Daily deal giant Groupon made quite the splash with its Initial Public Offering in 2011—but, in the process, garnered quite a bit of criticism, as well (as did its recently dismissed chief executive, Andrew Mason).
At first glance, Groupon seemed to be skyrocketing to success. And how could they not, with such a brilliant business model? The site’s message to its customers (i.e. business owners) was irresistible: “Whereas most marketing methods require upfront payment without providing any guarantee that your campaign will be successful, Groupon costs you nothing out-of-pocket.”