Topics: Competitor analysis, Marketing, Strategic management Pages: 4 (1007 words) Published: May 25, 2011
Lina Geoushy
Dr. Iman Seoudi


Describe the situation faced by Wainwright when she joined as CEO? The market for pet products was extremely fragmented. Sales went through multiple stores like mass merchants, independent pet stores, and supermarkets The Pet industry was attractive and it was appealing to a large number of competitors Analysts were optimistic because the internet had already proven to be a successful distribution channel for software, music, and books had three main competitors:,, and Wainright had been hired to lead the company and to establish it as a market leader of the online pet supplies category. Wainright feared and was worried that the well established company would be willing to enter the Pet supplies category, therefore she decided to offer shares of Pets,com to because that was the competitor she feared the most

Should Wainwright have offered a shareholding position to Assess the rationale behind this. What are the advantages and disadvantages of having as a partner? Yes she should have offered shares to because Pets needed capital, and they needed to eliminate the risk of a very strong potential competitor. They needed to be backed by a venture capitalist like who is well established with a successful business model to learn from. Advantages

Receiving cash and raise more money obtained a link on’s home page
Amazon also offered a buddy system for employee to seek guidance from’s employee for any business issue Recruit top talents
Eliminated a very strong competitor
Enabled to use the experience and strategic assets of to build a competitive edge growth strategy relied on heavy spending on marketing communication and low pricing. Critically appraise this strategy. What alternatives did Wainwright have?...
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