A company which could not benefit from the e-business industry was boo.com was to sell high quality clothes internationally, using up to date technology including 3d and avatars to provide exceptional shopping experience.
In 1999 the company had spent $70 million on the costs and the web site was launched. It began with a 40% discount but the sales to this high cost company was low. In early 2000.
There was a lot of problems with the site. After the launch in 1999 site reviews were terrible. Many users could not gain users especially Macintosh users, site was full of errors, slow and difficult to use. One in four customers attempting to make a purchase worked.(ZDNet) .
Finally in Mid 2000 expenses totally exceeded sales and boo.com was liquidated and Fashionmall.com purchased boo.com's brand name, web-address, advertising materials, inventory and on-line content.
Lesson's that can be learnt from this is that with e-business creating value for the customer at the front-end of the business meaning useability. If the service is bad people would just not shop there even if the service provided is on the web.
