In entrepreneurship, the initial idea rarely dictates the success of the startup or what the execution will be. Success is about the thousands of ideas and decisions that are made along the way and the speed at which those insights are implemented according to customer needs and feedback. 1. Dig into the original hypothesis 2. Learn 3. Adapt
There are times in a startup when you have to deal with big companies (investments, alliances, buying outs). In the novel Moby-Dick, Captain Ahab goes in search of the great white whale Moby Dick. Captain Ahab is the startup, and the big company is Moby Dick - unpredictable and hard to catch.
The key is balancing growth and profitability.
The most common way to create a good startup is to start with a product idea, and then learn the exact market, buyer, and business model. This process is often ignored but allows for growth as the startup develops.
Growth outpaces the ability of executives to manage the startup. 1. A company will turn its team over three times on its rise to scale, not because the lack of growth in the people, but rather because the speed in which their growing stalls progression. 2. As a result, a company has two options: - Fire the executive - when ego acts as a barrier to success - Hire above the executive Based on employment data, one may expect to stay with the company between 18 months and three years.
The founder is responsible for exponential thought, fueling the company’s vision. Peak positive emotions through interactions with the outside world leads to peak performance. By making a pledge to “get out of the building,” the founder… - Sets an example that promotes the performance of the organization as a whole - Increases his or her personal performance - Stimulates creativity and problem solving
The idea of starting a company is romanticized for the benefits it brings, including control of your own destiny, creating something new, having an impact on the world, building your ideal culture, and lots of money. Although these benefits can become reality, there are even more potential drawbacks to doing a startup.