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Essay / Research Paper Abstract
A 7 page paper discussing Ivey case 9B02M029. AOL Latin America made a series of missteps and appears always to have considered its own purposes rather than the customer's needs. Bibliography lists 6 sources.
Page Count:
7 pages (~225 words per page)
File: CC6_KSmgAOLatinAm.rtf
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Unformatted sample text from the term paper:
the last half of the 1990s, many American Internet users who considered themselves to be knowledgeable and "serious" regarded America Online (AOL) with intense disdain. Steve Case founded AOL
in pre-Internet days when the networking of various computer systems was rather informal and difficult for all but the highly computer-literate to accomplish. His goal was to make accessing
these networks easy enough for anyone to manage. Though AOL has changed dramatically since those days, ease of use has remained a primary consideration in all changes visible to
the user. At the time that AOL determined to expand to Latin America, it had entered other areas of the world and a
wealth of information regarding cultural differences and practicalities of other societies was available. From the account that Wesley, Lane and Athanesslou (2002) provide, it appears that AOLs management chose
not to avail itself of the information available to it. AOLs Business Model From the beginning AOL imposed a per-minute charge, by the
mid-1990s providing a base rate with additional charges for over-time use. It was in 1998 that AOL dispensed with the hourly charges, gaining so many new American subscribers that
the companys existing systems could not deal with the added demand for service. Eventually AOL came to be Americas largest ISP, leading the others by a wide margin.
At its peak, AOL had more than 21 million subscribers (Mullaney, 2000), far beyond the number that any other single competitor had at the time.
Though subscribers were buying Internet access, they also were buying the content and controls that AOL offered. In 2000, Media Metrix consistently rated individual AOL "channels" higher
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