Groupon has boldly and courageously put down its powerful hammer rejecting search giant Google’s $6 billion dollar acquisition.
Groupon is a company offering discounts, deals and coupons for groups of people on a large variety of goods. This is a combined social networking site aimed for discount deals. The idea here is that the company posts coupons or large discounts for a certain merchant which would become active once a minimum number of people pledge to buy the product. Groupon has gone micro, targeting local shops across 300 cities around the world. Currently their staff has 3,000 employees who have sold more than 18 million coupons for merchants since it launched in 2008. Because of the economic challenges, a large number of people flocked to the internet sniping at discounts and the ease of group buying that Groupon provides is a big time saver which quickly caught fire. Groupon was given the title as the fastest growing company in history and is bound to break more records as they move in to earn $2 billion dollars in just two years of operation.
Because of this meteoric rise, search engine giant Google has offered the company $5 to $6 billion dollars. Groupon CEO and founder Andrew Mason is just 30 years old and the offer by Google is hard to resist. Wrong! Groupon didn’t think $6 billion dollars was a good move for the company, and Andrew even teased saying that only McDonalds or Exxon can buy his company. Simply put, he doesn’t want to sell Groupon. Andrew is definitely confident on the growth and potential of his company that he sees no reason to get acquired. Approaching $2 billion dollars in sales is mighty indication of the potential growth of this company. So many companies with five times the workforce of Groupon couldn’t even break the $1 billion dollar annual revenue and having a company that pulls in ton loads of cash with low operating cost given that all they need are telephones and people calling merchants whole day long have to stand on their own, grow and make a name for itself. For Andrew, these aren’t sentiments but a clear vision of where he can take the business.
Groupon has got balls and they sure threw the hammer down at Google mightily strong.
People get absorbed in work and before they realize their current situation…