Why Start Ups Don't Succeed

In the modern economy, starting a business and entrepreneurship in general is known as the future of innovation but why do so many fail these days? From the last few years, the data shows that 90% of business startups fail before they have the chance to scale up . Now there are many reasons why this could occur - so, let’s start from the beginning. 

In order to succeed,you need to have the mindset of an entrepreneur. This includes seeing problems as opportunities, being decisive and being prepared to take risks. Unfortunately, many of those who start businesses lack these attributes. Even if you do tick the mindset box, and even if you have a brilliant idea - it is essential that the marketing strategy is right.

Indeed, one of the main factors that affects the success of a business (upwards of 35% of businesses) is marketing. Most of the time, owners and businesses don’t use social media effectively and as a result don’t reach the intended target audience. These days, apps such as TikTok and Instagram have an average of around two billion active users daily and so finding the right people is a challenge. Not having your marketing strategy on point and precisely identifying your customer base can be a killer.

Like I have already mentioned, business startups are nearly impossible to make a success. Nowadays, launching a company and business entrepreneurship in general is a huge risk. However, despite the high failure rates, there are still modern startups that manage to succeed showing us what separates the successful ones from the rest. A great example of this is a very practical one known as Canva which started as a simple idea to make graphic design easier for everyday people.

Canva was founded in Perth, Australia, by Melanie Perkins, Cliff Obrecht and Cameron Adams on 1 January 2013. It took until 2017 before it started to turn a profit demonstrating the need for belief and determination if you want to make it. As of last year, Canva was valued at a staggering $42 billion dollars showing what can be done if you have a great idea, the right mindset and an effective marketing strategy.

In conclusion, while entrepreneurship is often seen as the key to future innovation, the reality is that most startups fail before they grow. This is often because many lack the true mindset and do not take advantage of marketing strategies especially through social media. However success is still possible as shown about Canva. They store proves that with belief, determination and the right mindset. A simple idea can turn into a global success.