February 21, 2018  
 
Gaebler.com is a daily online magazine covering small business news. We help entrepreneurs transform ideas and innovations into greatness.

Small Business News for Entrepreneurs

 

Small Business Startup News

 

Being The First To Market Is Not Always The Best Bet

Written by Ken Gaebler
Published: 5/26/2009

Some entrepreneurs may be better suited to let others make the first mistakes in a new venture.

When entrepreneurs have a new product they often want to rush to market with the idea, but for some that may not be the best plan of action.

Entrepreneur Early Stage Company

BusinessWeek reports that a recent study from professors from the University of Waterloo, Southern Methodist University and Indiana University finds that when there are few other competitors on the market, companies may be better suited waiting it out and learning from the mistakes of others.

An example of this of this is David Cohen and his folded company iContact which BusinessWeek says was able to raise more than $600,000 from investors for its social network idea for mobile phones back in 2004. But being one of the first on the market meant it was difficult for Cohen to get phone carriers on board and the company was done after 18 months.

"Everybody was saying mobile was coming, it was going to be open; GPS was coming, it was going to be great," Cohen told the news provider. "That didn't really happen for another four years."

The good news for entrepreneurs who do plan to go to market is that they may not need funding to make their dream a reality. In a recent interview with Reuters, Cliff Reeves, head of Microsoft's emerging business team, said that as technology makes it easier for a small business to get off the ground there is less need for outside funding.

Have Friends Who Might Like This Article?

Tweet via @gaeblerdotcom Share this on Twitter

Let them know on LinkedIn

Ready to Learn More? We Think You Might Like These Articles:

 


About Our News for Small Business Owners

If this news for entrepreneurs inspired you, you can find other breaking news for entrepreneurs on our site. We cover current news stories for business owners. In addition to breaking news for entrepreneurs, we also have tons of how-to articles that cover topics like getting business loans, hiring and firing employees, getting publicity and much more.

 

 

Additional Resources for Entrepreneurs

Help for Native American Entrepreneurs

Resources for Gay Entrepreneurs

Businesses for Sale

Online Entrepreneur Tools

Economics

Lists of Small Business Incubators

Lists of Angel Investors