high initial costs:

Why are Initial Costs High?

Several factors contribute to high initial costs:
Product Development: Creating a new product often involves research, prototyping, and testing.
Marketing: Effective marketing campaigns to establish brand presence can be expensive.
Legal Fees: Registering a business, acquiring patents, and other legal activities can add up.
Equipment and Inventory: Purchasing necessary tools, machinery, and initial stock requires substantial investment.
Human Resources: Hiring skilled employees and consultants to bring expertise into the business.

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