HAVE YOU ever thought of creating something new—not just conjuring an idea, but also seeing it through—which society thinks is not really exciting? For a layman, it appears logical to tread the normal path and keep away from the unknown with the premise being, if it was really worth it, then someone should have been there. An entrepreneur is different because he can perceive value in things that conventional wisdom could term ‘worthless, impossible or stupid’. This is the theme of Daniel Isenberg’s latest book.
The author argues there are several cases of entrepreneurs who dared to think differently and took their chances based on conviction. The fact that others have not done it did not stop them from trying out new ventures, knowing well the risks involved. Some succeeded, while others didn’t. He gives several examples to prove his point.
Actavis in Iceland is the fourth-largest producer of generic drugs and has over 1,000 products under its name. No one believed such an idea was possible to implement. Similarly, in Tokyo, we saw the invention of the video pill, which eases the trauma of any medical insertion to check the human body for any deviations, especially in the abdomen and intestines. The idea was scoffed at on grounds of being absurd. Isenberg states that just having a perception is not adequate; one needs to create a business model where customers are willing to pay for the product.
In his theory on enterprise and entrepreneurs, Isenberg puts aside some often-held myths. The first is whether or not it is necessary to be an innovator. The answer is no. Enterprise is where we convert an idea into a workable business proposition.
Second, do you need to be an expert? Surprisingly, the answer is again no. He gives the case of Abhi Shah, who created a rage operating a legal outsourcing firm in the US, the UK and India. He was neither a lawyer nor a student of law. But he saw value in the proposal and got over 400 lawyers across these countries to run the show. Third, is there an age barrier? Normally, it is believed people who are young tend to be more adventurous. But Isenberg provides data to prove age does not matter.
Interestingly, he points out that almost half the Fortune 500 companies were launched when there was an economic downturn. There are many reasons behind this. First, only the sturdiest survive when the chips are down and this seems to be the most obvious reason. Second, it is easier to get labour and other resources such as property when there is a recession. Third, when one is unemployed, the best option is to turn entrepreneur.
The author gives examples of crazy ideas that worked well. Local Motors uses crowdsourcing for designing cars. Prima facie it looks crazy, but the public took to it at a time when the entire auto industry was sliding. Customers were allowed to come and finish manufacturing their own cars in the factory. The author also lists three areas of adversity that are common for any beginner: the first relates to intrinsic difficulties, which have to be addressed. The second revolves around customers where the challenge is to get them to buy your product. The third is to get finance, and this is where getting in investors matter.
There is extrinsic adversity over which you have even less control. This could involve the policies in the country where you reside. In Pakistan, for example, providing private courier service was not allowed and hence if one wanted to get into this venture, it was a challenge.
Isenberg states clearly in the beginning of the book that this is not a ‘how-to’ book. In fact, while he gives several examples of success, there would assuredly be more instances of failure. The clue is to think out of the box and look at areas, which are not traditionally explored by enterprises.
The author argues there are several cases of entrepreneurs who dared to think differently and took their chances based on conviction. The fact that others have not done it did not stop them from trying out new ventures, knowing well the risks involved. Some succeeded, while others didn’t. He gives several examples to prove his point.
Actavis in Iceland is the fourth-largest producer of generic drugs and has over 1,000 products under its name. No one believed such an idea was possible to implement. Similarly, in Tokyo, we saw the invention of the video pill, which eases the trauma of any medical insertion to check the human body for any deviations, especially in the abdomen and intestines. The idea was scoffed at on grounds of being absurd. Isenberg states that just having a perception is not adequate; one needs to create a business model where customers are willing to pay for the product.
In his theory on enterprise and entrepreneurs, Isenberg puts aside some often-held myths. The first is whether or not it is necessary to be an innovator. The answer is no. Enterprise is where we convert an idea into a workable business proposition.
Second, do you need to be an expert? Surprisingly, the answer is again no. He gives the case of Abhi Shah, who created a rage operating a legal outsourcing firm in the US, the UK and India. He was neither a lawyer nor a student of law. But he saw value in the proposal and got over 400 lawyers across these countries to run the show. Third, is there an age barrier? Normally, it is believed people who are young tend to be more adventurous. But Isenberg provides data to prove age does not matter.
Interestingly, he points out that almost half the Fortune 500 companies were launched when there was an economic downturn. There are many reasons behind this. First, only the sturdiest survive when the chips are down and this seems to be the most obvious reason. Second, it is easier to get labour and other resources such as property when there is a recession. Third, when one is unemployed, the best option is to turn entrepreneur.
The author gives examples of crazy ideas that worked well. Local Motors uses crowdsourcing for designing cars. Prima facie it looks crazy, but the public took to it at a time when the entire auto industry was sliding. Customers were allowed to come and finish manufacturing their own cars in the factory. The author also lists three areas of adversity that are common for any beginner: the first relates to intrinsic difficulties, which have to be addressed. The second revolves around customers where the challenge is to get them to buy your product. The third is to get finance, and this is where getting in investors matter.
There is extrinsic adversity over which you have even less control. This could involve the policies in the country where you reside. In Pakistan, for example, providing private courier service was not allowed and hence if one wanted to get into this venture, it was a challenge.
Isenberg states clearly in the beginning of the book that this is not a ‘how-to’ book. In fact, while he gives several examples of success, there would assuredly be more instances of failure. The clue is to think out of the box and look at areas, which are not traditionally explored by enterprises.
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