"It's the same with other high-beta vocations, like being an actor or a novelist. I've long since gotten used to it. But it seems to bother a lot of people, particularly those who've started ordinary businesses. Many are annoyed that these so-called startups get all the attention, when hardly any of them will amount to anything."
I see so many comments on HN poking fun at VC backed startups with underdeveloped business models. Sure, a lot of the criticisms are well deserved, but I wonder if a part of it is because people are bothered by the power law phenomenon.
I think that's true. I also think that the cliche of the venture-backed entrepreneur who goes for growth yet has no idea how the company will generate revenue is mostly false. Most of the smart entrepreneurs I know who are apparently pursuing that strategy actually know exactly how they're going to make money, they just don't say much about it up front.
I see so many comments on HN poking fun at VC backed startups with underdeveloped business models. Sure, a lot of the criticisms are well deserved, but I wonder if a part of it is because people are bothered by the power law phenomenon.