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The Business of Fashion в Instagram

The Business of Fashion в Instagram

An essential daily resource for fashion creatives, executives and entrepreneurs all over the world.

For nearly a decade, venture capital firms bankrolled buzzy, cleverly branded direct-to-consumer product companies like Bonobos and Glossier in hopes of exponential #growth, vying for market domination over a healthy bottom line. But this strategy has yet to pan out. Few #startups in the product category have been able to secure lucrative exits for their investors. Many are stuck on a cycle of aggressive forced growth, followed by fundraising higher and higher rounds to facilitate that growth   all without regard to profit.

The strategy often backfires, leaving founders with no option but to raise more money at a lower valuation   or shut down altogether. The public markets have also demonstrated that even the unicorns are worth less than what #SiliconValley predicted. On businessoffashion.com, we speak to investors about how their strategies have changed, and why profitability is finally taking precedence over explosive growth. [Link in bio]  : @glossier
For nearly a decade, venture capital firms bankrolled buzzy, cleverly branded direct-to-consumer product companies like Bonobos and Glossier in hopes of exponential #growth, vying for market domination over a healthy bottom line. But this strategy has yet to pan out. Few #startups in the product category have been able to secure lucrative exits for their investors. Many are stuck on a cycle of aggressive forced growth, followed by fundraising higher and higher rounds to facilitate that growth all without regard to profit. The strategy often backfires, leaving founders with no option but to raise more money at a lower valuation or shut down altogether. The public markets have also demonstrated that even the unicorns are worth less than what #SiliconValley predicted. On businessoffashion.com, we speak to investors about how their strategies have changed, and why profitability is finally taking precedence over explosive growth. [Link in bio] : @glossier

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