don't take lightly these errors have destroyed many start-up companies

beijing time on feb.9, according to the website of science and technology, cnbc reported successful startups, but once the failure, will lose a very miserably, and these losers tend to make the same mistake.recently, vcs golden gate released a report together with the insead business school, lists the start-up to ruin a series of reasons.

now entrepreneurs rather happy, at least in the mind of the financing cost much less, as long as you are worth project, many companies are willing to significant investment, do not take care to your company may become unicorn(valued at$1 billion or above).however, sometimes too much money also is not a good thing, because it can lead to entrepreneurs to overconfidence.

let's together to understand those entrepreneurs, prone to error:

low operating efficiency

at times, the adequacy and excessive valuations will make many startups sour decision-making process, lead to some irrational investment, inefficient operations, defeated by competitors in the market.

products are not suitable for market

in this error report mentioned blippy start-up companies in the united states, the company allows the user to his own debts, and credit card shopping information posted on social networks.this involves the function of the sensitive information users cannot accept.investors said it was to the confidence and the trust of the user.

the market wrong

founded in 2011, the chinese startups gaopeng is group-buying websites, its operating mode is similar to the famous company, half of the shares of tencent still bought it at the time.the report says, gaopeng failed is because policymakers wrong understanding the chinese market."company on marketing mainly by email, although many people warned that chinese seldom see the email, but the confident gaopeng returns.when it come back, have already missed the best time."report.

product development is poor, weak competitiveness

market competition are the another reason for the failure of gaopeng, group-buying big rise, the chinese market the possibility 5000 similar sites, fight fierce after the live site for less than 10, eventually leading the market only have the big, if your product collection, no irreplaceability, failure is inevitable.

error value

show a start-up company valuation is the future of it, but accurate to predict the future is not an easy thing, all kinds of"noise"will appear to interfere with the audio-visual.because many before the listed company is the private sector, thus generally high valuation, and error of valuations are more likely to flattery '"start-ups.

the place on put together is narrated, the report says operating efficiency is low and the product is not adapt to the market is the most important cause of the failure of the addition, the report also mentioned the arrogance of administration, it will make big problem to appear on the company operation.

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