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Why startup fail ?

Introduction

  • Are you startup?
  • Are you planning to start a new business?
  • Do you want your startup to be successful?
  • Are want to become a successful entrepreneur?
  • Want to build a successful startup?

One of the major reasons behind the failure of startup’s is the lack of innovation based on consumer’s need.

If you are an entrepreneur and struggling to retain your startup, the following points will help you figure out the reasons behind debacle to recover from the crisis.

Reason #1: Lac of innovation which can make people’s life easy by understanding people need.

Reason #2: Being a one person team

(“Individuals don’t build great companies, teams do.”-Mark Suster)

Reaon #3: Negative cash flow, Negative working capital.

Reasons #4: Expansion with Negative Margin. 

Reason #5: Lac of Talented Manpower/ Lac of Right Team/ Weak team, poor leadership.

Reason #6: Scalability Without Recerring Revenue Model.

(while engaging a new customer, they are unable to retain their present customer, which disturb regular inflow of revenue and consequently hurt their profitability and scalability).

Reasons #7: Lac of Poor Marketing/ Marketing is not an expense it is an investment.

Reason #8: Not studying the consumer behavior.

(It is important to position your product on the basis of its identity, price, culture, in short customer buying behavior).

Reason #9: Save yourself from getting outcompeted.

(While launching your business, you need to observe your competitors and be prepared to tackle any distruption caused by them). 

Reason #10: Lac of Business Model Of Complete Eco-system.

(Facebook, youtube, amazon are the example of those who have build a huge ecosystem).

4 Comments

  1. Nilesh Pandey

    Nice article sir

    Reply
    1. Pagarpani.com Author

      Thanks nilesh pandey

      Reply
    2. Shukla

      Nice sir

      Reply
      1. Pagarpani.com Author

        OK

        Reply

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