Introduction
ON FEBRUARY 05. 2006. U.S. BASED INTERNET SERVICES COMPANY YAHOO! INC. (Yahoo!) moved all its advertisers to a new ranking model called 'Panama' in order to regain customers who had shifted to the Google is 4 more popular Ad Words.5 Yahoo!'s new algorithm
and ranking model would rank the advertisements based on the highest bid on search keywords by the advertiser and the number of clicks.. Industry analysts opined that with the new model, Yahoo! would be in a better position to challenge Google. Panama received encouraging reviews from the customers and the advertisers. According to Marianne Wolk, analyst at Susquehanna Financial Group,6 "The early feedback on Panama is strong. Click-through rates are better than expected."')?