Many internet communities are malicious in nature. The TopCoder community has developed a culture where constructive criticism is given in a very professional and non hurtful way. This is very important for management because keeping the community happy is similarly important to the necessity of keeping employees happy at a large organization. This comes at a large risk. TopCoder does not have direct and personal access to every single one of their community members, and does not have an instant way to see if their community is happy. If the community is dissatisfied, they just leave. This was evident in 2008 when TopCoder reduced prize pools for contest winners. Many community members decided that it was no longer worth their time to participate in TopCoder contests. If TopCoder wishes to maintain the level of success that they have become accustom to, they need to manage the satisfaction of their community of users.
The TopCoder community does not exist solely for monetary gains. The community is a learning environment for coders who are not as skilled as the others in the community. Inexperienced coders can post questions in the forums and get quality answers from high level coders. This exists so that a coder can get better and eventually win competitions. This is part of the important community culture that TopCoder has created. Management has done a good job of incorporating coders of all skill levels, many of whom are not likely to win an money from contests.
This community environment is much different than a traditional software development company employee environment. Crowdsourcing code allows TopCoder access to many different opinions while traditional companies are limited to the knowledge of their employees. Managing this large community can present problems. TopCoder relies so heavily on their community that if top level coders started to leave, TopCoder's clients would not receive quality code. The community is the heart of TopCoder, and managing it is the key capability needed for success.