Zuora Inc.: Venturing into Cloud Computing

Zuora Inc. is a leading startup company in the Software as a Service (SaaS) billing and payments area, which needs to strategically position itself in the face of the emergence of Cloud Computing. CEO Tien Tzuo and his team must identify the market segments that would provide Zuora with the quickest growth opportunity in order to strengthen its lead position, and they must decide how fast to scale the company given the changing market dynamics. These decisions will have implications for when the next round of funding must be secured, and top management must carefully assess what the effects of the timing of the funding decision will have on the valuation of the company.