High Startup Costs
Advertising
   In some industries one of the most important startup items is an expensive advertising campaign. This is certainly true for fast-food, soda, personal care products etc. Imagine trying to launch a new national fast-food chain or premium brand shampoo. Without huge advertising expenditures it would be difficult to be noticed. Such expenditures are important barriers because the value of a failed advertising campaign is zero. None of the investment spent on advertising can be recouped at all and so it is even more difficult to find financing for such ventures.

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