Week 5 Reading Reflection

I was surprised to read that many startups fail because the owners lack objectivity. It seems like common sense that if you're going to start a new business, you should first determine whether there is a need or want for that sort of business.

One thing that confused me was that it sounds like a lot of people start new business ventures without being fully prepared to handle the results and consequences once their venture takes off. I don't understand why so many people would risk so much without being prepared to do so.

Three questions I would ask the author are: What is the most important legal issue for entrepreneurs to be aware of? What was the biggest problem you faced in the first year of your venture? What is the best way to prepare for starting a new business venture?

I disagree with the author's point that one reason entrepreneurs start businesses is due to a need for approval. I think starting a business is incredibly risky, and there is a high chance of failure, so that would not be a guaranteed way of gaining approval.