Groupon's expenses are larger than their revenue, and have been since inception. This is a Bad Thing. You could make an exception if unprofitably is caused by

Groupon's expenses are larger than their revenue, and have been since inception. This is a Bad Thing. You could make an exception if unprofitably is caused by re-investment into a model that is proven to profitable but requires a certain level of scale. Groupon isn't doing that however. What they're doing is reinvesting the money into other people's pockets.