Perhaps I’m having flashbacks to the Rupert Murdock & MySpace deal, but Google’s Six Billion Dollar bid for Groupon seems a little El Ridiculoso to me.
As Jim Wang from Bargaineering.com cleverly put it: Google is basically buying an email list because Groupon is too new for brand loyalty.
I’m all for entrepreneurship, and I sincerely congratulate Groupon’s management team for talking up their business value and long term growth potential, but 6 Biiilllllion Dollars seems a bit much for me.
However, this sort of thing is fairly motivating if you have an entrepreneurial mind: toss together a questionable internet business (in terms of sustainability in the presence of competition), piece together a really big email list, talk it up every chance you get, pay a Kardashian to tweet about it once a week, and then pitch the Google’s and Rupert’s of the world to buy your business for 10 fold more than it’s intrinsically worth at the peak of it’s popularity.
Then it’s sandy beaches and mojitos for life.
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Flickr by smemon87