[127001brewer]

An article called "The Slow-Motion Trainwreck Facing the Meal-Kit Industry" relates how the meal-kit industry faces the same problem(s) as Groupon:

"The problem Groupon faced was that their initial success validated a model that anyone could copy, and everyone who copied it increased both Groupon’s cost of customer acquisition and its churn rate."

https://medium.com/@byrnehobart/the-slow-motion-trainwreck-f...

[tim333]

Indeed https://news.ycombinator.com/item?id=14646679 315 comments

[acchow]

Wait, isn't this how capitalism works? Can someone explain what I'm missing here?

[ams6110]

Yes, ideally in a competitive market for something that is a "commodity" type of good, profits fall to (near) zero. Not what VC investors are looking for.