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Young firms have a higher chance of failure becau.se they have to divert their scarce resources away from the critical operations of the company in order to train employees, develop systems and controls, and establish strategic partnerships, Another body of research sees failure as a liability of adolescence, claiming that start-ups survive in the early years by relying on their original resources, but that as those resources are depleted, the company's chances of failing increase.
Many researchers and others view failure as a negative outcome of the entrepreneurial process, but history shows that the failure of first-mover entrepreneurs has actually precipitated emerging industries, For example, research laboratories such as MIT, Stanford, and Lucent Technologies are developing speech recognition technology. They are the first movers in their particular technologies.

Early examples of companies commercializing this technology are Dragon Systems, Nuance Communications, and Applied Language Technologies. When speech recognition technology becomes more widely adopted, these companies that deliver products and services based on the technology will likely earn the bulk of the profits, while the original developers of the technology often benefit far less.
The vital issue is not avoiding failure but minimizing the cost of a possible failure. That comes from starting with a robust business model and testing it in the marketplace prior to starting the business. - "rent apartment Bucharest"