Startup… Strategy

…keep working at it

Think of a company as a machine you design and build. Your ‘machine’ always has certain parts. It sells something to someone, and re-invests some of that to help make more sales in future. What’s left over is profit for the owners.

A good example of this would be McDonalds. McDonalds built a business that works even if they hire almost entirely minimum wage workers. Their process makes it work: every burger is efficient and nearly indistinct, and nothing is left to chance. Their brand is so strong people line up worldwide to eat there. Your business may be radically different, but it should be similarly robust.

As a company grows the rules and your culture change completely. You may even find yourself disliking the company you created (many founders feel conflicted like this, eventually). If you’ve made it this far, you have many options: hire help, sell, or double-down and see where the ride takes you.

Remember no business can grow indefinitely. Most industries are more efficient at different sizes – it’s easy to be a two-man plumbing company, but near impossible to build a 1,000 man plumbing corporation. Know the limits of yours well in advance. Software is an example of an industry that scales exceedingly well, which is why it creates so many young billionaires.

And finally It’s never been easier to start a company. You can create a killer product in your student dorm without even registering any paperwork – that was enough for Facebook. 

I think entrepreneurship is a form of enlightened gambling. Skill and tenacity are big factors, but luck plays a big part. However, as long as you can keep picking yourself up when you get knocked down, try different things and keep learning, the odds are in your favour. You just have to dare to chance them.

As usual if you feel I plagiarized some of this maybe I did, and if you are aware of some plagiarization let me know and I will change or remove it.  Cool Beans…

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