Analogs - successful predecessor companies
Antilogs - why they are not successful
**Primary market reseach > people say what they might do
Secondary market research > what people actually do
Leaps of Faith - learn by doing and experiment
Dashboard to check Hypotheses
- Revenue model: who will buy? what will they buy? what delight are you offering? quantity? price? cost?
- Gross margin model: the spread? mix across product line? competitive advantage?
- Operating model: % of sales? reduce or eliminate costs? increase necessary expenditure?
- Working capital model: encourage your customers to pay in advance? responding time to suppliers and employees? holding inventory and pre-paid items?
- Investment model: to get the cash you need to get started