Entrepreneurial Analysis of Dropbox Company
The basis of Dropbox formation and entry into entrepreneurship was the knowledge of programming linked to Houston and Ferdowski. From the Dropbox article, it is evident that the duo acquired the programming knowledge at such a tender age as early as five years. Houston a graduate and experienced programmer is the one who emerges with the idea of Dropbox. The idea is triggered by the personal challenges which he often faced such as losing data and information in case his PC drive collapsed, the tendency to forget the storage flash and the tedious nature of going through bulky emails trying to identify a mail to send. The assumption that his challenges were reflected in the entire society pushes him …show more content…
The video broadcasted the best features of his prototype. In response to this, they got a lot of feedback which made them learn as they created the product.
• Beta testing
Houston created a beta Dropbox program meant for selective users whore were provided with 2 GB of Dropbox for free. The selection was by free will by joining a simple page created with guiding instructions. This enabled them to test their product and decide if it was ready for launching it.
• Growth through analytics
The company decided to hire engineering services to optimize efforts of acquiring more customers. Their main function is to keep track of visitor acquisition, activation, retention, referral, and revenue generated.
Freemium model was fit for use since they needed to win a huge customer base. Being a new product in an environment where there were already established backup companies, they needed a way to lure potential customers to try their product. Debt route was a better financing route since it required relatively large capital which would have probably taken a long time if financing was from plowed back revenue. Also, with the dynamic nature of technology, the idea could become obsolete as time elapses waiting for plowed back profit unlike the quick to acquire debt funds. Dropbox investors hope lies beneath the rapidly increasing urge by people to back up their information in fast and reliable systems (Drago et al. 35). This will ensure that they continue making profits from their share
The basis of Dropbox formation and entry into entrepreneurship was the knowledge of programming linked to Houston and Ferdowski. From the Dropbox article, it is evident that the duo acquired the programming knowledge at such a tender age as early as five years. Houston a graduate and experienced programmer is the one who emerges with the idea of Dropbox. The idea is triggered by the personal challenges which he often faced such as losing data and information in case his PC drive collapsed, the tendency to forget the storage flash and the tedious nature of going through bulky emails trying to identify a mail to send. The assumption that his challenges were reflected in the entire society pushes him …show more content…
The video broadcasted the best features of his prototype. In response to this, they got a lot of feedback which made them learn as they created the product.
• Beta testing
Houston created a beta Dropbox program meant for selective users whore were provided with 2 GB of Dropbox for free. The selection was by free will by joining a simple page created with guiding instructions. This enabled them to test their product and decide if it was ready for launching it.
• Growth through analytics
The company decided to hire engineering services to optimize efforts of acquiring more customers. Their main function is to keep track of visitor acquisition, activation, retention, referral, and revenue generated.
Freemium model was fit for use since they needed to win a huge customer base. Being a new product in an environment where there were already established backup companies, they needed a way to lure potential customers to try their product. Debt route was a better financing route since it required relatively large capital which would have probably taken a long time if financing was from plowed back revenue. Also, with the dynamic nature of technology, the idea could become obsolete as time elapses waiting for plowed back profit unlike the quick to acquire debt funds. Dropbox investors hope lies beneath the rapidly increasing urge by people to back up their information in fast and reliable systems (Drago et al. 35). This will ensure that they continue making profits from their share