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The most important ingredients for a successful start up

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Answer the four entrepreneurial finance questions. Answer in five sentences if sufficient.

1. The text indicates that 12% of successful start-ups were based on an "exceptional idea" while 88% were due to "exceptional execution". Given that record, what are the most important ingredients for a successful start-up?

2. If a start-up was entering a very competitive market with few barriers to entry by new competitors, what concerns would you have about asset intensity?

3. Many "big-time" management consultants push a "consensus team building" approach to management as opposed to a top-down authoritarian approach. Would you agree that the team building approach is the best approach for a start-up?

4. Assume that you are a venture capitalist who must determine which of two start-ups to fund. The first is headed by a 40-year old tenured university professor who teaches in an MBA program. The second is headed by a 40-year moderately successful professional golfer. Who do you believe would more successful in heading a start-up?

Reference no: EM131136784

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