Theranos&#x27; initial value proposition was to provide a blood test that didn&#x27;t require intravenous draw, which most people don&#x27;t like because it&#x27;s painful and off-putting. They proposed technology that could do most common blood tests from a drop of blood, collected from a pin-prick.<p>Their initial value proposition was not that they would simply open blood collection sites in pharmacies or supermarkets. That could have been a serviceable proposition had it been theirs, but it wouldn&#x27;t have justified their huge valuation. Their valuation is based on the idea that they would be able to do most blood tests from a drop of blood, collected from a pinprick. They have failed to accomplish this.<p>I hope that clears things up for you.