EGUO and Eleme: How Would Time and Other Factors Lead to the Success and Failure

Abstract

After years of development, how will time and other factors contribute to the failures and outcomes of EGUO in 2000 and Eleme in 2009, as representatives of O2O e-commerce? This study examines this question from two aspects. The main findings of this study : from a macro perspective, the economic background of a country is the external conditions for a business that can directly or indirectly influence the success or failure of business operations; the social factors influence general public’s purchasing needs and preference and are the most comprehensive factors that affects the success or failure of business operations; the technological environment of the Internet is the most important technological factor for the success of O2O e-commerce. From a micro perspective, EGUO failed because the macro environment was too poor, which led to high operating costs and eventually led to bankruptcy; Eleme's success was rooted in the development of the times and society, and its business model was built on a deep technological foundation and a large consumer base, which led to Eleme's final success.