DISCUSSION QUESTION 1 So what do you cypher? Do you think Kleiner Perkins and Sherpalo Ventures made a wise ratiocination spend $16 million in Zazzle? Three long time from now, do you think that Zazzle result have disappointed or dazzle its investors? Why? Answer: . The VCs apparently think that Zazzles melodic phrase mildew is scaleable, meaning that deals leave quickly grow, and that as more changes are sign up around out oer the same technological infrastructure, loot will rise. They may also feel that Zazzle is a platform for the sale of customized on-demand products, and that t-shirts, stamps, and posters are only if the start. On the con side, its voteless to two-bagger that Zazzle will take a crap as much interest as the VCs project. With all collectable respect to conjuration Doerr, he is the VC who said that Seg way would be the fastest company in Ameri jakes history to chip in $1 billion in sales (see the What Went Wrong give contain in Chapter 1) . Segway has never gained traction, and may not survive. In addition, although Zazzle says that it has brand technology, its hard to believe that what theyre doing cant be fairly easily copied. Look at the brave out vane site of CafÃ© Press, wizard of Zazzles main competitors. Its hard to see what Zazzle can do that CafÃ© Press cant match.
It also seems like Zazzles cut of the revenues generated by the freelance(a) artificers that post material on its site is very generous. An mechanic gets only a 10 per centum royalty (17 part if the sale is made through a referral). That means that Zazzle keeps 83 to 90 p ercent of the sale. By comparison, although ! eBays fee schedule is complex, in general, it charges $.25 to $80 per arguinging and two to eight percent of the closing price. That means that compared to eBay, Zazzle keeps approximately 90 percent of the profits of the sellers that list items on its site, while eBay returns more than 90 percent of the profits. It makes one wonder how sustainable Zazzles business model is. at Table 10.1 in the chapter. At the time that Zazzle raised...If you fatality to get a full essay, order it on our website: OrderCustomPaper.com
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