We have to give credit where it's due. Josh is a much better businessman than Fonzie. Watermelon is an older company than Limited Run Games and both started by selling niche indie games.
It was definitely dumb to put himself in that position again. If only he didn't drive away other people experienced with this who would have possibly kept such a thing from happening.
By not delivering and barely communicating, WM is just digging a hole for themselves. These aren't trivial amounts of cash for many and no one wants to play waiting games on expensive items. This is probably one reason for some of the cancelations.