Its the classic suspension of disbelief. Previous companies made a loss, but in the end started to make a stonking profit (google, airbnb) However they seem t

Its the classic suspension of disbelief. Previous companies made a loss, but in the end started to make a stonking profit (google, airbnb) However they seem to be the exception not the rule. Currently in london there is an explosion of highly integrated iphone ebay apps. Quite why they (the investors) think its a great idea to fund so many clones is beyond me. But then the economics of startups are odd. like broadcasting seeds, you expect infant mortality. However this acceptance of utter failure has creeped up from the seed funding stages into series a,b,c and even d (twitter still cant make money.) Its fine if you manage to sell your shares onto the next sucker. But the problem is that each round bring a bigger price of failure.