3 ms·
For some context, the "startup" in question appears to be an online woman's shoe website. https://www.crunchbase.com/organization/shoes-of-prey https://www.cru
by matchagaucho 8y ago
For some context, the "startup" in question appears to be an online woman's shoe website.
https://www.crunchbase.com/organization/shoes-of-prey https://www.crunchbase.com/organization/shoes-of-prey
I would hope this Founder has more to share in retrospective explaining the true reasons for suicide, such as:
* The margins of an online retail shoe business are poor (typically single digit).
* The costs of carrying unsold inventory will bury a company in debt.
* Being the first to deliver a product online is not a sustainable competitive advantage.
* Amazon is crushing everyone in retail.
- nicodjimenez 8y agoVery true. Businesses like this feel "greedy" to me, in that they are not particularly inventive or novel, but appealing in the financial sense that the market is big. Greedy companies fail.
- patd 8y agoFor some context on why it might have seemed like a good idea at the time (April 2009): * Zappos hadn't been acquired yet by Amazon (July 2009) * Amazon failed to compete with Endless (launched in 2007) * Shoes seemed like a great vertical at the time : Zappos did 1B in revenue in 2008 (vs 19B for Amazon) and competitors were popping up all over the world (Zalando launched in 2008)