Lite-Netics did not get an investment from the Sharks.
Courtesy of litenetics.com
1. A festive string of Christmas lights that are hung using strong magnets on the base of each bulb.
2. No more hammering, tacking, and untangling - just snap the magnets to a metal surface and voila!
3. Spend less time getting frustrated, and more time with your family and loved ones.
Well Lori bursts this jolly segment's bubble right off the bat, by asking Shawn if the lights will stick on alumninum - a popular house-building material in most of the US. The answer to that question is "no". Magnets don't stick to aluminum.
The segment goes a bit down-hill from there for Shawn, but he maintains his jolly-holiday demeanor throughout, regardless. His retail price is way too high, and because the price of magnets is not negotiable, he will probably never be able to get his cost down to something in the same ballpark as traditional lights.
And, as Lori also points out, the lights themselves are a little "off-trend" - people like their Christmas lights small and "classy", not the big old fashioned bulbs he features. That's a generalization, of course, but that is the trend.
It's not ALL bad news for Shawn, though. He gets an offer from Kevin for 50% of his company, with Kevin promising he'll make some calls and generate some cash-flow for Shawn based on his patent. Shawn is unimpressed, but doesn't turn it down right away.
Daymond comes in with the same kind of offer, but for only 40%. Both he and Kevin pitch pretty hard to Shawn, but Shawn is unmoveable and turns them both down, deciding that he'll continue trying to sell to wholesalers on his own.