Weaknesses of Yahoo!-SWOT Analysis

• Differentiation is difficult for Yahoo!. Almost all of its packaged services are available from other sources.

(i)Search facilities are available on MSN and Google.
(ii)Free E-mail accounts are available from Hotmail (MSN) or G-Mail (Google), and many, many others.
(iii)New is available from CNN or the BBC.
(iv)Shopping is available everywhere on the Internet. Google has Froogle.

• Online advertising is a new income stream for organizations such as MSN, Yahoo! and Goggle. Yes, today they are very, very profitable. However, as technology develops and new unforeseen advertising media emerge, the future is uncertain for these income streams. This is a weakness for Yahoo! and its competitors.

• Another income stream that has been key to Yahoo! is derived from its partnerships with telecommunication providers. For example, you buy an Internet connection package from your local telephone company, and it includes a fee-based Yahoo! package including e-mail accounts, user support and other added value services. If ever this channel is changed or removed, the income stream would be affected.

Reference: http://www.marketingteacher.com/