I don’t know, but even if that’s the case it would seem like it’s working as intended?
It’s better to know if something will not succeed and you can’t easily tell without testing in the market.
The incentive alignment with equity seems like the most critical piece and it has the bonus of rewarding employees for taking on the extra risk.
This lets you spin out big ideas without spending all of your money - a little like running internal VC (one big success could make up for all of the other failures).
I think at this level capital is not really the main constraint. It's attracting talent and creating a culture/environment where success is possible, even then that's just a necessary but insufficient prerequisite for success among all of the other non-capital reasons a startup might not succeed.
It’s better to know if something will not succeed and you can’t easily tell without testing in the market.
The incentive alignment with equity seems like the most critical piece and it has the bonus of rewarding employees for taking on the extra risk.
This lets you spin out big ideas without spending all of your money - a little like running internal VC (one big success could make up for all of the other failures).
I think at this level capital is not really the main constraint. It's attracting talent and creating a culture/environment where success is possible, even then that's just a necessary but insufficient prerequisite for success among all of the other non-capital reasons a startup might not succeed.