How Do You Get from Zero to One in a Business?
By TRISOFT team
A common problem in today’s society and marketplace is that people believe the hardest part of entrepreneurship is turning a small or modest business into a global success. But that’s actually stage 100 or 1000 of a company’s itinerary. Turns out the greatest step isn’t from 5 to 6 or from 99 to 100. The most important leap is from zero to one, because that means going from nothing to something, creating a product or service that didn’t exist before, taking an idea and transforming it into reality. It’s innovation, whereas when going from 2 to 3 or from 16 to 17, you’re only improving or developing something that already exists.
Where to start?
In order to reach the goal of innovation, an entrepreneur must understand the way the world works — although based on the present, the future will be immensely different than what we know today. In order to keep afloat in this ever-changing world, businesses must show progress. Progress may be of two kinds: vertical — achieved by doing something completely novel, going from zero to one, and horizontal — copying things that work, making more of the products that sell well, and so on. Technological breakthroughs, globalization, computer science, any new way of doing things can be considered vertical progress. Yet large companies aren’t keen on this manner of reaching their end goals. They need definite and immediate success, finances, so they rely mostly on horizontal progress. But small and agile groups stimulate innovation. New things tend to come from small businesses, startups, new entrepreneurs with a vision and drive.
Moreover, when accomplishing an innovation, you can obtain a patent for your invention and thus hold monopoly over that product or service, for a shorter or longer period of time, making good profit from it. Creativity is stimulated and encouraged, whereas competition is obliterated and forgotten.
It takes courage
It’s also very important to be bold and make big moves, to establish detailed plans and follow them to the letter, to learn from competitor and feedback, and always keep improving. Nowadays, profit isn’t found in competitive markets; it’s better to create new markets. And it’s important to remember that sales are as important as your products. Advertising is not a waste of resources.
But how do you actually go about starting a company?
1. Spot the best ideas
The first step in creating a startup is finding a good idea that you believe in and are passionate about, and then combine data obtained from extensive research in the field with your own intuition. While information can offer you insight into what people want and what others have tried and failed at or, on the contrary, succeeded in doing, your gut instinct will guide you toward customizing the experience so that it will reflect your personality, dreams and goals.
2. Play ”chess”
Once you find your niche, make the first move and capitalize on your position. Think of business as a game of chess — strategy is important, but you also have to consider the endgame in order to succeed.
If you find that something is not working out, quickly detect what exactly is malfunctioning and why. The “what” is usually easy to identify and point out, but the reasons for the failure might be more obscure and require further analysis. Be open-minded and remember: your big chance at achieving success with your own personal business is at stake.
3. Change what does not work
Even if you find that the cause of the failure is a core idea that you love and have invested in, don’t be afraid to challenge the status quo and give it up, if it entails the overall growth of the company. Sometimes, by renouncing your first option and relying on the second one, you might stumble upon the best solution to the problem you originally intended to solve. Embrace the difficult questions, assume responsibility and make a shift in the course of things. It will bring unexpectedly good results.
4. Explore your potential
You know, the value of a company is given by how much potential it has for profit in the future. Established firms in established markets have a lot of competition and their income is reduced by random forces, beyond their control. Whereas in the case of startups, their good days are still ahead. So even if the startup is losing money, it might be more valuable than the established company which turned a profit last year. Growth is desirable, but for it to be any good in the end, it has to endure. A company has to survive in order to succeed.
Whether your first company or your first ideas fail, it’s important not to allow yourself to become lost, discouraged or overwhelmed by the challenges and obstacles that lie ahead, but rather rely on your resilience and hard work in changing the course of that business. Or why not, create a new one from scratch, around an innovating and unproven idea. This will take your company from zero to one, and then on, eventually to 100 or 1000.
At TRISOFT, we believe in new starts and in stepping over challenges. Join us, will you? ;)