A startup’s best friend? Failure

Few niches crashed more spectacularly during Web 1.0 than the pet sector. In the space of just nine months in 2000, Pets.com managed to raise a jaw-dropping $82.5 million in an IPO, air a $1.2 million Super Bowl ad starring its sock puppet mascot, land funding from Amazon.com, build a network of cavernous warehouses ... and go out of business without making a penny in profit.

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