GRPN is and will be a neccessity for every new eand existing retail business
There is no better tool then Groupon today to market your business and make money. I get a common feedback that we did not know that so and so business existed or I would not have tried them had it not been for Groupon..
The shorts are just posting few negative reviews from retailers who made the wrong choices of not capping their deals, etc. Common sense will prevail and this is one long stock to hold..
Similar sentiments existed for ebay and google in early days...I am living this again within a decade...Amazing opportunity..
Lemmie guess. You are an 'investor' in GRPN. That is you bought on the first dip thinking you'd make a quick 10-20% and exit feeling smug. Now you are down 40%+ and you keep rationalizing the reasons why this must go up and thereby justifying your initial entry and decision to hold.
Oh well... some lessons are just learned the hard way
Get real! Business people are forced to sell product at 50% with 50-50 split. So you are selling at 75% loss, with no hope of repeat customers. These customers will simply go to the next deal. Many businesspeople friends I spoke to, tried Groupon once, lost a ton of money, and said never again.
Yes, there may be a sucker born every minute. Pretty soon you will run of them.
Groupon loses buinesspeople's money, now they want to lose your money, retail investor!