OPINION: Did ‘Social Business’ Sink the Cardboard Bike?
Tuesday, June 10, 2014
Why hasn’t the project taken off? One possible culprit: “social business.”
After talking up the virtues of a “social business model,” the start-up behind the bike, Cardboard Technologies, expended considerable energy trying to raising capital from Indiegogo donors uninterested in profit. The lack of a profit motive may have played a role. It also didn’t help that the price of the bike kept shifting—from $20 to $290 to $95 plus $40 shipping. Would-be investors had to wonder: Was the bike going to have a revolutionary everyman price, or wasn’t it?