|
|
|
|
|
by Mz
3187 days ago
|
|
Google was not the first search engine. A better version of an existing thing can hit big growth. Rate of growth seems to be what people are talking about when they distinguish startups from normal new businesses. It isn't actually necessary for it to be some new fangled thingamajig the likes of which the world has never seen before. |
|
It's important for briandear to decide which he's going for. The behaviors appropriate for a startup by Blank's definition are different than those needed for a new business. Even fast-growing new businesses are different than startups, because they're not trying to do something particularly innovative.
Take Google as an example. If their goal was to be 20% better than the average search company of the day, then they would have gone for breadth of content first, because you couldn't compete in the search market without good general-audience results. Instead, their first target was Stanford users, and their second was Linux users. Instead of investing in deep ops cost reduction, which became a huge strategic advantage, they would have used commodity hardware and tools. They wouldn't have tried a variety of revenue models, seeing which ones best suited them; they would have aped existing solutions.
Google's approach is exactly the playbook that Blank, et al, recommend for startups: find early adopters and iterate until you can knock something out of the park for them. Then use that feedback loop to build a broader product while extending your market reach. Eventually you find product-market fit; if you're fast you can entirely take over a market before you have real competition.
But that's a terrible strategy to use when you're just looking to be another provider of an existing commodity, even if you want to grow quickly. Look at the top 5 fastest growing restaurants: Raising Cane's Chicken Fingers, Jersey Mike's Subs, Marco's Pizza, Wingstop Chicken, and Chick Fil-A. [1] None of these are particularly innovative companies. They sell known products to known audiences using known methods. I worked at a McDonald's as a teen, and I'm sure I could walk behind the counter at any one of those restaurants and jump into any of the line jobs there.
Both are fine kinds of companies to start. You've just got to use different techniques, so you have to know which you're doing.
[1] from http://www.nrn.com/top-100-restaurants/2017-top-100-top-10-f...