If the Board doesn't put it up for sale there no one will bid for the company at this point. Lefkowsky won't vote sell. He's rather let Groupon just rot along with shareholders.
Why daily deals are dying
The daily deals model has two big weaknesses. First, businesses often can't make money after offering a steep discount and paying a site its cut of the sale. Second, the "loss-leader" strategy of attracting customers to businesses with steep discounts to generate additional purchases and customer loyalty doesn't work, since many customers were only interested in the next daily deal.
Groupon typically retains a 50% cut of each sale as a marketing fee. That might seem greedy, but it's not enough to keep the company profitable due to the expenses of running the site, promoting it, and hiring sales representatives.
in today's article.
Why is it so hard for people to come to terms about that. That's why Amazon threw in the towel. Not because they couldn't compete with Groupon. Because Amazon finally came to terms that the Groupon Model cannot make money, period!
If current NAV is $20.44 (which is forecast to drop to $19 and change with options exercised), what's causing the drop in Year 1 to 16.69?
You may be getting a swift case of diarrhea when the Earnings come out. I have yet to see Groupon not disappoint on the downside.