Tavel: Efficient startups should burn aggressively to pull away from competitors
Sarah Tavel · #113 Sarah Tavel: The Value of Intellectual Rigor · Jun 15, 2021 · at 15:39
Benchmark General Partner Sarah Tavel explains to Shane Parrish why heavy upfront cash burn is rational for companies with proven unit economics.
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“If you have a more efficient machine where you're able to, again, take that dollar and make, you know, five dollars, six dollars, whatever it may be out of it, if not more, then you should be burning as much money as you can do efficiently to keep getting further and further and further away from the number two in the market.”
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