Post by arfanho7 on Feb 22, 2024 2:33:39 GMT -5
BY DEFINITION WHEN AN INVESTOR MAKES AN INVESTMENT IT CHANGES THE PROBABILITY OF SUCCESS” In a new working paper Shu asks the fundamental question that cases like Airbnb and other once unlikely now successful startups LinkedIn similarly got more than rejections back in seem to beg How do you tell a good idea from a bad one.
With startups especially high growth startups it’s extremely hard to predict the probability of success ” says Shu who studies innovation and entrepreneurship. When dealing with something truly innovative it’s difficult to compare it to anything that came before. That uncertainty makes the line between a tremendous America Cell Phone Number List success and a phenomenal flop a thin one. Predicting startup success or failure also turns out to be incredibly difficult to study. that later becomes successful it’s hard to know whether that is because the idea was inherently a good one or because the investment and mentorship made it good a self fulfilling prophecy.
Changing the likelihood of success In order to come to grips with the question Shu and co author Erin Scott of the National University of Singapore needed to find a setting in which they could pinpoint the relationship between initial evaluation and future outcomes—that is one in which experts were evaluating ideas but not funding them or advising them in a way that determined their success. “By definition when an investor makes an investment it changes the probability of success ” says Shu.
With startups especially high growth startups it’s extremely hard to predict the probability of success ” says Shu who studies innovation and entrepreneurship. When dealing with something truly innovative it’s difficult to compare it to anything that came before. That uncertainty makes the line between a tremendous America Cell Phone Number List success and a phenomenal flop a thin one. Predicting startup success or failure also turns out to be incredibly difficult to study. that later becomes successful it’s hard to know whether that is because the idea was inherently a good one or because the investment and mentorship made it good a self fulfilling prophecy.
Changing the likelihood of success In order to come to grips with the question Shu and co author Erin Scott of the National University of Singapore needed to find a setting in which they could pinpoint the relationship between initial evaluation and future outcomes—that is one in which experts were evaluating ideas but not funding them or advising them in a way that determined their success. “By definition when an investor makes an investment it changes the probability of success ” says Shu.