Many enterprises have good business philosophy and technology, but it takes time to establish business strength and develop market position. During this period, it is easy for competitors to flock out and pull the market to vicious competition or even unhealthy competition. Venture capital can help enterprises advertise, or expand the scale of institutions, or exchange funds for time to assist mergers and acquisitions ... and then improve the entry threshold of the industry, so that others are afraid to come in or inconvenient to come in, so that enterprises can enjoy the benefits alone and investors can make money.
A failed venture capital investment is investing in an unaffordable doo. No matter how much money is invested in some industries, it is difficult to establish barriers (such as catering, such as group buying). Such venture capital is a failure.