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They had an inherently flawed model in an industry that has a high barrier to entry and requires significant cash resources. Just take a look at Carvana's most
by brogrammernot 9y ago
They had an inherently flawed model in an industry that has a high barrier to entry and requires significant cash resources.
Just take a look at Carvana's most recent earnings, they lost something like 40M in the first quarter on revenue of $160M. They're still spending a ton of money to compete.
Beepi had a flawed model, and ran out of money.
I find it hard to be sad for them as this is what is supposed to happen when you don't have a sustainable business model.
- defined 9y agoI am sad for all the people who lost their jobs as a result of these failures, though.
- brogrammernot 9y agoThat's fair. I've been through 2 "failed" startups, one somewhat success and one that looks promising but you come out the other side of these things alright. They learned a super valuable lesson about market for, and it will help them all in the future having this experience.