Things to Keep in Mind When Building a Startup
Clear understanding of the problem being addressed through the venture is vital, says Bosch India's head of Start Up Innovation
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The startup ecosystem across the globe is continuing to grow steadily. While some businesses succeed, many fail.
A well-known myth is that eight in 10 startups fail within the few years of starting out. In fact, a recent study by IBM Institute for Business Value and Oxford Economics says 90 per cent of startups in India, the world's largest startup ecosystem after the US and China, fail within the first five years of operation, with lack of innovation being the prime reason.
An earlier study by the US' Bureau of Labor Statistics claims that only half of new businesses survive five years or more, and about 30 per cent survive a decade or more. A 2012 research by the Harvard Business School said that 75 per cent of venture-backed start-ups fail.
We asked Debasis Goswami, head of Startup Innovation, at Bosch India, what key aspects aspiring or experienced entrepreneurs should keep in mind before starting a venture.