Chasing hype and quick-dying industry trends led to a string of pricy acquisitions that did not pay off (just look at the state of affairs at New Guards Group, Stadium Goods, Violet Grey, the hyped Farfetch stores on JD and Tmall in China, and you’ll know instantly). Lack of expertise of managing these businesses combined with a growing cold reception by the shareholders and a huge investment into a “tech park” in Portugal (I still wonder how with so many tech employees the product was still as primitive as it was, the efficiency is very low; by friends from IT in India and former CIS used to laugh at the size of the tech department in comparison to the low quality product output they produced) meant the company did not weather the past couple of turbulent years for the global economy with grace. A few big waves of lay offs, closing down regional offices and business units, slashing benefits and unpaid bonuses are among just a few things of the recent months, and an even grimmer outlook is on the horizon, unfortunately. It is genuinely sad for someone, who has been around for 5+ years to notice the company collapse from the pedestal it was once on. The senior management and the board are honestly too junior and incompetent for the size of the business they are handling. Hence, the management mistakes that cost Farfetch its reputation, talents and the future.
