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Klarna - navigating a scale-up through market turbulence: strategic measures to achieve profitability following a period of immense growth and negative net income

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Resumo:Klarna has earned a reputation as the leading "Buy-now-pay-later" service provider. The fintech’s success is heavily built on external capital, having raised $3.7bn and achieving a post money valuation of $45.6bn in 2021. The case begins in June 2022 when Klarna is forced to decide whether to accept a down round to cover its high cash burn and negative profitability after market conditions worsen. The aim of this case is to explore: - Implications of a downturn of financial markets on venture capital-backed companies - Growth vs. profitability strategies.
Autores principais:Fezer, Robert
Assunto:Venture capital Downround Valuation Fintech Growth Profitability Strategy Management Entrepreneurship Entrepreneurial strategy Investments Entrepreneurial finance
Ano:2023
País:Portugal
Tipo de documento:dissertação de mestrado
Tipo de acesso:acesso aberto
Instituição associada:Universidade Nova de Lisboa
Idioma:inglês
Origem:Repositório Institucional da UNL
Descrição
Resumo:Klarna has earned a reputation as the leading "Buy-now-pay-later" service provider. The fintech’s success is heavily built on external capital, having raised $3.7bn and achieving a post money valuation of $45.6bn in 2021. The case begins in June 2022 when Klarna is forced to decide whether to accept a down round to cover its high cash burn and negative profitability after market conditions worsen. The aim of this case is to explore: - Implications of a downturn of financial markets on venture capital-backed companies - Growth vs. profitability strategies.