Monday, November 14, 2011

Do Fads And Businesses Come And Go Quicker On The Net?

 It's better to burn out 
Than to fade away
My my, hey hey....Neil Young

 Watching Groupon's IPO and with Zynga waiting on deck, I wonder...are we seeing a new business ?? Do fads and online businesses come and go quicker on the Net?

I still think Groupon will go down as the company that generated $1b faster than any company and will also go bankrupt quicker than any company to generate $1b.

Starting a website business requires very little capital but can start generating revenues immediately. A great idea/site can spread rapidly producing staggering revenue growth..but for how long?

Looking at Groupon's financials and most recently Zynga's, the two next Internet "blockbusters", I am wondering if the viral effect of the Net that caused their meteoric rise, will also kill them too. Their growth would have taken years for a pre-Internet company.

Do fads come and go faster on the Net?

Never click "Forgot your password" again with LoginRecall

No comments: