- Advertisement -
Wednesday, July 8, 2020
Home Entrepreneur 11 Reasons Why Most Entrepreneurs Fail in Business

11 Reasons Why Most Entrepreneurs Fail in Business

- Advertisement -

Most importantly, it is better to cross-check whether you are committing some of the most common and damaging mistakes that entrepreneurs across the world commit. This includes:

1. No Importance of Target Market

Many entrepreneurs seem to fall in love with their product/creation. The feeling of having created something overwhelms their sensibilities. They forget that for commercial success every product or service, no matter how great, needs a target market. Similarly, some entrepreneurs launch businesses without defining what constitutes their core/target market.

2. Getting Dejected by Early Failures

The biggest of brands and the most worshiped of business gurus faced failure during their initial days. So, what makes you different? Why do you need a guarantee that losses will never come knocking on your door? The learning curve is essentially the same for everybody. Entrepreneurs who aren’t ready for the drill shouldn’t consider themselves as long-term players. “No Pain, No Gain” isn’t just a gyming quote fad, it is a truth about life, including running a business.


3. Running Excessive Overhead Costs

Every start-up needs to go through a phase of financial crunches, breaking-even and entering profitability. Unless an entrepreneur is backed by daddy’s unending money resources, it doesn’t make sense to operate in a lavish manner. Recruiting staff beyond the immediate requirement and allowing overheads to exceed the initial estimate starts eating into financial stability.

4. Inability to Lead When Difficulties Arrive

An entrepreneur is expected to take harsh decisions. However, many new startup owners lack this skill. They cannot remove unwanted employees, cutback on supplies or correct the problems at the grassroots. Communication without conviction and taking half-hearted measures leads to critical decisions being procrastinated, causing business losses.


5. Failure to Market Aggressively

Having created a great product doesn’t guarantee success to anybody. You need to market it and make investors and consumers realize its uniqueness. Many entrepreneurs tend to sit back, smugly confident that the “greatness” of their idea will magnetize investors and sales.

6. Getting Obsessed with Profits too Early

Profitability in a start-up doesn’t come easy. When it does arrive, entrepreneurs tend to jump towards saving and spending. What they don’t realize is that they need to invest in sustaining the prospect of their business. A new business needs constant financial boosts until it becomes well-oiled, profitable machinery.


7. Lacking the Will to Sell

Some entrepreneurs fail for a rather basic and stupid reason, i.e. they never yearned for becoming an entrepreneur. These are folks who became entrepreneurs under the illusion of success coming easily to those who are their own boss. People who aren’t ready to pamper the customer’s ego shouldn’t turn industrialists or service-providers. If someone is pathologically hesitant of reaching out to people and working around the clock, becoming an entrepreneur shouldn’t even be a consideration. A better option would be to find a regular, desk job.

8. Dreaming Beyond their Horizon

Yes, entrepreneurs are supposed to dream big but this wisdom holds true when they are ready to dream big about capturing a bigger market and providing better customer services. Dreaming about too many supplementary sources of income or trying to divide the current resources for things that aren’t related to the core business idea slowly infects a business. It is better to stick to the identity that defines a business and improve upon it rather than divide your focus.


9. Inability to Communicate Effectively

Communication is the pivot of all forms of management and running a business too requires effective communication. Entrepreneurs often fail since they don’t know how to communicate with purpose. This isn’t limited to employees or supply vendors. It also refers to communicating to their audience, financing authorities, probable investors and people who have supported them for launching the business.

10. Not Being Humble to Customers

Many new entrepreneurs suffer from the misconception that the grandeur of their business plan or exclusiveness of their product means that customers are going to appease them. There is virtually no business niche today that has been able to maintain its monopoly. The biggest and best of business ideas get replicated within weeks of engaging the initial hysteria. Why would customers stick to an uncaring entrepreneur when a more welcoming competitor is humbly waiting?


11. Aiming for Glory without Gumption

Many new entrepreneurs are guilty of starting with a reservoir of creative, positive energy but losing their strength when the reality hits them hard. Initial failures are synonymous with start-ups across the world. People who aren’t ready to invest their time and energy for the long haul shouldn’t enter this niche. Expecting recognition for their sacrifices and thinking of quitting when the going gets tough are not the traits associated with a successful entrepreneur.

- Advertisement -


  1. I discovered your blog site on google and test a few of your early posts. Proceed to keep up the superb operate. I simply extra up your RSS feed to my MSN Information Reader. In search of ahead to studying extra from you later on!?

  2. Good post. I study one thing more challenging on different blogs everyday. It would always be stimulating to learn content from other writers and observe just a little something from their store. I choose to use some with the content material on my weblog whether or not you don抰 mind. Natually I offer you a link in your web blog. Thanks for sharing.

  3. Good day! I just want to give a huge thumbs up for the great data you’ve gotten right here on this post. I will be coming back to your weblog for extra soon.

  4. Youre so cool! I dont suppose Ive learn something like this before. So good to find someone with some authentic ideas on this subject. realy thanks for beginning this up. this web site is one thing that is wanted on the internet, somebody with slightly originality. useful job for bringing something new to the internet!


Please enter your comment!
Please enter your name here

- Advertisement -

Stay Connected


Must Read

A Guide To Business Turnover And How To Calculate It

Every entrepreneur wants to know where his/her business stands at a particular point of time. In this case, it will be wise to use...
- Advertisement -

What is Entrepreneurial Marketing?

What is Entrepreneurial Marketing? Perhaps, you may be interested to know what it is all about. It is considered to be more of a...

Boosting Your Company’s Green Potential

Making your business eco-friendly has a number of benefits – from helping Mother Earth to showing the world what an amazing and considerate person...

Leverage Your Writing Skill Towards Startup Success

Entrepreneurs need to wear many different hats. The procedural aspect of running a business must be complemented by soft skills, which can be bad...

All Time Random Articles

Best SEO Tools for Your Website

SEO or Search Engine Optimization is one of the most important tools for promoting your website. You can use this tool for getting a...

How a Digital Freight Forwarder Can Help Your Business

1.8 billion. That’s the estimated number of people who have purchased goods online in 2018. In 2019, the number of digital buyers across the...

How To Follow Entertainment News Channels

First of all, there is a jungle, and many people get irritated. Or die of hunger. A special animal is needed to survive and...

Best e-commerce websites in Pakistan

E-commerce websites are on the rise. In the past few years, the number of successful eCommerce platforms has increased by leaps and bounds. Today,...

12 Reasons to have a Business Analyst Career

There are many reasons why one would like a Business Analyst career.  It could be at a point where operations seem a mundane task...
- Advertisement -
Select Language »