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Last Updated on March 6, 2018 by Work In My Pajamas
How many of you are aware that the same group behind Clash of Clans pops up a champagne bottle even today when they fail at a project? Sounds insane right especially with their capital? That’s the kind of stories we grow up with which really excites us about the startup lifestyle. Beyond bean bags and jeans however, there is the undertone we regretfully ignore. For people at the top of such structures, you are working with teams so if you are really serious about ensuring that this plan does not bite the dust then there are a few things to drill down in your soul.
Business idea is one thing but the success of your company hinges on too many things. Culture, innovation and quality are obvious metrics but the business paradigm can teach you a lot. Smart working is a focus for a reason and that is precisely why as a startup you should pay attention to these subtle things first.
In This Post:
Be careful about funding, the world is careful about startups now
To be entirely honest, the startup culture got its major boost because of so many incubators looking favorably upon emerging businesses. Hence, the funding well was kicking and lots of new ideas (despite being shaky) were looked at with interest. Sadly, that vigor only lasted as long as the money that kept it kicking and as soon as a lot of the major new businesses went bankrupt, the hesitancy subsequently increased. This is not to suggest that funding is completely out of question but generally, people are more hesitant about pooling or funding startups. As a business lead, you should expect this at 97% of your pitches. People will not be eager to give you money and will counter question you on everything.
An investor will only fund you if he feels assured of returns. Your job? Ensure that you know the manners in which you can achieve success within the market. Remember this is about your research and strategy being sound in theory. The counter questioning happens not because the ones doing the investing are opposed inherently but because the market is saturated with similar ideas.
Have a “strength” and “everything” does not count
Let us keep this short and sweet. A 15 minute tour around google will show you businesses using similar descriptions filled to brim buzzwords but lacking substance. Notice even further and you will see how a lot of businesses pride themselves on enlisting “multiple” things as their strength. Here’s the thing: you won’t have something the world has never seen unless you have an element of uniqueness to it. You do not get that unique something by doing everything at once but by cashing in on that thing you can do really well. A really simple example of this: Apple’s functionality teams have always lagged behind Android so they sell (and sell obscenely) on showcasing their design.
Now if you know a certain “hot” area of an industry, well then by all means invest your time and resources in it but if its not your strong suit then invest time in learning on it. In fact first gauge if learning and then developing an idea on that ground is still fruitful for your business, otherwise steer off and look in other avenues. Remember business intelligence does not just know about growth but also the manners in which you grow. One size definitely does not fit all here.
Competition is good, obsession is not
Startups seem fixated on the idea of setting their brand up against the top player in the niche. In fact, they target their brand worth based on how it does against the competition. To a certain extent, the share measurement is fine but a lot of businesses end up operating in a manner that hurts their present market when they fix themselves on their competition. Take the example of Nintendo here, it does not outdo Sony or Microsoft in game sales but it has its own cult following and a steady stream of revenue. Whereas Microsoft and Sony almost always indulge in updates that try one up the other, Nintendo follows a strategy of keeping its cult following with its titles and devices.
Similarly, if you are looking to add value your focus has to be on your own creativity, not on what the competition is doing otherwise you will always be looking to emulate another idea. Not that you should not be aware of your competition, but there’s a fine line between awareness and obsession. The latter kills the business.
