Startup Mistakes

  • Picking a bad idea
    • Regulatory problems, such as privacy, laws, …
    • Creating something that no one wants.
    • Ideas that don’t scale
    • Ideas that solve inconsequential problems, they don’t create fans and are easily replaced
    • Failure to define what core job the product or service is trying to do
  • Building bad product
    • Lack of support in different platforms
    • Iteration velocity: long and slow iteration cycles
    • Building a product with low Net Promoter Score(NPS).
    • Disregarding customer experience: Customer Experience Inversion is creating a product around the experience you wish the customers to have.
  • Human resources
    • Not having the right co-founder
    • founders are not suitable(don’t fit) with the idea
      • Personal Market Test Failure: when founders work with ideas that they have no direct experience with or fail to test them around their future customers.
      • When you don’t know it’s market
      • When you don’t have experience in creating the product or providing service
    • Hiring poorly
    • Teams: lack of a well-crafted team. it’ not exceptional individuals that make great things, it’s exceptional teams.
    • Failure to ask for help
  • Lack of focus, management, or planning
    • Failure to define your success and failure metrics
    • Failure to scale up in time(read “Economies of Scale”).
  • fail to execute sales and marketing.
    • Failure in social media.
    • Failure to create Network Effect: Each additional user increases the utility of the whole platform for everyone.
    • Customer Acquisition Cost is higher than Customer Life Time Value
  • Cash problems
    • Founders often underestimate the amount of capital they'll really need to launch and keep their business afloat.
    • Chasing investors, instead of customers
    • Spending too much money