MercadoLibre

As 2013 approached, Marcos Galperin and his team of MercadoLibre top executives were meeting to celebrate the breathtaking growth of their company, and contemplate the challenges ahead. Since starting the company with his Stanford Business School classmates in 1999, Marcos had transformed the company from an internet auction site akin to eBay, to Latin America's leading online marketplace unique in its own right, and on par with Amazon. The MercadoLibre team had not just cloned eBay and Amazon in Latin America; it had made a number of key innovations in order to compensate for, and in some cases, take advantage of the lack of commerce infrastructure in its markets. On the technology side, MercadoLibre had started with a then state-of-the-art internet application based on an industrial-grade stack of Oracle technologies. The application handled millions of transactions, provided a good user experience, and facilitated the company's growth and IPO in 2007. In 2008, Galperin had made what he described as a "bet the company" decision to completely replace the company's technology by building and deploying a parallel system; not just another application, but a sophisticated e-commerce platform based on Web 2.0 and the latest mobile web standards. The gamble was paying off. The company's transition was being hailed as another success for Galperin and his team. But there was a larger challenge looming on the horizon.

• International business
• Growth strategy
• Entrepreneurship