Disrupting the business of…breakups?

Via: Forbes

Some of the fastest growing tech companies these days, the ones that have become darlings of Wall Street, are known as ‘disruptors’. What exactly does that mean, though?

It’s pretty straightforward, actually. When a company is commonly referred to as a disruptor, they are, quite literally, disrupting the industry in which they reside. For instance, Air BnB is a disruptor within the hospitality industry, flipping the traditional hotel business model on its head (although there is now speculation that that company will affect online travel booking sites like Travelocity more than it will hotels). Another disruptor example, and perhaps the best known? Uber. While that company has been criticized recently by some well-known investors as little more than an overvalued app, it is inarguable that Uber has had a huge effect on, has ‘disrupted’, if you will, the taxi cab industry. The sheer amount of resistance those companies receive from lobbyists and governments at both the local and more national levels is evidence enough of their disruptor status.

However, a new company, the aptly named ‘The Breakup Shop’, is looking to disrupt an entirely new, previously untapped industry; the break up.

A new ad from The Break Up Shop (Via Newser)

While the idea might seem silly, or even somewhat mean-spirited at first glance, there might be some substance there, some are now saying. Certainly, break ups are a wide reaching problem. And further more, there must be a portion of the population who finds the whole situation so uncomfortable, so unpleasant; that they might forsake good manners, societal norms, and invoke the chagrin of their friends and family to employ this company that will end their whole relationship situation for them.

In fact, the site’s potential appeal goes even further than that. In a recent round of marketing, they raised the question of what’s worse than being dumped via a brief call, or even worse, a text? Well, The Break Up shop offers multiple levels of courtesy when they do the breaking up for you. A slight price increase over their base break up model includes a nice card, and even pricier versions include coping mechanisms like a copy of the Notebook or Call of Duty.

And while we’re not the first site to reach this conclusion, it is a logical one; The Breakup Shop is hardly the first enterprise seeking to profit off of heartbreak. And you need look no further than Taylor Swift’s career for an example of that. Perhaps the business of heartbreak is an industry ready for some disruption, after all.

Ralph Lauren to step down as CEO of his namesake brand

Via: Business Insider

Truly an American rags-to-riches story that is simply as good as it gets, legendary fashion designer and businessman Ralph Lauren has announced that he will be stepping down as CEO of the iconic brand, capping a more than four-decades-long run as the head of the label. The 75 year old will stay on as the Chief Creative Officer and Executive Chairmen.

The man himself. (Via Businessoffashion.com)

As with many classic American Dream stories, Mr. Lauren’s starts with incredibly humble beginnings. Born Ralph Lipschitz to immigrant parents living in the Bronx, he spent his childhood escaping the harsher realities of his life with movies. He would project himself onto iconic film stars like Carey Grant and Gary Cooper, and that air of elegant escapism is a noted influence on what he would eventually bring to the fashion world.

After serving in the military, the designer moved back to his native New York City, taking his first job in the fashion world as a clerk at Brooks Brothers. It was only a few short years later however, that a chance journey out to a polo match would change the course of his life, and American fashion forever. Warren Helstein, the friend who brought him to the polo match recounts; “We were exposed to fabulous things. The leather, the silver, the horses, the tall, slinky blondes with the big hats, and the high society that we weren’t really knowledgeable of.”

Of course, that would all change soon. Mr. Lauren started his classy, elegant brand soon after that; the brand that would eventually transform into Ralph Lauren. He started with ties; broad, bold ties at a time when simple, slim ones were the norm. They were an immediate hit, earning the fledgling company entry into department stores, and $500,000 in revenue that first year. Of course, he did not stop there.

Lauren’s design ideas flourished from there, producing iconically classic pieces that people would want to wear; clothing fit for a movie star. And the rest, as they say, is history.

Markets shot downward on Monday, but there’s reason NOT to be worried

Via: Forbes

Within minutes of the market’s opening yesterday (Monday) morning, the Dow Jones plunged nearly 1000 points, creating the pained hashtags (#BlackMonday), and anguished GIFs that accompany a market slide in 2015. It was the type of correction that is usually seen anywhere from 1-3 times per year, and although it was indeed painful while it lasted, it was not necessarily outside of the norm. Markets are already back up today, negating all but about 195 points of that drop, and none of the usual indicators that would precede an imminent bear market seem to be in place.

And while single day shocks like that are exactly that; shocking, of course long term trends are really what supplies the fundamentals of both investing, and the stock market in general. Despite some criticisms that the past six years’ gains are more due to Fed policy than real economic strength, the market has gained substantially in value over that time, only a tiny fraction which was erased yesterday. The graph below does a good job of illustrating this point.

See? Not so bad in context. (Via Forbes, YCharts)

There is no shortage of sources of possible instability in the markets heading forward, including China, a possible interest rate hike in September (although that looks slightly less likely on the heels of this instability), and more; but for now at least, there seems to be at least a bit of hopeful optimism.

Ferrari set to file for IPO

Via: Source

Even if you can’t quite afford one of the legendary Italian supercars, you may soon still be able to own a piece of Ferrari itself. No, there’s not some new supercar-crowdfunding/crowdsharing app (dibs that idea) set to debut, but in fact, the legendary automaker is set to become a publicly traded company for the first time in their illustrious history. Let’s take a look at some of the facts on Ferrari ahead of the IPO.

The question investors ponder with Ferrari is simply, is this a good investment? Or is this simply an investment everyone is going to WANT to make. Or does that fact that everyone is going to likely want in on the Ferrari action make it a good play in itself? Indeed, there is a lot to consider.

Ferrari is a relatively unique automaker. They produce at an incredibly low volume compared to many other automakers (shipping just under 8,000 cars last year, as compared to over 36,000 shipped by Maserati), which makes their main customer base of serious collectors, enthusiasts, and actual performance and race car drivers incredibly loyal. But of course, low output can also put a limit on profits, although the company has always performed more than solidly in the past.

This IPO deal is interesting for another reason as well. It is mainly being done to decouple Ferrari from FCA, which currently owns 90% of the company, the other 10% being owned by Piero Ferrari, son of the company’s founder. After the deal, roughly 80% of equity will be in the hands of shareholders. What do you think? Is Ferrari a good long-term stock pick? Or would you be better off simply saving up for one of the gorgeous vehicles?

1stDibs is a website with an awesome name; even cooler purpose

Via: Source

Filling in a digital space unfulfilled by eBay, Amazon, or any other online marketplace, website 1stDibs was created all the way back in 2001 to serve a different purpose; replicate the finest art gallery or auction house experience all online. Connecting art dealers with clients seeking their wares all across the globe seemed like an obscure mission a decade ago, but now, 1stDibs is uniquely, and excellently positioned to almost exclusively serve a huge market. How exactly did they do it?

Via: Sparkcapital.com

Indeed, as was previously mentioned, the company started all the way back in 2001; and from the get-go, the site sought to replicate the legendary Parisian Marche aux Puces; open air markets filled with art of all kinds. And now, close to 15 years later, the company has evolved into the leading online market place for fine art, furniture, jewelry, and other treasures; all listed by some of the best-known, and most reputable dealers in the world.

The company, now guided by CEO David Rosenblatt, removed dozens of pain points that kept both art dealers and collectors from having access to collections around the world, whether they are on the buying, or selling side. It is an area with a lot of demand, and not a lot of direct competition for 1stDibs, making them an incredibly interesting company to keep an eye on.