the failure E-comm example that we choose is the DrKoop.com. DrKoop.com was launched in July 1998 by Donald W.Hackett and John F.Zaccaro wiht $6million from Superior Consultant Company Inc, a healthcare IT firm in Bloomfield,Michigan. DrKoop.com was a leading global healthcare Network which provide measurable value to individual world wide.
Its mission was to empower consumers with the information and resources they need to become active participants in the management of their own health. Koop owned a famous face before co-founding an Internet company and, indeed, before the Web even exists.
During 1998, the operating revenues notched just $43,000, but that didn't keep the company from going public in June 1999. Subsequently, DrKoop's business plan rested on advertising and in 1999, there were not enoguh of healthcare advertisers to support it and there are many others healthcare dot-com trolling for ad buyers.
Besides that, DrKoop.com failed to achieve complete success and are unable to face the challenges in market via Internet. According to their unimpressive and non-persuaded marketing capacity as well as other weaknesses, they failed to achieve the success and turn into bankrupt. DrKoop.com, the medical information Website taht was once valued at over $1billion, was sold to a Florida company for $186,000 in cash term.
Other than that, their shares sold to the public in June 1999, rose to $45.75 three years ago before it falling with the collapse if the Internet Stock Bubbles. There are several reasons why the DrKoop.com failed:
Its mission was to empower consumers with the information and resources they need to become active participants in the management of their own health. Koop owned a famous face before co-founding an Internet company and, indeed, before the Web even exists.
During 1998, the operating revenues notched just $43,000, but that didn't keep the company from going public in June 1999. Subsequently, DrKoop's business plan rested on advertising and in 1999, there were not enoguh of healthcare advertisers to support it and there are many others healthcare dot-com trolling for ad buyers.
Besides that, DrKoop.com failed to achieve complete success and are unable to face the challenges in market via Internet. According to their unimpressive and non-persuaded marketing capacity as well as other weaknesses, they failed to achieve the success and turn into bankrupt. DrKoop.com, the medical information Website taht was once valued at over $1billion, was sold to a Florida company for $186,000 in cash term.
Other than that, their shares sold to the public in June 1999, rose to $45.75 three years ago before it falling with the collapse if the Internet Stock Bubbles. There are several reasons why the DrKoop.com failed:
- company sank into a cash crisis for the trademark, websites and others.
- DrKoop.com didn't realized the goal of the health-care industry.
- consumers need more confidence to while DrKoop.com is unable to build the trust and the brand valuesassociated with name to the consumers via Internet.
- DrKoop.com is the target of several calss-actions lawsuits.
1 comments:
Most of the business are success in online by using these ecommerce, at the same time some of business are need to be failure by the reason of ecommerce. so doing online business with correct and get success . thanks for your good resource about ecommerce.
Ecommerce web developers
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