To celebrate Halloween we have been looking at 13 of the biggest mistakes businesses or people in a business have made that are certain to leave the people in charge whiter than ghosts! And for our special Halloween blog we thought we could share them all with you.
Let the countdown begin...
Spreadsheet errors are costing companies billions because of mistakes with formulas. It was estimated that 88% of all spreadsheets have errors in them.
A team of Lockheed Martin engineers used the English system of measurement in 1999 but the rest of the team used the metric system for a Mars Orbiter. The use of two different measurement systems ended up preventing the spacecrafts navigation co-ordinates from being transferred meaning the orbiter was lost in space. It cost NASA $3.4 billion.
A Brazilian bank bought an airport for £242 million from a Nigerian man. Sounds like a good business deal but the problem was, the airport was fake! This is regarded as the biggest fraud case in banking history.
Can you imagine if there were another Twitter? Well there was at one point. Google bought Jaiku the micro blogging platform that was actually growing faster than Twitter for a while and they shut it down. There is now no way of telling whether or not it would have been as successful as Twitter. These days Twitter is worth around $4 billion, with a 50% probability that Jaiku could have beaten Twitter, that's a $2 billion mistake for Google.
In July 1988, oil workers were forced to evacuate from the Piper Bravo oil rig after an explosion which ended up killing 167 people out of the 226 men working there. After a routine check, inspectors removed and replaced all safety valves apart from one, unaware, a worker pressed the start button and the gas started to leak.
News Corp bought MySpace for $580 million and it looked like a great idea at the time. Due to mismanagement and Facebook however, MySpace stopped growing and now News Corp would be lucky to get $50 million for it now.
AOL bought Bebo for $850 million thinking it would be a good idea, they then sold it for $10 million... Need we say more?
Victor Chang's first start up idea was LifeCrumbs - a special journalist app which seemed brilliant to him but he didn't test it with potential consumers. This cost him five months building the app and he says not testing it beforehand was a 'terrible mistake'.
In 1989 Sony bought Columbia Pictures for $4.8 billion but the cost of the deal increased when Sony then had to spend a further $200 million to buy another production company and then another $500 million to settle a lawsuit.
In 2000 Netflix proposed that it would handle BlockBuster's online work for it, and Blockbuster could host its store in component (eliminating the need for mailed DVD's). According to an interview with former Netflix CFO Barry McCarthy 'they just laughed us out of their office'.
Mistake 3 <br.>
Has anyone heard of Excite? If they had taken up the chance to own Google then you would have... Excite could have bought Google for less than $1 million. Google now has more than $130 billion in assets so it is now worth more than 173,333 times what Excite would have paid for it.
Kodak filed a patent for one of the first digital cameras back in 1977 however, they made so much money on film that they didn't introduce the technology at the time to the public. When Kodak finally got into the digital market after others had started too, they ended up selling cameras at a loss and couldn't make the strong gains they needed too as others at this point had more experience.
In 2009, Facebook turned down two programmers for jobs. Then a few years later, the pair developed WhatsApp. Facebook then purchased the app for $19 billion
There's only one thing left to say...
Happy Halloween from the LF team.