Taming the Monster: Even though it remains a formidable force in the online
job recruitment industry, Monster Worldwide is no longer a young and innovative
upstart.
In fact, the New York-based company is “confronting the ‘middle age’ that all
veterans of the Internet’s early days must face,” and must find ways to protect
its established markets from younger, hungrier competitors, say several
professors from the Wharton School at the University of Pennsylvania.
In addition to being rocked by a string of high-profile troubles—from the
resignation of three top officers to a major security breach
—local job sites have sprung up in overseas markets, meaning Monster “does not
have the clear path” it enjoyed upon its U.S. launch, says Wharton management
professor Peter Cappelli. Devin Pope, a Wharton professor of operations and
information management, cites the growing popularity of Craigslist, which in
some markets is posting two jobs for every Monster job. “Craigslist is becoming
more and more popular,” largely because of its favorable pricing model, “and
that is something Monster is going to have to deal with somehow,” Pope says.
Hardships aside, Monster is on track to pull in revenue topping $1.3 billion
this year.
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