Is Lyft losing money because they are offering a service below cost or because they are spending on marketing to acquire and protect market share? One seems unsustainable and one seems manageable.
How do you make that conclusion based on that data? Lyft's total operating loss is greater than all of their sales and marketing expenses! And I'm assuming all their promos and specials fall in that sales and marketing budget, so if they cut that budget their revenue would tank.
Honestly, I like Lyft as a rider, but this feels like a total pump-and-dump. I predict their stock looking like Groupon's trajectory at best.
