I believe it's very hard for any startup entrepreneur to realize the company isn't going anywhere or there is no real business in what was set out to be done. Sometimes entrepreneurs don't know when to quit on old efforts and re-focus the mission of their startups. Entrepreneurs can only expect to see flat growth for an X amount of time before they have to accept the reality and brainstorm for more ideas, and I believe this isn't stressed enough in Silicon Valley related (bootstrapped) startups.
I think what drags most entrepreneurs on for the longest time is the fact that they think their startup's going to be a big hit tomorrow, next week, or next month.
It's like eating chocolates, people think I'll just eat one more or two more, but before you know you've wasted a day eating the whole box; the end result is nothing (left).
All entrepreneurs should never be afraid of change, because everyone still has their brain at the end of their day as Steve said.
My question to fellow hackers:
"Have you ever folded a startup? Please elaborate, if possible."
This could get the creative juices flowing for those developers who are stuck on what kind of app to build for the iPhone. Possibly drive insight and get people "un-stuck" or remove the roadblock.
What does everyone think about the possibility of being as small as the iPod nano? Interesting to see if everything in this Skype conversation will come true.