I'm also reading some cultural clash between American and Europeans/Mediterranean mentalities. Prioritizing your business model over your product and answering amiably to annoying questions are decidedly "American" behaviors. That's not to say these aren't great practices for aspiring entrepreneurs. When you're ready to apply again, maybe you should consider hiring an Italian guy with an American MBA who can bridge the two cultures?

(I think your idea is cool. If no one went for the long-shot projects Silicon Valley would be full of copy-cat boring App companies. Imagine how that would be like)