Before Launching 3
Major Sections 4
Research & Development 4
Human Resources 4
Marketing & Sales 6
Achievements and Results Obtained 8
Key Lessons Learnt 8
Launching a high risk/ high return business is not a simple process. There are several key factors and criteria that need to be met in order for your venture to have a chance. Ignoring them would most likely result in complete failure, and this is why a large number of startups fail in their early stages. This simulation is meant to help me identify the key pitfalls and factors of success.
The purpose of this report is to communicate how I approached the problem of launching the high risk …show more content…
Initially I would go with option 1, however as I kept on failing I decided to try option 2 since it would help decrease my cash burning rate ( with the expense of less equity for me). I however, still continued to fail. This is because I later discovered that the major reason for my failure was my market initiative (which I will discuss later). And so, when I solved my market initiative problem, I was able to succeed with both option 1 and 2. I would then always choose option 1 since I would have a larger stake in the company.
Hours worked per Week:
I would initially start off with 60 hours then later (usually in the middle of the second year) decrease it to 40 hours. Finally, I would increase it back to 60 hours again to be able to stay ahead of the competition. I experimented with different options to try and get the most efficient overall R&D productivity and Team performance.
I always chose no salary
In my first two runs, I chose to go with Angel or corporate investors since I did not want to give away a big portion of equity. However, when I later decided to give the value added venture capitalist a shot I immediately saw the benefits. The value added venture capitalist attracted another major scientist in the radiophone technology to my firm. This helped speed up my research as well as decrease the cost from 60,000/ month to