Gurley recounts how Tony Hsieh doubled Zappos's payment terms from 45 to 90 days by threatening vendors during a crisis.
“And I said, how in the world did you accomplish that? And he said, I just called them all and said, if they didn't move to 90, we were going out of business.”
Gurley recounts how Zappos extended payables to 90 days versus industry standard of 45 during crisis.
“And I don't remember the exact number, but he said something like 90. And having worked with Nordstrom at nordstrom.com, I knew the industry standard was like half that, like 45.”