Problem is that it's hard to drop a steady job and be motivated about an idea you know isn't very good.
You need to have an idea that you can believe has a chance of being successful.
You Dont Need a Good Idea To Start a Great Company
11–20 of 42 posts
Re: You Dont Need a Good Idea To Start a Great Company
#12Earlier quoted context omitted.
Sorry, this topic is bound to lead to a semantic merry-go-round! Facebook and Google are examples of great ideas executed well creating huge markets, which did not exist when they set out. So how would have their founders fared if they chose to focus on a great market at the start? We would have yet another portal with banner advertising and a dating site. I agree with the point of the post you mention here, but your…
:) Thanks for the points above. "Great market" /= "hot market" Great market to my mind is a market that has a lot of users who will use your product (and better yet, you can make money off of them using your product). Maybe I will write a post on how to identify a great market, as that is a pretty big topic. But one example is often markets where user behavior is fundamentally shifting, or where there is a sudden cha…
a market that has a lot of users who will use your product
Photo sharing fits the bill just right. Facebook has shown you can also make money off it.
Ecommerce is always a great market, but it's too vague because it's just commerce through a new medium. I'd prefer and love to read blog posts discussing specific ideas. Take that as reader feedback :-P
Did you see this Mixergy interview with the founder of Gemvara? http://mixergy.com/matt-lauzon-gemvara-interview/
It is one of the most innovative ideas I've come across recently, and apparently executed very well too.
Re: You Dont Need a Good Idea To Start a Great Company
#13It's true some successful company are the results of serious pivots. But I bet some 80% of them are the result of an initial good idea. IMO you shouldn't build a company from a bad idea, but you can in your spare time try to validate an idea you're uncertain about. But don't quit your job at Google.
Support from Fred Wilson's blog that most of his successful outcomes (success defined as "exit) were pivots: "Of the 26 companies that I consider realized or effectively realized in my personal track record, 17 of them made complete transformations or partial transformations of their businesses between the time we invested and the time we sold. That means there a 2/3 chance you’ll have to significantly reinvent your…
Are you sure we're talking about the same "transformation"? Also that 17 lumps major and minor transformations together...
For example if someone starts a dating site but later transforms into a general social network, I would call that a complete transformation.
However if you start out making a ruby IDE but later realizes that real money is in MMORPGs or whatever, well you might have as well as waited.
Re: You Dont Need a Good Idea To Start a Great Company
#14Problem is that it's hard to drop a steady job and be motivated about an idea you know isn't very good. You need to have an idea that you can believe has a chance of being successful.
Conversely, dropping a steady job for a crappy idea might be just the kind of motivation you might need to become successful. Full disclosure: I'm trying to convince myself of this every single morning.
Re: You Dont Need a Good Idea To Start a Great Company
#15Earlier quoted context omitted.
Support from Fred Wilson's blog that most of his successful outcomes (success defined as "exit) were pivots: "Of the 26 companies that I consider realized or effectively realized in my personal track record, 17 of them made complete transformations or partial transformations of their businesses between the time we invested and the time we sold. That means there a 2/3 chance you’ll have to significantly reinvent your…
Are you sure we're talking about the same "transformation"? Also that 17 lumps major and minor transformations together... For example if someone starts a dating site but later transforms into a general social network, I would call that a complete transformation. However if you start out making a ruby IDE but later realizes that real money is in MMORPGs or whatever, well you might have as well as waited.
Does it matter? I think the point is that (Great People) + (Profitable Idea) = (Success)
Consider: The variant of (Poor People) + (Profitable Idea) = (50/50 Success) and the variant of (Great People) + (Unprofitable Idea) = (Failure). If (Great People) it is far easier to get (Profitable Idea) then to change (Poor People) to (Great People).
To use your example, if you're making a Ruby IDE and no one pays you, you will never be profitable. If you make a Greate Ruby IDE and no one pays you, you will never be profitable. Discovering that MMORPG's are more profitable one day, you build one, and people pay you, you might be profitable. You could consider the time you spent on your Ruby IDE a waste, or you could consider that you've learned something about software development as a business. It is far easier to change the idea then the people.
Re: You Dont Need a Good Idea To Start a Great Company
#16Earlier quoted context omitted.
