Fab.com’s Ascent to $1 Billion Valuation Brings Missteps
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Fab.com Inc., valued at more than $1 billion dollars after just two years in existence, is suffering growing pains from its rapid expansion as it applies a culture of meticulous control to a global business.
The online retailer -- a darling of the New York startup scene for its uniquely designed home goods, art and jewelry -- has made five acquisitions, expanded its staff to 650 people and spent tens of millions of dollars on marketing. It’s also lost or fired at least 11 of its executives in the past year and missed its targets for revenue by almost 20 percent.