Running a startup is hardly a child play. You must have heard at least once the sentence “90 percent fail”. Whatever your business model, your sphere of activity, there are certain tough challenges that you have to overcome especially with the growing industry of new technology, full of exciting changes for startups.
How to become competitive but, first of all, how to thrive once your business is going? Let’s see!
Rapidity is the DNA of startups. Being newly founded does not in itself make a company a startup. Nor is it necessary for a startup to work on technology, or take venture funding. The only essential thing is rapid growth. For several years now, innovative companies have needed to grow faster and on even shorter cycle both on technical and economic level.
Technology moves at an incredible speed, and keeping up with the changes can be a challenge for startups. But such quick adaptation to new opportunities doesn’t just magically happen. Leaders must have a clear vision for the market and deep insight into customers’ evolving needs.
You jump off a cliff and you assemble an airplane on the way down.
Focus on the market
You probably know the phrase “Jack of all trades and master of none”? That phrase can refer to businesses that try and cater for a wide variety of services but prove to be masterful at none.
When you first launch a company, it’s very tempting to get distracted by new projects, markets and technology, losing sight of your niche market that makes them valuable. With their limited funds, aiming for a large number of different markets at the same time, whether it is in your own country or overseas, or in the same market in B2B or B2C, can be a mistake. To survive you need to stay ultra focused on that core.
Furthermore, you will really know which market to reach when you start operationally working for a client. This practical approach will also help you in your fundraising. Indeed, investors, will take a look at your idea, its potential and your expertise but if you already are into customer relationship management, the legitimacy of your project will be strengthened.
To sum up, start with capital, pick a way to grow, and stick with it.
Simplicity : Start small to get big
Don’t spend too much time dithering about the details of your idea, and you just may plan yourself out of business before you even start. You have to be focused on simple matters. There’s no need to offer a product or a service that has too many functionalities.
Instead, you should offer products that deal with primary needs. You need to highlight the customer’s issue before the product functionalities. This way you won’t run loose. Move your idea one step at a time.
The best way to learn the business is to consider the problem before considering the product.
There is no perfect recipe. As a startup you will have a lot of other challenges to face : choose the right investors, recruit good staff, fundraising. You have to be fast but not too fast, keep your time to develop your idea. And first of all, don’t hold on to an idea with no future. You have to learn to let it go.
Despite the success of the startup model and your business, there will always be new companies who will try to do what you do, better and cheaper. Be aware, listen to your environment since you will always face tough competition, no matter how big you become.
So, remember, don’t be a unicorn, be a cockroach, they are harder to kill.