One of the key benefits of running a startup is flexibility. Unlike a huge corporate giant, a startup is agile with limited layers of authority to get approvals. The one major constraint that a startup does face is obviously access to capital. That in and of itself can be a huge hurdle to flexibility, but a startup can at least make more rapid decisions.

To me, this is one of the biggest advantages of working at a startup - no bureaucracy and a fast-paced environment where nothing gets stale. But from a tech investor’s perspective, I see it as a critical advantage which needs some governance.

Say you launch an early stage startup with a customer niche focus in mind (a niche large enough to target a broad enough market). You have some traction in this market and chug along. Suddenly, if customers outside of your niche show interest in your product, do you abandon your current segmentation and target this new niche? Things to keep in mind: how much will it cost to transition the product, how do you address new marketing, what is the profitability like for the new market, how will your infrastructure support a new segment? These fundamental questions aside, the key to startup success is to owning an initial market. Constantly adapting and trying to penetrate multiple markets at once is a recipe for disaster.

Startup CEOs and founders must carefully execute their strategy and stick to their convictions. Abandon ship only when it’s clear that you won’t make it out alive.