Startups/VC/tech • 1y
As a startup enthusiast, you must be aware of popular terms such as 'Unicorn,' 'Soonicorn,' and 'Decacorn.' However, Are you aware of the term '𝐙𝐨𝐦𝐛𝐢𝐞𝐜𝐨𝐫𝐧'? 🤔 - The term ‘zombiecorn’ means a startup with a valuation of over $1 Bn that struggles to achieve sustainable growth or profitability after the funding runs out. Example: Quikr, Vedantu and many more. - Zombiecorn was coined in 2016 by venture capitalist Mike Maples Jr. - Zombiecorn can also be defined as the unicorns that are technically alive but are “not really living” - Some Characteristics of A zombiecorn: 1) High Burn Rate 2) Heavy dependence On VC Funding 3) Challenges In Scaling Business. Several Indian unicorns that raised funds at high valuations in the peak year of 2021 are now encountering challenges related to scaling, profitability, and achieving product-market fit (PMF). Hopefully, these unicorns won't end up as 'Zombiecorns.' Zombiecorns are not beneficial for any startup ecosystem.
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