New Yahoo! CEO Marissa Mayer has a full plate. She is tasked with playing catch-up in a highly competitive marketplace by betting Yahoo!’s future on the burgeoning use of mobile devices. In an effort to make up for lost time, Mayer plans on working with strategic partner and software provider Microsoft Corp to employ technology such as automated buying to strengthen Yahoo!’s tenuous display advertising business.
First, Yahoo! needs to trim the fat from unprofitable operations. Mayer plans on jettisoning unprofitable operations such as the South Korean business, where Yahoo is outgunned by inexpensive local rivals who control the market. Secondly, Mayer plans on focusing on smaller acquisitions rather than attempting to buy the company’s way out of the financial doldrums through larger acquisitions.