Survival is non random and depends primarily on the stock of accumulated resources.
On average, 86% of all firms survive from the first to the second year. In year five, 56% of all firms remain, and in year eight, only 35% remain.
In the face of uncertainty, entrepreneurs use profitability to learn about their productivity and as an internal resource for investing in growth.
The role of resources is to enable the new business owner to survive the inevitable trading vicissitudes incurred by any new enterprise. The more resources they have, the more likely it is that their business will survive, stay in the game, and so have a chance of a future win.