True product-market fit is a minimum viable company – TechCrunch

#News(Startup) [ via IoTGroup ]

Headings…
True product-market fit is a minimum viable company

Auto extracted Text……

I was one of the first investors in Lyft, Refinery29 and Xamarin.
Unlike most funds, we invest exclusively in seed, making us experts in finding product-market fit and building a minimum viable company.
Each of our partners sees thousands of companies every year before electing to invest in only the top three or four.
For the past 11 years, I’ve invested at the inception phase of startups.
We’ve seen startups go wildly right (Lyft, Refinery29, Twitch, Xamarin) and wildly wrong.
When I reflect on the failures, the root cause inevitably stems from misconceptions around the nature of product-market fit.
True product-market fit is a minimum viable company
Before attempting to scale your minimum viable product, you should focus on cultivating your minimum viable company.
Nail down your value proposition, find your place in the broader ecosystem and craft a business model that adds up.
In other words, true product-market fit is actually the magical moment when three elements click together:
To have built a minimum viable company, these three elements must work in concert together:
People must value your product enough to be willing to pay for it.
This value also determines how you package your product to the world (freemium versus free to pay versus enterprise sales).
Your business model and pricing must fit your ecosystem.
Your product’s value must satisfy the needs of the ecosystem and the ecosystem needs to accept your product.
Many entrepreneurs conceptualize product-market fit as the point where some subset of customers love their product’s features.
Many failing companies have features that customers loved.
To have created a minimum viable company, a company needs all three of these elements — value propositions, business model and ecosystem — working in concert.
Moving into “growth mode” while missing any of these elements is building your company on an unsound foundation

Read More..
AutoTextExtraction by Working BoT using SmartNews 1.02976805238 Build 26 Aug 2019