Business Models
Why Peloton's bikes are a loss leader, not a profit center.
The numbers reveal Peloton's hardware barely breaks even. Their subscription model generates twice the revenue, funding the company long after delivery.
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BUSINESS MODELS AND UNIT ECONOMICS
Shoprite gave R1 billion in discounts and grew profit. Here's how.
Shoprite cut prices on 14,400 products, boosting sales and customer visits to R136.8 billion. Uncover the operational engine that makes deep discounts profitable.
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Unit Economics
Is your most profitable product actually destroying your business?
Starbucks learned the hard way: a high-margin sale can tie up capacity and kill overall profit. Learn why profit per hour, not per item, is the only metric that matters.
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Business Models
The R1.9 billion cash trap that blindsided SPAR. Could it hit your business?
Working capital, the cash flow between paying suppliers and collecting from customers, caused SPAR's R1.9 billion debt surge.
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Turnarounds
Starbucks almost collapsed under its own complexity. Here's how it recovered.
The coffee giant became a 'food-service labyrinth' with endless options, driving customers away and profits down. Discover the radical simplification that saved it.
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Post-Mortems
A single warehouse cost SPAR R123 million. Here's how it happened.
SPAR's centralized distribution model promises efficiency, but a single KZN warehouse exposed its critical vulnerability, leading to a staggering R123 million loss. What went wrong?
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Business Models
Why Nike walked away from Amazon: the real cost of bad partners.
Nike's bold move revealed how short-sighted channel strategies erode brand value. Learn why focusing on partner purpose is crucial for sustained demand.
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From the archive
4 years ago
Business Models
Why Peloton's bikes are a loss leader, not a profit center.
The numbers reveal Peloton's hardware barely breaks even. Their subscription model generates twice the revenue, funding the company long after delivery.