Napster's learning curve | CNET News.com

Napster's learning curve | CNET News.com

• Never get too far ahead of the market. Creating new markets, business models, and value propositions is very risky and takes lots of time and money.

• Understand who your customer is, what problems you need to solve, and how much they are willing to pay for it.

• Never start a business focused on solving a big company's problem. They don't know they have a problem...and they are probably right.

• Test your assumptions. Interview your potential customers. Understand their top 10 problems. Don't try to convince them that you have a solution to a problem they don't know they have.

• Marketing and image matter. Provocative challenges make good headlines but don't make good business.