education

Feb 23

20 Questions for Startup Success

UWTV just aired 20 Questions for Startup Success, which was a guest lecture by Norm Meyrowitz, the former President of Macromedia (1993-2004).

Watch on UWTV
(Runtime: 00:56:22)

What problem does this product solve?
How does the product solve that problem?
Who are the end users of the product?
Is there a large addressable market of actual users?
Who is your revenue-supplying customer?
Are there enough of these paying customers to make a huge business?
Does the product solve a problem that end-users/revenue supplying customers actually have?
Side note, be aware of fads such as social networking and the long tail.
Are you sure it is a product and not just a "feature"?
Does your stuff easily fit into the way that people already work?
Or are you relying too much on people changing the way they work because your stuff is so great?
Are you too involved in HOW you are building your product rather than WHAT you are building?
Who are the potential partners? Who are the required partners?
What is the go-to-market strategy?
What is your sustainable competitive advantage?
Do you have a time-to-market/first mover advantage?
Are you ahead of the pack and can you stay there? Are you too early?

"The law of increasing returns" aka exponential growth or network effect.
Can you be number 1 or number 2 in this space? Who is the competition?
"Be ready to compete with people who are better than you."
Is there a team formed/identitifed with a record of successful ventures?
Have they done something like this before?
Is there a "soul" of the team that knows where this product AND business is going for the next few years?
Is anyone on the team insane? Are the members of the team totally passionate & aligned on this business?
Are there product/technology/operations barriers to sucess?
If yes, can they be overcome?
Are there marketing/sales barriers to success?
If yes, can they be overcome?
Are there legal barriers to success? If yes, can they be overcome?
Is there an exit strategy? (IPO or enough possible acquisition candidates to make acquisition a slam dunk)