I wish I could find the link again - but I recently saw an article somewhere in which Wadsworth (head of WDIG) was quoted as saying "there was no valid business plan" in place for VMK, which contributed to the closing. I find that interesting, since:
- I am sure that a hand full of VMK players could have easily come up with a viable "business plan" by spending 1 afternoon in a conference room together somewhere.
- As a Disney stockholder, I find it a bit troublesome to think that WDIG even spent the money to originally launch VMK apparently (per Wadsworth) without any thought first having been given to a business or operations plan.
If Wadsworth's comments are true, it does not exactly fill me with confidence that WDIG is spending (doubtless) thousands of shareholder's dollars on various initiatives without giving any advance thought to what they are spending that money on! No way to run a business in my experience ... having some sort of a plan in mind before you start making infrastructure, design and staffing investments seems like a pretty basic concept to me.
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E2A: I found the link, Steve Wadsworth was quoted in an LA Times article. Link to the article below, but here is the text of his comments that I found so odd:
"It never achieved scale," Steve Wadsworth, president of the Walt Disney Internet Group, said in response to questions last month at the EconSM conference. "It was promotional. There was no business model attached to it. It had a small but passionate audience."LA Times Link