Abstract

The case study “Electronic Financial-Advisor for Tech Savvy” (EFforTS, or Efforts) examines a Robo-Advisor start-up based in Raleigh, North Carolina, founded by tech-industry entrepreneurs. Efforts developed an algorithm-based online investment platform tailored for technology professionals, gaining attention through successful social media marketing. Despite attracting 100,000 clients, Efforts struggled to reach profitability before being acquired by West Mutual, a leading traditional wealth management firm. The acquisition aimed to integrate Efforts’ innovative technology into West Mutual’s services, targeting a new demographic of tech-savvy investors. The case explores strategic challenges, including revenue diversification, market saturation, and the introduction of high-yield deposit products to enhance client acquisition and retention. This case provides MBA students with insights into project management, digital transformation in wealth management, and the evolving competitive landscape of Robo-Advisors.

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• Keyword(s):
• finance 265
• operations 148
• strategy and entrepreneurship 201

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