Groupon's value has taken a tumble. Good-they are leeches who make their money exploiting
I will make this disclaimer: I do not like Groupon. They seemed to be a hyper-valued scheme to make money off of other people's workers. They don't contribute anything, they don't make anything, they just take everything they can. Skimming their money from desperate businesses who are hoping for customers. I have read testimonials from several companies who used Groupon and all of their experiences were pretty bad. They lost huge on their sales and they had little repeat business.
Groupon only makes sense if you have a giant company with great sales in some places to buoy your weaker establishments. Either way, Groupon is very destructive to our smaller independent businesses. Groupon basically brings Walmart prices to your industry during the coupon's lifetime. Bill's neighborhood mechanic can't compete with a $12 oil change Groupon coupon from the big chain. A few months of that and Bill is gone. Probably working for Jiffy Lube at minimum wage.
So, Groupon's stocks have tumbled from $20 to $3.92. Not worthless yet, you can still buy your way into this pyramid scheme for less than 4 hard-earned dollars, but not far from it. I'm glad America has realized that Groupon is nothing more than business sharks looking for a way to fleece money out of people without actually having to work or produce or add anything to the fabric of America.
If you're wondering who those "takers" we keep hearing about are, here is a prime example. Groupon. Bain, of course, is another example.
http://www.nytimes.com/2012/11/09/business/groupon-earnings-miss-expectations-on-weakness-in-europe.html?ref=business&_r=0
SAN FRANCISCO (Reuters) — Groupon reported financial results late Thursday that fell short of Wall Street’s already cautious expectations, as the daily-deal company failed to turn around its struggling European business.
Groupon also confirmed that it had laid off about 80 employees, mainly in sales, as part of an effort to automate the way it handles its deals.
The company’s shares fell as low as $3.21 in after-hours trading, down as much as 18 percent from their closing price of $3.92. Groupon was the darling of investors during last year’s consumer dot-com boom in initial public offerings, but now it has shed more than 80 percent of its value since making its public debut at $20 a share.
Wall Street has grown uneasy about Groupon’s prospects as daily-deals fever wanes among consumers and merchants, and as growth rates sputter. Adding to the difficulties, the S.E.C. has been looking into Groupon’s accounting and disclosures, an area of controversy during its initial public offering.
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