>This was a major part of the playbook of Standard Oil; I would consider them a real business.
True, and unlike modern VC-bacjked companies they didn't lose money in the others. BUT they were hit pretty hard with anti competitive legislation and were broken up as a result of these practices.
>Ponzi scheme" has been thrown around flippantly lately, and I think your comment is perfect example of that
We can agree to disagree, and I welcome you to a post about the subject from 2017 that pretty well explains my viewpoint (not my article) [1]. It's about Uber, but applies to all the recent IPO darlings
> it's a safe assumption that significantly more people order food from local restaurants than they did before DoorDash existed
What's your assumption based on? I figure it's either flatline or maybe had an impact on dining rooms. Either way, I have no data to back it up, but if you do I'd very interested.
>This I agree with, but for different reasons.
How is it different? They run an unprofitable business that rips off everyone involved and is subsidized by investors who were suckered into thinking this is a real business.
Anecdotal. Seeing restaurants that no longer do sit down and only do delivery, plus the creation of the ghost kitchen market. I also have no data, so I can't really defend this point. Just an observation.
>How is it different? They run an unprofitable business that rips off everyone involved and is subsidized by investors who were suckered into thinking this is a real business.
The point I was making is that the food delivery marketplace is a real business that delivers real value, just a sucky one with unclear value. Your comment seems to outline that you think it's built on hype and sucking in future money to pay past investors.
The fact that Lyft can, at times, be profitable disproves your point.
>"Anecdotal. Seeing restaurants that no longer do sit down and only do delivery, plus the creation of the ghost kitchen market. I also have no data, so I can't really defend this point. Just an observation."
Can you say what city you are seeing restaurants that don't do sit down and only do delivery? Are these brand new restaurants? I can't imagine anyone that was already paying rent for a dining room turning people away. I also find it hard to imagine that a delivery only restaurant would be operating in a place that has good foot traffic as that is usually factored in to the rent since it means access to walk-in customers.
Lastly has the "ghost kitchen" market actually taken off? What brand recognition is there in that market?
True, and unlike modern VC-bacjked companies they didn't lose money in the others. BUT they were hit pretty hard with anti competitive legislation and were broken up as a result of these practices.
>Ponzi scheme" has been thrown around flippantly lately, and I think your comment is perfect example of that
We can agree to disagree, and I welcome you to a post about the subject from 2017 that pretty well explains my viewpoint (not my article) [1]. It's about Uber, but applies to all the recent IPO darlings
> it's a safe assumption that significantly more people order food from local restaurants than they did before DoorDash existed
What's your assumption based on? I figure it's either flatline or maybe had an impact on dining rooms. Either way, I have no data to back it up, but if you do I'd very interested.
>This I agree with, but for different reasons.
How is it different? They run an unprofitable business that rips off everyone involved and is subsidized by investors who were suckered into thinking this is a real business.
[1] https://www.forrester.com/blogs/ubers-unicorn-ponzi-scheme/