PayPal: Maintaining Market Leadership in Digital Payments

Published 19 Oct 2022
Reference 6772
Topic Strategy
Region Global
Length 20 page(s)
Summary

Shortly after Rich Hagen joins Paypal as Strategic Director in 2021, the CEO Dan Schulman asks for his input to choose between two promising directions for the business: venturing into retail investing or launching a super app. As a brokerage sector veteran, Hagen is intuitively inclined to favour online trading, but Schulman makes a strong case in favour of the super app. To prove himself in his new position, Hagen needs to weigh both options and make an informed recommendation.

Teaching objectives

The case content and teaching objectives are suited for courses on strategy, innovation, and digitalisation in MBA and pre-experience Master’s programmes, as well as executive education workshops. The discussion focus is on strategic analysis and the concept of business model innovation. The objective is for students to step into Rich Hagen’s shoes and assess the relevant factors underlying the choice between retail investing and the super app.

Keywords
  • Business Model
  • Business Model Innovation
  • Strategic Analysis
  • Strategic Decision Making
  • Digital Payments
  • Digital Platforms
  • Q42022