Amazon started off selling books. What do you think their margin for each was?
Then they took over a large part of the market. Then they moved into selling other things like electronics.
Then they made the Kindle and controlled the device people read on and the starting point and the buying point.
Now they are getting into publishing and self-publishing.
They are taking over everything starting with taking over the online selling point for books.
That's what a fashion startup earning only 10% can do.
Use the 10% (which is mostly profit) to power an engine that slows takes over all of fashion.
Move into parallel areas like shoes and accessories.
Then starts making their own stuff.
I appreciate your trying to defend the poster of the original short-sighted article.
However, if you look at building a real business that has the power and control to completely take over an entire industry then starting online is much better than starting in the backend.
If you want to provide services to publishers who publish books (which is what back end would be for books) - well and good.
But there's nothing transformative about it.
The real transformation is to replace Publishers.
that's why the poster of the original article is so wrong.
She thinks she's thinking big by talking about tackling the back end instead of doing online sites.
However, the real prize is to replace the entire pipeline and then, if the company so chooses, to replace labels and the entire fashion industry.
Amazon started off selling books. What do you think their margin for each was?
Then they took over a large part of the market. Then they moved into selling other things like electronics.
Then they made the Kindle and controlled the device people read on and the starting point and the buying point.
Now they are getting into publishing and self-publishing.
They are taking over everything starting with taking over the online selling point for books.
That's what a fashion startup earning only 10% can do.
Use the 10% (which is mostly profit) to power an engine that slows takes over all of fashion. Move into parallel areas like shoes and accessories. Then starts making their own stuff.
I appreciate your trying to defend the poster of the original short-sighted article.
However, if you look at building a real business that has the power and control to completely take over an entire industry then starting online is much better than starting in the backend.
If you want to provide services to publishers who publish books (which is what back end would be for books) - well and good.
But there's nothing transformative about it.
The real transformation is to replace Publishers.
that's why the poster of the original article is so wrong. She thinks she's thinking big by talking about tackling the back end instead of doing online sites.
However, the real prize is to replace the entire pipeline and then, if the company so chooses, to replace labels and the entire fashion industry.