Stub hub is the largest company in the world that develops ticketing software and other solutions that bring happiness to live shows to their fans worldwide. The company's headquarters are located at Sans Francisco in the United States. It was founded back in 2000 by two students Eric Baker and Jeff Fluhr. The company provides tickets to sports and entertainment activities, such as music and theater events, in over forty countries globally. The company enables its customers to buy their tickets at any time and place where they are using the company's desktops and mobile experiences.
The company continues to lead in the entertainment industry due to its ability to be innovative (StubHub, 2020) . Its innovation services include introducing ticketing applications, collaborative seat mapping, viewing seats in a 360-degree angle, pleasant prices suggested technology, and algorithms that determine affordable ticket prices. The company’s mission is to “bring the joy of live to fans globally” (StubHub, 2020) . Its dedication in providing tickets give their clients the confidence to either buy or sell their tickets in a convenient, safe, and reliable environment. The company's transactions are backed up by their trademark "FanProtect TM ," that guarantee their clients that their products are safe and original. The company has also collaborated with other organizations globally, such as the Texas university and NCAA.
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StubHub is facing an unprecedented crisis due to the COVID-19 pandemic. StubHub is struggling to provide services to its customers globally. The company is facing the challenge of managing costs and dealing with the crisis. With the live events canceled, more than twenty thousand live events were terminated; most of these customers are demanding for a refund. The company's management argues that the company cannot risk refunding its buyers before it gets the same amount from its sellers. Due to its inability to refund clients, the company is facing lawsuits both in Canada and the United States (Noviello, 2020) . The lawsuits assert the company for breaching its contract with its customers to abide by the refund policy they had while purchasing the policy and breaching the consumer protection legislation.
The company has developed a policy to refund its customers if an event is canceled and not rescheduled. The company is also struggling with its employees; it has dismissed around 300 workers in Canada. As many events have been stopped, the company doesn't have enough capital to sustain all its employees, thereby forced to initiate staff cut. The company is also struggling to maintain offices in various countries such as Japan, Mexico, and Brazil. The company retains only the offices in Europe, but still reducing the number of its workers.
As StubHub faces challenges during the COVID-19 pandemic, it can still develop strategies that would enable it to survive and thrive. The company can maximize its liquidity by conserving their cash. Conserving cash can be done by evaluating its overhead costs and determining if there are chances of reducing them. The company can also control its spending by getting rid of their unproductive assets, developing strong relationships with their employees and customers. The company can improve its employees' services by reducing their working hours and maintaining their health insurance, among others. Also, the customers who are a key aspect to the company, StubHub, should develop an effective plan of how to manage their customers' funds. They should develop an agreement with their customers on how to refund them without going into a loss.
The company should also develop a contingency plan by adjusting their business plans and determining how to cope with the new normal. Additionally, StubHub should seek assistance from the Federal and state assistance on matters regarding refunding their customers and developing trustworthy to the customers. The company should communicate their policies clearly to their customers to avoid lawsuits from the customers. By applying the strategies, StubHub would be able to withstand the pandemic and continue offering services to its customers in the future.
References
Noviello, S. (2020, May 1). StubHub facing class-action lawsuit after changing refund policy amid COVID-19 pandemic. Fox4 News . https://www.fox4news.com/news/stubhub-facing-class-action-lawsuit-after-changing-refund-policy-amid-covid-19-pandemic
About Us: StubHub. (2020).StubHub: https://www.stubhub.com/about-us
