12 Reasons Why Businesses Fail

Sunday, July 18, 2010, 12:40 AM | 10 Comments

Naeem Zafar is a faculty member at the University of California, Berkeley, where he teaches entrepreneurship and innovation at the Haas School of Business. He has extensive experience in advising entrepreneurs on starting new ventures in a variety of disciplines. He mentioned the following 12 points in one of his lectures for small businesses. Try to avoid, in your business, the missteps that so many businesses take. Your chances of success would increase by paying special attention to the following:

  1. Solving a problem that most users are not willing to pay to solve your way.

  2. Thinking that you can do it all by yourself – without a founding team.

  3. Lacking trust among team members – and not addressing the issue.

  4. Being overconfident or dogmatic and not questioning yourself.

  5. Lacking a crisp, singular focus – trying to be everything to everyone.

  6. Not having the vision to anticipate changes in the marketplace.

  7. Confusing a hobby with a business.

  8. Pricing incorrectly and not knowing your real competition.

  9. Failing to properly define your market and customers.

  10. Not having enough cash or financial resources available.

  11. Focusing on a market segment too small to sustain you and the others in it.

  12. Starting a business for the wrong personal reasons.

In a Nutshell
Before you start your own business, take time to talk to five potential buyers and users. Start jotting down what they say about their needs in the industry. Repeat on a regular basis.

Throw us a like at Facebook.com/doable.finance


  1. 10 Responses to “12 Reasons Why Businesses Fail”

  2. By ultrasound technician on Jul 18, 2010, 4:34 pm | Reply

    Great information! I’ve been looking for something like this for a while now. Thanks!

  3. By corolla on Jul 19, 2010, 4:34 am | Reply

    Some people see things that are and ask, Why? Some people dream of things that never were and ask, Why not? Some people have to go to work and don’t have time for all that..

    Sent from my iPhone 4GSome people see things that are and ask, Why? Some people dream of things that never were and ask, Why not? Some people have to go to work and don’t have time for all that..

    Sent from my iPhone 4G

  4. By The Diet Solution on Dec 2, 2010, 2:26 pm | Reply

    mply saying thanks won’t just be enough, for the wonderful readability in your documentation. I will instantly grab your rss feed to remain knowledgeable of any updates. Admirable work and far success in your online business endeavors!

  5. By 7 Day Belly Blast Diet Scam on Dec 4, 2010, 7:04 pm | Reply

    Excellent to read from a man who really can talk about it.

  6. By Sherise Boaz on Dec 6, 2010, 1:15 am | Reply

    immense weblog you’ve receive

  7. By Rob Poulos FBF on Dec 7, 2010, 9:32 pm | Reply

    Congratulations on having 1 of the most sophisticated blogs Ive come across in some time! Its just incredible how very much you can take away from anything simply because of how visually beautiful it is. Youve put with each other a fantastic blog space –great graphics, videos, layout. This is undoubtedly a must-see blog!

  8. By xoom on Dec 8, 2010, 11:16 am | Reply

    Albert Einstein~ If A is success in life then A equals x plus y plus z. Work is x y is play and z is keeping your mouth shut.

  9. By accelerate training on Apr 28, 2013, 6:10 pm | Reply

    Hi there! Would you mind if I share your blog with my zynga group? There’s a lot of folks that I think would really enjoy your content. Please let me know. Many thanks

  10. By Dallas on May 2, 2013, 5:52 pm | Reply

    If you want to take much from this paragraph then you have to apply these techniques to your won website.

  1. 1 Trackback(s)

  2. Aug 2, 2010: Tweets that mention 12 Reasons Why Businesses Fail -- Topsy.com

Post a Comment on Content of the Article

 

This is not a billboard for your advertisement. Make comments on the content else your comments would be deleted promptly.

CommentLuv badge