Comments on: 80 Percent of Companies Won’t Fail Within 5 Years

By: nightshiftr - midnight entrepreneurs, getting rich working for yourself! » The importance of focus - how it helped me quadruple blog traffic in a month

Wed, 21 Nov 2007 21:10:49 +0000

[...] really well, what do you think your chance of success will be? The currently held belief is this: â€œWithin 5 years, more than 80 percent of them will failâ€. (Be sure to read an interesting perspe… Yes, there will be people in these “failed” companies who worked sixteen hour days, 6 [...]

By: GameProducer.Net » What Do You Think About These “Business Truths”

Thu, 23 Aug 2007 15:53:54 +0000

[...] second page. It was something that the author bases his ideas. And that’s pretty bad, because 80 percent of companies won’t fail within 5 years. Some merge to bigger companies, some business just survive. After hearing this “truth” [...]

By: Wanda Grindstaff

Wanda Grindstaff — Fri, 23 Mar 2007 14:23:05 +0000

Thanks for a fabulous article. I have been dispelling this myth for years. It never made sense that if so many failed, why did I personally know so many who had not failed? I also appreciate the comment about the definition of failing. Many entrepreneurs start a business to achieve a certain goal and when that goal is reached (i.e. retirement…etc) then they close the business. That is not failure, but success.

By: High Level Approaches to Passive Income Generation « The Residualist

High Level Approaches to Passive Income Generation « The Residualist — Mon, 19 Mar 2007 05:17:26 +0000

[...] for example, “The Seven Pitfalls of Business Failure and How to Avoid Them“, and “80 Percent of Companies Won’t Fail Within 5 Years“.Â But, regardless of what the real numbers are, there is a definite risk of failure, and a [...]

By: Johanna Bayliss Fuller

Johanna Bayliss Fuller — Wed, 28 Feb 2007 19:01:12 +0000

This has REALLY made my business studies task so much easier! Thankyou

By: 7 Reasons Why YOU Are the Next Great Game Developer - Game Programming with Steve Healy

Tue, 27 Feb 2007 05:30:38 +0000

[...] recognition and start applying for game development jobs at the big name studios? And two, read 80 Percent of Companies Won’t Fail Within 5 Years by GamProducer.net for the real scoop on [...]

By: Ali res 80% vseh podjetij propade v prvih petih letih? » Dejan Murko - Blog mladega podjetnika.

Sun, 25 Feb 2007 18:03:29 +0000

[...] dni nazaj sem na blogu GameProducer.net, kjer samostojni razvijalec iger piÅ¡e tudi o sploÅ¡nih podjetniÅ¡kih temah, zasledil prispevek [...]

By: Carnival of Entrepreur - February 14, 2007 | Pick the Brain - Getting Smarter Every Day

Wed, 14 Feb 2007 14:18:14 +0000

[...] presents 80 Percent of Companies Won’t Fail Within 5 Years posted at Game Producer, saying, “Yet they keep telling us [...]

By: SasQ

SasQ — Sun, 11 Feb 2007 18:20:40 +0000

Juuso: “First of all: it says ‘companies’. That suggests it takes into account all the companies in the world, all the industries. If you think about that bit more, could you see that perhaps ‘florist companies’, ‘IT companies’ and ‘car seller companies’ might have a bit different survival rate?”
In the NLP this is called “generalization”, and is a kind of “information hiding” technique ;)
Juuso: “You can also think about the â€œ80%â€. Thatâ€™s quite a rough number.”
Yees, and it’s another kind of “information hiding” ;)
It’s said that “80% of people believe in something if there is some statistical data in it” ;)
I know quite funny example of laying statistics, which annoys me in one commercial ;-J Some company producing well known yoggurt says in it, that they’ve made research at a group of +- 200 children in some Polish schools [they aren't in my city, but well.. maybe they've been in others ;-J]. Every student ate their yoggurt for a week or two ;-J After that they’ve probed those children and they say that it founds out that for ~80% of them their health state was good ;J
I’m listening to this and think to myself that it’s good that only 20% of them have suffered from this yoggurt :D
Well, unfortunatelly not everyone knows how a trustful research should be performed, and it have to be a control group who don’t eat that yoggurt at the same time, and that it’s good to have other group who’s eating placebo, etc., so, the average [hehe :D] Kowalski eat that crap, and their yoggurt too ;-P

By: Juuso - Game Producer

Juuso - Game Producer — Fri, 09 Feb 2007 06:44:25 +0000

@Jake: Sounds good.
@Scott, as said: the researchers I mention talk about ‘exit rates’ – but the old “wisdom” about “80% failing” might not take that into account. Restaurant business is pretty good example about exit plans. Good point.