7 reasons for the death of start up companies there are 7 autopsy reports
Category : livcrpcs
Abstract: in CB Insights published in the death of 146 companies on the list, there are 7 companies more typical, they have confidence, I want to change the world, but the cruel reality, these once hot companies did not survive in 2015 for various reasons.
there is a legend on the rivers and lakes, 90% of start-up companies will die!
published in the CB Insights in the death of 146 companies on the list, there are 7 companies more typical, they have confidence, I want to change the world, but the cruel reality, these once hot companies did not survive in 2015 for various reasons. What other startups can learn from their deaths,
1 creative crowdsourcing electricity supplier Quirky: die product is not the ultimate
released Quirky is a platform for innovation, people can vote for their love of the idea, the Quirky community weekly will select all products from the current creative a week submitted by a submitter and put it into reality, creativity has become the inventor of the product.
cause of death: many products have no profit margins, for example, the company spent $400 thousand to develop a Bluetooth speaker, but only sold 28. In addition Quirky blindly into too many vertical areas. For example, Wink is a wholly owned smart home Quirky projects, including cloud services storage security architecture, hardware product design, Quirky ambitions can be seen. Eventually, Quirky burned all the money and filed for bankruptcy in September. It struggled to change its business model after several rounds of layoffs, and eventually sold $1500 to Wink home business, which CEO had retired in August.
financing amount: $185 million. Andriessen, ·, GE, RRE, Ventures,, respectively; Norwest.
revelation: the traditional business in general after several grinding, the development of a favorite product, but the Quirky model violates this rule, despite the invention, little improvement. And there is no gravity, business clutter. What to do, but can not achieve the ultimate.
2 home sector originator Homejoy died of customer retention rate of
Homejoy is in accordance with the shared economic model to provide housekeeping service company, is also the first odd jobs (Gig economy) economic company, Homejoy is providing low-cost cleaning services.
causes of death: Re/code had an interview with Homejoy’s CEO AdoraCheung, according to Cheung, the company’s main