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Virtually all of them ran out of money because they didn't have enough customers to cover their expenses. It seems silly but if you put it in basic terms, this
by ihaveajob 9y ago
Virtually all of them ran out of money because they didn't have enough customers to cover their expenses. It seems silly but if you put it in basic terms, this usually maps to something very concrete in your domain.
- collyw 9y agoI guess thats similar to saying all deaths occur by hypoxia. What caused that to happen it is usually the part we are interested in.
- rhizome 9y agoif you put it in basic terms, this usually maps to something very concrete in your domain. For those of us who didn't go to college, can you translate "maps to something very concrete in your domain" into concrete terms? It's pretty abstract.
- yathern 9y agoIt means that in the area in which a (failed) business tried to operate, the failure can be more specific than "couldn't cover expenses". For example, a shoe company that makes very cheap shoes. Costs 5 dollars to make, sells them for 10 dollars. They have basic operating expenses of 50 dollars a day. They need to sell 10 shoes a day to stay in business by the skin of their teeth. If they don't, they 'failed to attract enough customers to cover expenses'. But they could have a more specific view: 1) We didn't have any advertising since we were operating on a shoestring (hehe) budget - losing customers 2) Our low prices actually made us seem like a low quality entry in the market, and hurt our sales. 3) We could have invested more into our production line to reduce recurrent costs. Or any number of things. But it ultimately comes down to "we didn't have enough money"