Theranos, a blood testing company founded by Elizabeth Holmes, made boastful promises but didn’t give the medical industry any new hope. For all intents and purposes, Ms. Holmes had a great idea while at University but failed to deliver in the long run.
According to Investopedia, several reasons are given as to why businesses fail. Most have to do with marketing. That is to say, the market isn’t defined, it’s not targeted, and it’s not being reached effectively. Time is required and the entrepreneur must effectively reach the new market before the money runs out. Also, it should be understood that one must have expertise in his or her endeavor. Furthermore, if there is a partnership, each partner’s role must be defined. If not, it can be a cause for failure.
There was plenty of venture capital over a generously long period of 15 years. The company was estimated to be worth $10 billion at its peak. Theranos partnered with Walgreens, a country-wide pharmacy store, so marketing wasn’t a problem.
Walgreens gave Theranos patients. But as for investors, their patience ran out. A lack of peer-review research and outright hogwash was enough for investors to pull the plug. They no longer had confidence in Ms. Holmes’s ideas or expertise.
|For all intents and purposes||(cliché) seeming as if; looking as if a person had good reason but doesn’t deliver|
|That is to say||In other words; or, to clarify or explain more clearly|
|In the long run||Over a relatively long or extended length of time|
|Entrepreneur||One who organizes and manages an enterprise; one who owns and runs his own business; an independent contractor|
|It should be understood||Be agreed without having to be discussed|
|Venture Capital||Money available for investment in startup companies and small businesses with a high potential for growth.|
|Outright hogwash||Purposeful deceit or trickery as a hog or pig uses dirty water to wash|
|Pull the plug||Prevent from happening or continuing|