Essays on Why New Business Start-Ups Fail Assignment

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The paper "Why New Business Start-Ups Fail" is a wonderful example of an assignment on business. Simply put, a business start-up is one that is new in the market. Such businesses are sometimes established under some partnerships or as stand-alone entities. The essence of such businesses is based on some prevailing circumstance or an opportunity in the market. At times, the basis of start-ups is in some demand in the market. However, there are some compelling circumstances that make business start-ups fail.                       One of the reasons why business start-ups fail is because of a lack of proper market strategy.

When going into business, it is critical to have a strategy for the future. For start-up businesses, the focus is ever on the product and not on future prospects of the market. A proper marketing strategy is one that plans appropriately for the future. When there are no plans for the product going into the market. A market strategy entails a number of issues that are critical for the growth of the business (Feinleib 2012, p. 23). Having a proper forecast and focus on the customers, the business is able to make inroads into the future in so far as market strategy is concerned.                       A sound business idea is critical for the establishment of any business.

Business start-ups never have an idea that can be transformed into something that is workable. When investors get ready to invest in a business, an area of concentration is on those entities that are scalable. This means that businesses that have a wide mandate in the market are never a viable option for potential investors. Investors always go for those businesses that are not general, but specifically with respect to any target market.

To this extent, start-up businesses fail in the sense that there is no idea that that is specific to the business that is to be established (Reuvid 2011, p. 45). For start-ups, the experience is ever a big issue. Since start-ups are merely business entities that are new, there is no experience needed for market sustenance. Experience in a business entity has all to do with knowing the right forecasting methods, cost structures, and resource utilization.


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