5 costly business ideas that failed
If we follow the Pareto law, then out of 10 ideas launched into real life, 8 will fail and only two will survive. We all love to read the success stories of entrepreneurs, but often we do not think that a huge percentage of projects fail and people lose money. Sometimes these amounts are tens and hundreds of millions of dollars.
We will talk about such projects today.
It is impossible to do business without risk. How does it all start? Well, initially there is a promising idea, in which there is a desire to invest money. Moreover, it should be noted that I want to invest not only the previously estimated amount, but also everything that is on the “balance sheet”, if only it would work! After you just have to wait … maybe lucky.
Let’s look at the top 6 business projects that have not justified either the investment or the hopes of investors.
Business project №1. E-mobility.
The average price of a vehicle of this type, depending on the type of configuration, ranged from 450,000 to 490,000 rubles. The release of this hybrid model was planned for early 2015.
The amount of financial investments amounted to approximately 250 million euros. During the entire development phase, only four working copies were created. And one of them was presented to the most famous and provocative Russian politician, Vladimir Zhirinovsky, as an advertisement.
The body of the hybrid EO-Crossback EV had only three doors. Unfortunately, it was not possible to make a hybrid installation; for this reason, only electricity is used to operate the machine. The closure of the project took place in the spring of last year.
Business project №2. Satellite – search engine.
On May 22, 2014, the developers of the Russian company Rostelecom created a search engine and a whole Internet portal, which was called “Sputnik”.
Development price – 60 million US dollars. In the first few days, the number of transitions to other Internet resources amounted to more than five million. But already at the beginning of September 2014, the same indicator dropped to the mark of 16,600 visitors. At the moment, according to statistics “LiveIntrnet” monthly on this Internet portal is not less than 1,000 people.
Business project №3. Vehicles on two wheels Segway.
The size of financial investments is 125 million US dollars. An innovative vehicle has been developed specifically to replace conventional cars and change the usual transport system in principle. Despite the use of advanced technologies, this tool has become an alternative version of the “hybrid” of walking and driving by car. But after all, this has long found a replacement – a bicycle, and its cost is several dozen times more affordable.
Today, the Segway did not replace the car. It has become something of an attraction, where you can ride in the near amusement park.
By the way, we have already written about how to make money on a Segway rental, who are interested, take a look.
Where to get money to start your own business? This problem is faced by 95% of start-up entrepreneurs! In the article “Where to get money for a business” we have revealed the most current ways to get start-up capital for an entrepreneur. We also recommend carefully studying the results of our experiment in stock exchange earnings: “see the results of the experiment”
Everything else, already in the first pairs of the invention received a bad glory. In 2010, millionaire DzhimiHeselden, who owns Segway, at the age of 62, died walking on an innovative two-wheeled vehicle. By ridiculous chance, he could not cope with the management and fell into the river in the UK.
Business project №4. Yotaphone.
This development was released in the end of 2013. Together with others, the domestic production organization YotaDevices worked on the project. This lte-phone is equipped with two independent operating screens – an LCD and a display that works with the use of “‘ electronic ink ”technology.
The size of the investment fund is about 50 million US dollars. For the first thirty days, about 600 copies were sold at retail. Today, this kind of “smart phone” can be purchased on the market, but, unfortunately, investors do not feel much profit from this.
The situation was not even corrected by the advertising company, and it was headed by the first persons of the state.
Business project №5. Service Bippy.
The Wippy service is designed so that netizens can share with friends news about their latest acquisitions made using the card.
The amount of investment capital is 13,000,000 US dollars.