Fitbit Thesis

In the article -FITBIT: THE BUSINESS ABOUT WRIST- the authors talk about a company that specializes in the manufacturing and the sale of wrist devices. The major talking point is the company, Fitbit, which opens its first day of trading at a price that is significantly higher than that of the initial public offer. The authors of the article highlight the attention that is drawn on the company that shows signs of growth and success in the future. However, people have reservations about the potential of companies such as Fitbit. The article, therefore, highlights what the company is, and what it can become.

In support of their main thesis, the authors draw the attention of the readers to several issues that the company may face that may derail

The emergence of stiff competition is as a result of the growth witnessed in the wearable device market, which Fitbit operates in. furthermore, by the time the company went public in 2015, it had dominated the American market by 76%, even though this success does not guarantee future progress. Many brands have been attracted to the smart wearable device markets since then, and as a result, there is a slow decline in the sale of the company. What has been witnessed recently is an attempt by the company to try and gain its market dominance that was witnessed in 2015 through other strategies, for instance, the launching of the water-resistant watches. It is more of a reactive strategy than a proactive plan. In the same context, it is difficult to determine whether these companies are focused on the manufacturing and sale of smartwatches or fitness bands, others combine the two products. The growth and success of Fitbit are further derailed by the decision by many users to stop using the devices after six months. The smart devices are considered useful, but once the users are happy with the progress and change they have made in their lives, they find no reason to continue using the