Patient investors and entrepreneurs allow startups to grow organically.
Slow …
Patient investors and entrepreneurs allow startups to grow organically.
Slow growth is sustainable and creates strong competitive moats ,
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21 thoughts
We need not to be Competitive nor patient. If we solve the real customer problem pains and add little more value added solution or service with better experience is all we to develop.
Let customer decide about the growth. ✌️
in healthcare and agriculture sectors specially where things are lot more slow moving. but who is patient these days? the investors will make entrepreneurs patient or the entrepreneurs themselves will with their disregard for mental and physical health.
as far as moats and all, i don’t think we should talk about water bodies for this week in current context. 🙂
Sure, possible when you pass off to drive within your private properties. But when it comes to open routes, drive is also dictated by the road you take its traffic and degree of congestion.
Rapid or exponential growth is in many cases are risky. Especially in QSR and retail business it is highly risky. In QSR, promoters end up with wrong strategy of leaving it to the franchisee model at early stage of biz aiming to high growth. This ends up in poor quality. They get greedy to grow fast. That’s why one can see sub standard quality after some times in new outlets that are coming up in various locations than the initial ones. Similarly in retail, be it speciality or general retail, when they grow fast they lose many things like crm, inventory management and services. Best example is Subiksha retail chain where Mr Azim Premji lost big money than what all investors lost in Satyam Computers all together! Eventually both happened at the same time
Organic growth is 100% required to be relevant 5-6 years down the line, entrepreneurs should reduce the dependency on Ad spend as much as possible. The ad budgets will only increase with competition and in time making your revenues depend on your Ad budget which is not sustainable.
Yes.. Many individuals are in hurry to close business, exit or even expand too rapidly. All this rat-race is fine, but eventually after a big large exit, have found very few investor or entrepreneurs really again made another success story. So it is of no use to have just 2 to 7years horizon and subsequently just perish somewhere or do something which no one knows. There was this popular email, which got sold to MNC and after that nothing much happened of the entrepreneur. Maybe that entrepreneur could have built a large foundation company. Lure for large money too soon, can give us all money, but then we need to decide what core contribution we plan to give to society, or are we happy being known as once upon a time Hero.
We need not to be Competitive nor patient. If we solve the real customer problem pains and add little more value added solution or service with better experience is all we to develop.
Let customer decide about the growth. ✌️
Very true but we must also take care of competitors.
vishwajeet khandagale let them blow up their money in educating your customers!
Dr Aniruddha Malpanisir yes surely.
can’t agree more
in healthcare and agriculture sectors specially where things are lot more slow moving. but who is patient these days? the investors will make entrepreneurs patient or the entrepreneurs themselves will with their disregard for mental and physical health.
as far as moats and all, i don’t think we should talk about water bodies for this week in current context. 🙂
Sure, possible when you pass off to drive within your private properties. But when it comes to open routes, drive is also dictated by the road you take its traffic and degree of congestion.
Dr Aniruddha Malpani , providing for growth, remaining relevant are some of the concerns , which keeps you at bay from these options at times.
if the destination is not known or planned, there is no reason to put the vehicle (business) on road 🙂
Sir, does that mean that one should not focus too much of energies into adwords, or Facebook ads?
Nitin Pahuja thanks Sir for your inputs. Appreciate
Lakshman Singh thanks a lot Sir, shall keep in mind
Agree with you.
Most investors aren’t patient :).
Sir, shhh!
In the startup world, organic is a good word only in the context of vegetables!
So true. I would rate ‘patience’ as the No.1 character trait.
Rapid or exponential growth is in many cases are risky. Especially in QSR and retail business it is highly risky. In QSR, promoters end up with wrong strategy of leaving it to the franchisee model at early stage of biz aiming to high growth. This ends up in poor quality. They get greedy to grow fast. That’s why one can see sub standard quality after some times in new outlets that are coming up in various locations than the initial ones. Similarly in retail, be it speciality or general retail, when they grow fast they lose many things like crm, inventory management and services. Best example is Subiksha retail chain where Mr Azim Premji lost big money than what all investors lost in Satyam Computers all together! Eventually both happened at the same time
Well said
Organic growth is 100% required to be relevant 5-6 years down the line, entrepreneurs should reduce the dependency on Ad spend as much as possible. The ad budgets will only increase with competition and in time making your revenues depend on your Ad budget which is not sustainable.
True
Yes.. Many individuals are in hurry to close business, exit or even expand too rapidly. All this rat-race is fine, but eventually after a big large exit, have found very few investor or entrepreneurs really again made another success story. So it is of no use to have just 2 to 7years horizon and subsequently just perish somewhere or do something which no one knows. There was this popular email, which got sold to MNC and after that nothing much happened of the entrepreneur. Maybe that entrepreneur could have built a large foundation company. Lure for large money too soon, can give us all money, but then we need to decide what core contribution we plan to give to society, or are we happy being known as once upon a time Hero.