Startup Myths and Models: What You Won’t Learn in Business School

Entrepreneur and venture capitalist Virk (The Simulation Hypothesis) thorougly debunks my-way-or-the-highway thinking about start-ups in this strong offering aimed at MBAs. Arguing that business schools are better at preparing students to work for established companies than to start their own, he presents his advice in the spirit of an alternative business school curriculum. MBAs often flounder, Virk argues, when they need to understand start-up market life cycles or know how to approach strategic decisions, and are left relying on the outdated clichés they learned in school. He destroys myths about being first to market, raising money only from certain recognized venture capitalists, hiring big names, and allocating time to investors. Instead, he points out that the VC field is no longer small and insular, that it’s better to hire people attuned to the specific culture of the start-up, and plenty of time should be spent on working on the pitch. Moreover, he advises, business school grads have to understand that there are no shortcuts to success. This cogent, far-thinking explanation of how start-ups work will be invaluable for any aspiring founders stymied by traditional business wisdom. (June)