The 1 Thing That Can Save Your Sinking Startup
Startups are inherently chaotic. Rapid shifts in business models is what differentiates startups from established companies.
“Pivoting” is when you change a fundamental part of the business model. It can be as simple as recognizing that your product was priced incorrectly. It can be more complex if you find the your target customer or users need to change or the feature set is wrong or you need to “repackage” a monolithic product into a family of products or you chose the wrong sales channel or your customer acquisition programs were ineffective.
As a founder, you need to prepare yourself to think creatively and independently, because more often than not, conditions on the ground will change so rapidly that your original well-thought-out business model will quickly become irrelevant.
For a better understanding of pivots, watch this 2-minute video:
Steve Blank is a professor of entrepreneurship and former serial entrepreneur. His latest book is The Startup Owner's Manual.