E-commerce is a growing rapidly industry in recent years. There are a lot of successful E-commerce companies such as e-Bay, Amazon, Yahoo and Google. But there are also have failure E-commerce companies such as Pets.com, Boo.com, Go.com Webvan.com and etc.
Boo.com was a United Kingdom internet company founded by Swedes Ernst Malmsten, Kajsa Leander and Patrik Hedelin. Moreover, Boo.com launched in the year of 1999 to sell branded fashion apparel through the Internet. Besides that, Boo.com Company spent a huge capital ($135 million) into the business, and later it ran into liquidity in the May 2000.
The reasons of Boo.com failures are problem with the user experience and mismanagement from the start. Moreover, Boo.com had a poorly designed interface for its target audience. Besides that, Boo.com website was complicated and not user friendly which relied heavily on JavaScript and Flash technology. As a result, it is very slow to load at the time when dial-up internet usage was a norm. Meanwhile, Boo.com required the site to be displayed in a fixed size window, which limited the space available to display product information to the customer.
Poor management lead to Boo.com spent a lot of cash to market itself as a global company but then had to deal with different languages, pricing, and tax structures in all the countries it served. Furthermore, Boo.com was recruited large number of staff and contractors with lack of direction and executive decision about how many and what were required by Boo.com. Other than that, the most important cause is Boo.com sales did not match expectations; it is due partly to the very high number of products returned by customers. Consequently, Boo.com placed into liquidated in the May 2000.
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