The old Bike 1.0 business model as practiced by Trek, Giant, and Specialized relies on a shrinking market where a relatively few “smart” retailers prosper at the expense of a majority of “dumb” ones.
In this model, the “smart” retailers capture more and more market share until they (and a few dominant brands) effectively control the market. It’s a pretty good theory…until you look at the actual facts.
Read more of Rick Vosper’s Bike 2.0 blog here.
