Why Startups Fail book cover

Why Startups Fail by Tom Eisenmann Summary

Why Startups Fail
Tom Eisenmann
4.15 (475 Reviews)
Entrepreneurship
Business
Leadership
Overview
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Overview of Why Startups Fail

Harvard professor Tom Eisenmann's "Why Startups Fail" reveals six predictable patterns behind entrepreneurial collapse. Endorsed by top VCs and based on hundreds of founder interviews, this "gem" challenges conventional wisdom, offering crucial insights whether you're launching a venture or investing in one.

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Key takeaways

1

The Startup Autopsy: Patterns Behind Entrepreneurial Failure

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Every 12 hours, a venture-backed startup dies. Behind each failure lies not just a failed product but shattered dreams, depleted bank accounts, and valuable lessons. Why do promising startups with talented teams and seemingly brilliant ideas collapse? The answer isn't as simple as "bad idea" or "poor execution." Harvard Business School professor Tom Eisenmann spent years investigating the ruins of once-promising ventures, identifying distinct patterns of failure that occur throughout a startup's lifecycle. These patterns aren't random - they're predictable traps that even the smartest entrepreneurs fall into. Think of them as entrepreneurial quicksand - by the time you realize you're sinking, it might already be too late. But understanding these patterns doesn't just explain failure; it provides a roadmap for avoiding it. As Reid Hoffman noted, "understanding failure patterns is the secret weapon of successful entrepreneurs."

2

The Alignment Imperative and Resource Paradox

3

False Starts: Building Before Understanding

4

False Positives and The Speed Trap

5

The Moonshot Paradox: Cascading Miracles

6

Rising From the Ashes: Life After Startup Failure

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"Perfect balance between learning and entertainment. Finished ‘Thinking, Fast and Slow’ on my commute this week."

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"Crazy how much I learned while walking the dog. BeFreed = small habits → big gains."

@Matt, YC alum
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"Reading used to feel like a chore. Now it’s just part of my lifestyle."

@Erin, Investment Banking Associate , NYC
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254
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"Feels effortless compared to reading. I’ve finished 6 books this month already."

@djmikemoore
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"BeFreed turned my guilty doomscrolling into something that feels productive and inspiring."

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"BeFreed turned my commute into learning time. 20-min podcasts are perfect for finishing books I never had time for."

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@OojasSalunke
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"The themed book list podcasts help me connect ideas across authors—like a guided audio journey."

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@Moemenn
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"I never knew where to start with nonfiction—BeFreed’s book lists turned into podcasts gave me a clear path."

@Chloe, Solo founder, LA
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likes
117

"Perfect balance between learning and entertainment. Finished ‘Thinking, Fast and Slow’ on my commute this week."

@Raaaaaachelw
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"Crazy how much I learned while walking the dog. BeFreed = small habits → big gains."

@Matt, YC alum
platform
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12
likes
108

"Reading used to feel like a chore. Now it’s just part of my lifestyle."

@Erin, Investment Banking Associate , NYC
platform
comments
254
likes
17

"Feels effortless compared to reading. I’ve finished 6 books this month already."

@djmikemoore
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star

"BeFreed turned my guilty doomscrolling into something that feels productive and inspiring."

@Pitiful
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"BeFreed turned my commute into learning time. 20-min podcasts are perfect for finishing books I never had time for."

@SofiaP
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"BeFreed replaced my podcast queue. Imagine Spotify for books — that’s it. 🙌"

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"The themed book list podcasts help me connect ideas across authors—like a guided audio journey."

@Leo, Law Student, UPenn
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"Makes me feel smarter every time before going to work"

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