Most internet start-ups are also unlikely to achieve long-term success because their owners are opportunists looking for short-term profit at the expense of their customers, according to a survey published today.
According to PricewaterhouseCoopers Management Consulting Services, dot.com opportunists sacrifice long-term success at the expense of short-term gain – with a massive 85% of dot.coms not rating the completion of customer orders as important.
The warning follows several high-profile dot.com crashes including boo.com and clickmango.
Bill Bound, European e-business consulting partner at PricewaterhouseCoopers Management Consulting Services, said: ‘Traditional companies’ emphasis on fulfilment is the result of years of experience – whereas the dot.coms believe that strong marketing will persuade customers to log onto a website and order goods that never actually get delivered.
‘The lack of focus on traditional business skills is also holding dot.coms back – their biggest challenge is to achieve financial credibility in the marketplace’, Bound added.
Bound added: ‘The prize will go to those organisations able to apply a different, faster, more flexible and leaner operating style to their internet activities.
‘The challenges facing pure play dot.coms are how to achieve credibility in the market place and match the financial strength of incumbents.’
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