I’m an unabashed Groupon fan. How can I not support the Chicago based company that started the group-buying frenzy? Moreover, I’m just flabbergasted at the amount of value that they’ve been able to build in such a short time. The only problem with creating an extremely lucrative new market when you have little or no IP is that the competitors come out in droves. There are a lot of Groupon wannabes. A lot. Many of them will fall by the wayside as they realize that they’re not capable of building out the kind of sales/business development team needed to grow a group-buying business, but there are a few competitors that seem to be doing quite well. One of them is LivingSocial, which is based in Washington, DC (maybe they should focus on group-bribing of politicians, or is that called lobbying?). They now offer daily deals in 52 cities, and they have nearly $50 million in venture funding. They weren’t profitable yet as of March, but you have to think that they’ll get there soon.
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