Showing all articles tagged: validation

Predicting the Probability of Venture Success ...

It is extremely important to identify the risks of a venture because even in optimal conditions, many elements are required for success. Take the following scenario:

  1. Management is capable and motivated 90%
  2. Market demand is as expected 90%
  3. Production is scaled up as planned 90%
  4. Competition is held at bay and IP is defendable 90%
  5. Liability and litigation is avoided 90%
  6. Company has sufficient capital 90%
  7. Existing customers are able and willing to pay 90%

Success Probability .9 x .9 x .9 x. 9 x .9 x .9 x .9 = 48%

In the event that even one of these risks is not assessed correctly, and the chance of success is actually 50 percent, the overall probability success is reduced to 27 percent. Clearly every risk must be kept to a minimum.

This is a good top-level checklist for early venture validation research.


Sources of Uncertainty ...

Good checklist for concept validation research ...

SWOT(T) Analysis ...

A SWOT(T) Analysis chart is a useful tool for analysis of a venture, the competition, the industry, customers, and as a tool for presenting a summary of such an analysis. [The extra (T) is for Trends.]

Venture Scorecard

Just as people have periodic health checkups where a physician examines a variety of elements to determine the overall condition of the individual, so too can a venture, company, business go through a similar process. Here are 30 categories to determine the strengths and weaknesses of a business venture. This is also a good checklist for early venture planning and validation research.


Jim Jindrick

Some tips, tools, and rules of thumb for innovation commercialization! You can send Jim Jindrick a message here: Jim's books are available here:

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