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Worst business decisions ever.


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1 hour ago, Commissar SFLUFAN said:

AT&T acquiring Time Warner using a mountain of debt (after acquiring DirecTV also using a mountain of debt)only to spin it off three years later is gonna be a business school case study for all eternity.

 

Whatever Discovery is about to do with the acquisition is probably gonna be its own separate business school case study for all eternity. 

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Target opening stores all across Canada and then shutting them all down a year later after failing completely. They put a bunch of rookies in charge of their supply chain and then stores were empty after a few weeks. They also didn't realize that in Canada, Walmart is nicer than in the US, so there is no real reason for people to go to Target. It's literally already being taught in economics and logistics classes about how not to fuck up your expansion.

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Yahoo turned down an offer to buy Google for $1M back in 98. That's got to rank up there. They even failed to buy Google a second time in 2002 for $5B, which would still have been an incredible deal.

 

Texas Instruments had a promising employee who they paid to get a Phd in electrical engineering at Stanford. He thought that TI should build semiconductor fabs to make chips for other companies. TI decided against it, so Morris Chang left and went on to found TSMC.

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56 minutes ago, GeneticBlueprint said:

New Coke.

New Coke is a fun cautionary tale, but it hardly affected Coke as a company. If anything the lasting legacy of New Coke is how classic Coke shot up in sales in the wake of it.

 

New Coke looked like the worst business decision of all time for all of 77 days, after which Coke cemented it's dominance over soft drinks in a way that hasn't changed since.

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Just now, TwinIon said:

New Coke is a fun cautionary tale, but it hardly affected Coke as a company. If anything the lasting legacy of New Coke is how classic Coke shot up in sales in the wake of it.

 

New Coke looked like the worst business decision of all time for all of 77 days, after which Coke cemented it's dominance over soft drinks in a way that hasn't changed since.

 

I was talking about the Sinoloa cartel's Coke. Everyone knows you stick with that. None of this Guadalajara shit.

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More personal/Canadian business hurt. Best Buy Canada bought/merged with Future Shop and were 2 separate operating stores. Then out of no where closed every single fucking store across the entire country, locking all workers out of the stores with no warning whatsoever in the middle of the week too. Although the Target thing was real bad and fucked themselves up by using a completely different stock ordering system then they had stateside. Let’s just say, pop went there to expire and some of them had 7-10 months shelf life. 

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It's a complicated tale and not really a single decision, but GE's reckless acquisitions and diversification took one of the worlds largest and most profitable companies and turned it into a shell of itself. It went from a founding member of the Dow Jones Industrial Average to being kicked off in 2018. They were worth $600B at their height and are worth ~$80B now.

 

If you want a single decision point, I'd also point to Nokia not adopting Android. Really they went from struggling with their own OS to their ill fated partnership with Microsoft, that lead to the company being broken apart and sold. What was once a $150B company commanding 30% of the entire mobile phone industry became a running joke of repeated failures that couldn't stay in the business. Nokia had a good shot to be to Android what Samsung currently is, but now they're a relic.

 

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This is from 1972

 

 

 

Xerox was 10 years ahead of anyone else and we are talking about 10 years in the computer industry, that is like 3 lifetimes and they did nothing with it.

 

Pretty much everything from the mother of all tech demos that occurred a few years earlier is here in commercial ready package. Again this was 1972

 

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EN.WIKIPEDIA.ORG

 

 

 

 

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