Gerry Tan who has worked earlier with Y Combinator which is a funding agency for startups, shares some important questions that all startups must pose to themselves before plunging headlong. The first of these is that entrepreneurs must have the right business idea and corporate strategy to go with it. Too many startups close down because a bigger player has acquired it and then let it rot. An example of that would be Posterous which at one time was a rival to Tumblr. Entrepreneurs must also be aware of what are the reasons they have chosen this particular line. Usually such people have interesting stories to tell. Startups must these days also explore foreign markets where certain businesses may prosper. People intensive operational profiles will do much better in China due to the greater population and resultant income inequality.


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