Enron Mail

From:newsletter@sbsubscriber.com
To:klay@enron.com
Subject:Strategy+Business Enews Exclusive: The Last Mile to ... Somewhere?
Cc:
Bcc:
Date:Thu, 19 Oct 2000 06:08:00 -0700 (PDT)

Welcome to s+b's enews, an exclusive new added-value from strategy+business.
This week:

THE LAST MILE TO ... SOMEWHERE?
By Tim Laseter, Martha Turner, Anne Chung, and Pat Houston

New York, Oct 17, 2000- Last week's announcement that the Web-based e-tailer
and delivery service Urbanfetch was discontinuing its business-to-consumer
operation came as no surprise to us. As we pointed out in the August issue of
strategy+business, such companies -- highflyers Kozmo.com, Webvan, and
HomeGrocer among them -- face limited online sales potential, high cost of
delivery, a speed-variety trade-off, and existing, entrenched competition.
"We believe the last mile may lead to the gallows rather than to the promised
land," we wrote.

Since that article appeared, Webvan acquired HomeGrocer, Kozmo cancelled its
plans for an initial public offering, and Urbanfetch closed its core
business. Are we gloating over our prescience? Not at all. We think all these
moves are signs of maturity -- and indications that one or more players may
develop a winning business model.

------------------------------
To read the full analysis:
http://www.strategy-business.com/enews/101700.html
-------------------------------
S+B's enews is an exclusive platform for e-business analysis, insights,
commentary, and other intellectual capital from the authors, strategists, and
editors at strategy+business.

Randall Rothenberg
Editor-in-Chief
strategy+business
------------------------------

To have your address removed from the enews e-mail list, go to:

http://www.sbsubscriber.com/services/welcome.cfm?ref=newsletter_register.cfm&D
=20001019060120&N=5429693.0&R=4428.0&frame=N.