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By far, the top reason startups fail is the lack of market need (42% of the cases) Many startups are founded based on unique technologies, or on problems that are interesting to solve, but don’t necessarily answer a real market need. Getting the first critical and actionable feedback needed to shape an MVP is significantly more complex. It is the classic chicken and egg problem — early adopters will give feedback, but they will come when you have built something that needs feedback in order to be built.