The global pandemic has profoundly shaped e-commerce. Many storefronts and shopping malls remain closed, and in an environment that risks consumer safety, shopping in person has become less and less appealing. This month has seen a record-breaking surge in online sales, and Wish.com made plans to go public.
Wish sold 46 million shares at $24 each, raising $1.1 million, and pricing at the top of its expected range. However, despite this success, analysts speculate failure. For the first 9 months of 2020, Wish posted a net loss of $176 million dollars.
Major Warning Signs Could Mean More Loss
Though once viewed as a unique and favorable facet, the cost of shipping products to the US directly from China – as Wish does – invites risk. The recent hike in postal rates between the two…