Jönköping business school (JIBS) asked me to share some experiences I had regarding the Fashion startup I cofounded in China. I shared some basics about moving to China, and also how to validate your riskiest assumptions, with the startup as a business case.
Validation forces you to think about all aspects of your company, and then identify the riskiest assumption you make about your customer. Because, you don’t know your customer. You might not even have met your customer.
So what you do is that you take your assumption and create a Minimal Viable Product (MVP) and test the response of people. Dropbox did this by creating a video of how the service could work, to see the reaction. Techcrunch post here: How Dropbox Started with a minimum viable product. Probably they were able to distill a lot of information from the reactions of the people.
Don’t just ask them, would you use this? I did this for one startup and most people said they would buy product X. When the product was out, they didn’t open their wallets. Get them to do something for you: Pay money, share on twitter, at least some confirmation that they are really engaged.