented in the form of a case study aims to focus on the challenges and opportunities a german software startup, Userlike, faces upon choosing a path for further growth in the future. Since this case study allows students to apply strategic frameworks and especially the theory of resources and capabilities, it serves as a teaching instrument. Userlike is a customer support live chat software which was developed by the company Userlike UG (haftungsbeschränkt) that was founded in June 2011. Despite a successful start and reaching more than 400 customers, Userlike has to deal with a high level of competition and knows that it has to decide on a next strategic step to escape this situation. Userlike has to come up with four growth options that they could follow. A main constraint for choosing the right option is the lack of financial resources. The business was mainly bootstrapped. The case is based on a real life situation of a software startup’s quest for growth while it competes on an international level. The case concentrates on the analysis of core capabilities. These core capabilities of the team should guide students to the solution of the case. Students will have to discuss whether it is better to follow a growth path that is financially more attractive or the one that meets capabilities that have delivered a competitive advantage so far.