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A number of recently shuttered startups cited fierce incumbent competition as the reason for their closures.

Philadelphia-based B2B food delivery startup Zoomer floundered in comparison to Uber Eats and Grub Hub, while video platform Videma had difficulty luring consumers away from established platforms like You Tube and Facebook.

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Despite Baroo’s efforts to focus on providing dog walking and pet-sitting services to high-end rental buildings, the startup faced steep competition from well-funded companies that serve more cities.

Wag, for instance, was founded the same year as Baroo, but it has expanded to more than 100 cities after raising exorbitant amounts of venture capital. ”, I always replied “I don’t have a business yet, we’re still a startup.” Startups are vulnerable to market financing conditions and events such as what we experienced.