Before talking about the "failure". the one question that i want to ask from you is that
'what it needs to build a successful startup?'
there are many such answers to this question, the same old answers 'be passionate', 'solve in small steps' and ' work on good ideas'. but,
is this sufficient for an entrepreneur?
Nope cause we don't need a successful startup story we need a failure's story that gives us an idea of
common mistakes that an entrepreneurs do.
If you find your intellect matches to these points stated below, then you need to improve yourself and your business before entering to the market.
1. Creating unnecessary market needs.
Most of the people don't really want to do an entrepreneurship they are just an imitator means that they love to copy others it's actually not their fault but it's a human nature.
We don't want any kind of risks in our life so we start doing those things which are already done.
The main aim of an entrepreneur is not to become a business man but to bring revolution in their field coming back to our topic.
what I mean by saying the above paragraph is not to create even such things that are not useful or don't try to create new market and if you want to create a new market then it should be related to the existing market
let's take an example to better understand this from the fashion industry,
suppose you have created a new fashionable item let's say a "keyboard shaped "costume that you think it is unique, you wanted it to be in the market and you launched it what will you find?
SOLUTION:-
You'll find that most of the people don't like this product because they don't want to look like a freak.
But, if you create a button with different look , the chances of selling your product is high because you
showed up the creativity in the existing product.
From here one more question arises that "In the above paragraph you said that it's necessary to create new products and now you are saying that it should be linked to the existing product then what's new in that?"
Let me take you to the another ride of example with a true story.
every one has heard about 'Wristbands' and almost every one once wore that but what if i say there is different kind of band in which a big stone is embedded what will you call it, a different product or just
a modified wristband?
it's a different product it owns it's patent rights which means it's different.
2. Limited scalability.
In this top three topic's i didn't choose" poor management " cause this is what you should learn it's not something to talk about it's something that should learn step wise and from the failure. if some one tells you about the management of your team without knowing your aim and what you do, so i highly recommend not to listen such people.
coming back....
if you have an idea before you start, see whether it's scalable or not because some of the business don't seem to be scalable and they loose everything at one point.
how can I check whether it's scalable or not?
SOLUTION:
Keep innovating your product because in this business world it's a survival of the "innovative".
people love .seeing slight change in the existing product try to add more products but keep maintaining
your quality of the previous product or idea, if it's difficult for you to maintain then it's not recommended
to have more products until your first product gets height.
3.Out of cash.
most of the startup failure reason is they ran out the cash ,
it's the job of CEO to look into this matter he/she should understand how much money is left and how much time will it take to end up, having these small calculations are necessary.
if you have already gone with series 'A' it's quite difficult to get funding again and quite risky
because this is the peak time for your company usually at this stage most of the founders sell their company as they don't see the future in it.
it's quite hard to left your company where you kicked your a** more than once.
SOLUTION:
Achieving milestone is necessary without that your company valuation will decrease. and the funding that you will be getting will cost you , so try to divide your milestone in small milestones and try to achieve it.
And it's necessary to complete your milestone even if it takes you to the ground.
if you have started your company simultaneously in the different cites and you don't have much people to manage and if you do have them then most probably they will not work or just leave you with your company and it's true with many company,
if you got in this type of situation then make your area small and try to focus on the time , quality and the people . though you will get hatred but believe me this will vanish when you start caring people not to yourself.
STAY SAFE AND KEEP READING OUR BLOGS :)
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