Zombie Startup
Content
Definition
A Zombie Startup operates without significant growth or success, stuck without scaling or failing.
Usage and Context
A zombie startup operates without significant growth, stuck without scaling or facing failure.
Frequently asked questions
- What is meant by a zombie company? A zombie company is a business that generates just enough revenue to keep operating but is unable to grow or pay off its debts, often relying on continual refinancing.
- What are examples of zombie companies? Examples of zombie companies include J.C. Penney, Sears, and Toys "R" Us, which struggled to remain viable despite ongoing financial issues.
- How many zombie companies are there? About 10-15% of publicly traded companies are considered zombies, which is roughly 1,000 to 1,500 companies worldwide, especially in struggling industries.
Benefits
A zombie startup shows little growth, remaining stuck without scaling or facing failure.
Conclusion
A zombie startup lacks significant growth and is unable to scale or innovate.
