With the news today that Tesco are off loading the loss-making Blinkbox and with Jeff Bezos seemingly staring at a warehouse full of Fire Phones it begs the question, how can even the most successful businesses end up writing off millions in their quest to innovate and compete in particular market sectors where they have previously not traded?
Tom Weldon, PRH CEO was criticised by some for his lack of ambition when he took to the stage at Futurebook back in November declaring that, no, he did not believe in the subscription model and that publishers didn’t make great retailers.
But maybe he was right. What have we leaned over the past few months? That Tesco are not Amazon and Amazon are not Apple. And that no matter the scale of the organisation, there is no divine right to success, however significant the investment.