Are you sure we're talking about the same "transformation"? Also that 17 lumps major and minor transformations together... For example if someone starts a dating site but later transforms into a general social network, I would call that a complete transformation. However if you start out making a ruby IDE but later realizes that real money is in MMORPGs or whatever, well you might have as well as waited.
Does it matter? I think the point is that (Great People) + (Profitable Idea) = (Success) Consider: The variant of (Poor People) + (Profitable Idea) = (50/50 Success) and the variant of (Great People) + (Unprofitable Idea) = (Failure). If (Great People) it is far easier to get (Profitable Idea) then to change (Poor People) to (Great People). To use your example, if you're making a Ruby IDE and no one pays you, you wil…
But that's implying that working at Google won't be as rewarding. There's a lot of pressure to execute and iterate and so on when you're doing a startup. People sometimes forget to sit down and relax. Being in a less risky, less stressful position at Google can give you the important insights you need when you really start your business.
I also submit that it'll be easier to quit Google when you've discovered your home run idea than to change your entire business.
Re: You Dont Need a Good Idea To Start a Great Company
#17Earlier quoted context omitted.
:) Thanks for the points above. "Great market" /= "hot market" Great market to my mind is a market that has a lot of users who will use your product (and better yet, you can make money off of them using your product). Maybe I will write a post on how to identify a great market, as that is a pretty big topic. But one example is often markets where user behavior is fundamentally shifting, or where there is a sudden cha…
a market that has a lot of users who will use your product Photo sharing fits the bill just right. Facebook has shown you can also make money off it. Ecommerce is always a great market, but it's too vague because it's just commerce through a new medium. I'd prefer and love to read blog posts discussing specific ideas. Take that as reader feedback :-P Did you see this Mixergy interview with the founder of Gemvara? htt…
Thanks for the feedback.
To be honest I didn't want to name specific markets as I didn't want to create too much interest in areas where friends of mine are working. I didnt want to add attention and make it more crowded. :)
Re: You Dont Need a Good Idea To Start a Great Company
#18Earlier quoted context omitted.
a market that has a lot of users who will use your product Photo sharing fits the bill just right. Facebook has shown you can also make money off it. Ecommerce is always a great market, but it's too vague because it's just commerce through a new medium. I'd prefer and love to read blog posts discussing specific ideas. Take that as reader feedback :-P Did you see this Mixergy interview with the founder of Gemvara? htt…
Thanks for the feedback. To be honest I didn't want to name specific markets as I didn't want to create too much interest in areas where friends of mine are working. I didnt want to add attention and make it more crowded. :)
Haha that made me chuckle.
"It is all about execution. Even if you have a great idea - 5 other people will have it at the same time."
Just quoting a blog post...
Re: You Dont Need a Good Idea To Start a Great Company
#19Earlier quoted context omitted.
Sorry, this topic is bound to lead to a semantic merry-go-round! Facebook and Google are examples of great ideas executed well creating huge markets, which did not exist when they set out. So how would have their founders fared if they chose to focus on a great market at the start? We would have yet another portal with banner advertising and a dating site. I agree with the point of the post you mention here, but your…
:) Thanks for the points above. "Great market" /= "hot market" Great market to my mind is a market that has a lot of users who will use your product (and better yet, you can make money off of them using your product). Maybe I will write a post on how to identify a great market, as that is a pretty big topic. But one example is often markets where user behavior is fundamentally shifting, or where there is a sudden cha…
But one example is often markets where user behavior is fundamentally shifting, or where there is a sudden change (e.g. adoption of truly smart phones) leading to opportunity.
Great point. A very good write-up on that is http://jasonlbaptiste.com/featured-articles/build-what-had-p....
Maybe I will write a post on how to identify a great market, as that is a pretty big topic.
For what it's worth, I'd love to see you write that.
Re: You Dont Need a Good Idea To Start a Great Company
#20Problem is that it's hard to drop a steady job and be motivated about an idea you know isn't very good. You need to have an idea that you can believe has a chance of being successful.
I also think there are too many cases where people just drop everything and go with an idea that is doomed to fail. It seems like there is competing advice between "do your homework" posts and "go for it!" posts.