HuStream Technologies Interactive Video
- What is the long term business strategy for HuStream? In which areas should the business model be
directed? You may use any appropriate business model to analyze their business. - How should HuStream’s co-founders seek the funding needed to support their company’s growth?
Discuss the revenue model. - What partnership model should the co-founders pursue to promote the use of digital ecosystems to
enhance their customers experiences and value propositions - Describe the IT platform HuStream has developed to date. Is this platform aligned to HuStream’s
business strategy? If so, how has the user experience helped or hindered? - What principles of strategic execution should HuStream use?
- What is the long term business strategy for HuStream? In which areas should the business
model be directed? You may use any appropriate business model to analyze their business.
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HuStream seeks to reach a larger customer base through the Do it yourself (DIY) business
model. This involves productizing its interactive video technology, such that it allows customers
to easily access and generate their own videos using its SDK interface without the need for
professional support. This is to be achieved through the Pay as You Go model in the form of
per-video-profit-model, where HuStream will charge a per-episode fee and negotiate prices
downwards with increasing volumes (Denne, 2007). In order to enhance efficiency, this business
model should be directed to the developers, creative teams and the client services team. While
the development and improvement of the online platform is highly relevant to the business
strategy through ensuring innovation and uniqueness, knowing the clients’ needs and their views
on the quality and pricing are also of importance in defining the business strategy outcome.
- How should HuStream’s co-founders seek the funding needed to support their company’s
growth? Discuss the revenue model.
HuStream’s co-founders should follow the fee-for service revenue model to support the growth
of the company. This is a model in which customers pay for the services they use at any
particular time (Mayer, 2012). HuStream aims at providing customers with a platform in which
they can access DIY videos and it would be most appropriate to charge customers as they use the
services. The revenue generated can then be used to support the company’s growth.
- What partnership model should the co-founders pursue to promote the use of digital
ecosystems to enhance their customers experiences and value propositions
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HuStream co-founders should utilize a sub-contracting partnership model that brings together the
co-founders, channel partners and external software developers (Lawton and Michaels, 2001).
HuStream must establish partnerships with related companies to bring desirable skills and
resources in a bid to promote the use of digital ecosystems. The partnership model should
encompass a relationship where the co-founders control a majority stake while the others take a
supportive role in terms of subcontracts, where each will be compensated by the level of effort
put in or through a contract agreement. The external software developers will play the role of
bringing in modern technology, innovative applications and software development skills while
channel partners will market and sell the products. Channel partners should include
entertainment industry and website owners.
- Describe the IT platform HuStream has developed to date. Is this platform aligned to
HuStream’s business strategy? If so, how has the user experience helped or hindered?
HuStream began with the use of a cloud-based platform on the internet from which clients can
conveniently access and use to build interactive material according to their needs. This is aimed
at providing users with unique experiences through features and functionalities that help
customers create their own stamps. HuStream has also developed a video production hub which
initially helped customers produce high quality video content using the software development kit
(SDK). With advancement in technology and changing customer needs, HuStream seeks to
pursue a product-based model, where the user-friendly SDK interface will help customers
generate their own videos. This is in line with the organization’s strategy and through the SDK
interface; HuStream will achieve its objective of productizing its business and hence reduce
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focus on service-based model. The user experience has enhanced this strategy because it has
worked by reducing the need to rely on professionals to develop videos and manage accounts.
- What principles of strategic execution should HuStream use?
In enhancing strategic execution, HuStream should ensure that the principles of focus, leverage
and accountability. Focus demands that the company stays committed to its goals. This includes
providing the best solutions for customers through innovation, following the business strategy
and maintaining fruitful partnerships (Parise, 2006). Given the limited resources that are
available to companies against the growing demand from customers, leveraging these resources
of great importance as it will ensure that the company can achieve greater milestones for less.
Consequently, profitability and company growth will be assured. Lastly, accountability is of
essence and following consistent actions in line with the company’s objectives will ensure that
HuStream achieves the desired results. Accountability is about ensuring that HuStream can
deliver what it promised to customers in terms of performance and quality (Parise, 2006).
References
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Denne, M. (2007). Pricing utility computing services. International Journal of Web Services
