Response from: Arthur Trueger    (10/05/07 4:37pm)

This report, although dated now, shows interesting figures. It is not surprising that online business with no brick and mortar locations have significantly higher failure rates than traditional brick and mortars. The barriers to entry for an online endeavor are much less than traditional off line business, and there is less preparation necessary to launch. The process of starting a business offline weeds out all the people without the know how or drive to properly run an organization, which leads to higher failure rates online.