CaiHong: Combining Legal Services and the Internet
Weiwei Huo, William Wei, Peihong Xie, Xiaohan Hu, Etayankara Muralidharan, Haining Wu, Yi Huang
April 13, 2020
April 13, 2020
11 pages (9 pages of text)
LSPI, SaaS, B2B, China
Operations Management, International
China, Large, 2015
Shanghai Jiujia Information Technology Co., Ltd. (CaiHong) was founded in April 2015 by entrepreneur Junyuan Huang. The company has transitioned from an e-commerce platform to a software-as-a-service (SaaS) platform to better compete in China’s Legal Service Plus Internet (LSPI) industry. While exploring some key concepts about CaiHong, such as market positioning, business model innovation, SaaS, and growth strategies, several questions are raised about the company’s growth in the LSPI industry and the company’s application of SaaS. First, what factors facilitated CaiHong’s transition from the business-to-consumer (B2C) market to the business-to-business (B2B) market? Second, what is CaiHong’s approach to business model innovation based on the SaaS platform? Third, how can it build on the success of the SaaS model through continuous innovation and further disruption of the LSPI industry?
This case can be used in undergraduate- and graduate-level courses on innovation and strategic management, business model innovation, or the application of SaaS platforms. Ideally, students should already have entrepreneurial experience or plans to be involved in the transformation of traditional industries through the use of the Internet. This case can help students understand the key factors that facilitate a transformational change from a traditional business model to one driven by the Internet. After working through the case and assignment questions, students will be able to
- determine how to position an Internet-based company in the B2B market;
- approach business model innovation by applying an SaaS platform; and
- understand how to cultivate core competitiveness in the LSPI industry.