Short answer: Where does the venture risk come from?

The risks of starting a business mainly include the following aspects.

Risk 1: project selection is too blind.

Risk 2: Lack of entrepreneurial skills

Risk 3: Capital risk

Risk 4: Lack of social resources

Risk 5: Managing risk

Risk 6: Competitive risk

Risk 7: The risk of team disagreement.

Risk 8: the risk of lack of core competitiveness

Risk 9: The risk of brain drain.

Risk 10: the risk of consciousness

Entrepreneurial risk comes from the uncertainty of related factors in entrepreneurial activities.

In the process of starting a business, entrepreneurs should invest a lot of manpower, material resources and financial resources, introduce and adopt various new production factors and market resources, and establish or reform the existing organizational structure, management system, business processes and working methods. In this process, it is inevitable to encounter all kinds of unexpected situations and difficulties, which may make the result deviate from the expected goal of starting a business.

Research shows that the process of starting a business is often the process of transforming an idea or technology into a specific product or service. In this process, there are several basic and interrelated gaps, which are the main sources of the above uncertainty, complexity and finiteness, that is to say, under the given macro conditions, the risk of starting a business often comes directly from these gaps.

1. Financing gap. There is a financing gap between academic support and commercial support, which is a fault between scientific research funds and investment funds. Among them, research funds usually come from individuals, government agencies or enterprise research institutions, which not only support the creation of concepts, but also support the preliminary confirmation of the feasibility of concepts; Investment funds turn the concept into a product prototype with a market (this product prototype has satisfactory performance, has enough understanding of its production cost, and can identify whether it has enough market).

Entrepreneurs can prove the feasibility of their ideas, but they often don't have enough funds to commercialize them, which brings certain risks to entrepreneurship. Usually, only a few funds are willing to encourage entrepreneurs to cross this gap, such as wealthy individuals who specialize in venture capital for early projects and government-funded projects.

2. Study the gap. The research gap mainly exists between the research judgment based on personal interests and the business judgment based on market potential. When an entrepreneur initially proves that a specific scientific breakthrough or technological breakthrough may become the basis of commercial products, he only stays at the demonstration level that he is satisfied with.

However, this level of demonstration is not feasible in the later stage. In the process of transforming the expected products into commercial products (mass production products), that is, products with effective performance, low cost and high quality, and in the process of surviving from market competition, a lot of complex and possibly expensive research work (sometimes it takes several years) is needed, thus forming entrepreneurial risks.

3. The gap between information and trust. There is a gap of information and trust between technical experts and managers (investors). In other words, there are two different types of entrepreneurs: one is a technical expert; The second is managers (investors). These two kinds of people have different education, and their expectations, information sources and expressions for starting a business are also different. Technical experts know what is interesting in science, what is feasible in technology and what is impossible to achieve.

In the case of failure, the risks that technical experts have to bear are generally academic and reputation impacts, and there is no monetary return. Managers (investors) usually have a better understanding of the procedures for introducing new products into the market, but when it comes to the technical departments of specific projects, they have to trust technical experts. It can be said that managers (investors) are taking risks with other people's money. If technical experts and managers (investors) can't fully trust each other, or can't communicate effectively, then this gap will become deeper and deeper, bringing greater risks.

4. Resource gap. The relationship between resources and entrepreneurs is just like the relationship between pigments and brushes and artists. Without pigments and brushes, artists can't realize their ideas even if they have them. The same is true of entrepreneurship. Without the necessary resources, entrepreneurs will be at a loss and there is no way to start a business. In most cases, entrepreneurs may or may not have all the resources they need, which forms a resource gap. If entrepreneurs can't make up for the corresponding resource gap, they can't start a business or be controlled by others in their business.

5. Manage gaps. Management gap means that entrepreneurs are not necessarily excellent entrepreneurs and have excellent management ability. There are two main types of entrepreneurial activities: first, entrepreneurs use a new technology to start a business. He may be a professional in technology, but he may not have professional management skills, thus forming a management gap; Second, entrepreneurs often have some kind of "whimsy", which may be a new business idea, but they do not have outstanding talents in strategic planning or are not good at managing specific affairs, thus forming a management gap.