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A Complete Summary of The Lean Startup: How Today's Entrepreneurs Use Continuous Innovation to Create Radically Successful Businesses The Lean Startup is a book written by Eric Ries. In this book, the author explains that regardless of what may often seem to be true, it is very much possible to build a successful startup company. This book is a guide for all people who think that starting a business will lead to failure. Many startups do end in a failure, because starting a business always comes with uncertainty and risk. Since not all startup founders are equally informed, some are not educated in good business practices and do not have a clear vision of their business; these are the startups that often truly end in failure. In this book, the author explains how to make a startup successful. This book will surely be a great read for all those who either seek a way for their startup to succeed or for those who are planning to start a business. At first glance, it certainly looks like an interesting read, and it is both educational and reader-friendly. Whether it is really possible to have a successful startup and whether or not your startup will be successful is what awaits us in this book. Here Is A Preview Of What You Will Get: - In The Lean Startup , you will get a summarized version of the book. - In The Lean Startup , you will find the book analyzed to further strengthen your knowledge. - In The Lean Startup , you will get some fun multiple choice quizzes, along with answers to help you learn about the book. Get a copy, and learn everything about The Lean Startup .
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The business myth says: A lone entrepreneur -- beavering away in a lab or a garage somewhere -- through hard work, grit and sheer perseverance develops a great product which then becomes a blockbuster hit. That sounds appealing but the reality is most startups tend to burn through their resources and then disappear because they never get around to seeing what their potential customers think of what they’re developing. They worry about the product first and assume customer demand will be there automatically.
To succeed with a startup, you’ve got to manage it differently. Instead of developing a business plan, find ways to accelerate your learning and validate customers demand. The best way to do this is to build a prototype (with minimal features) and sell it to some early adopters. Then change the product repeatedly -- daily if necessary -- and keep supplying your customers with the new and improved versions. Listen to their feedback and use those ideas to make a better version and then get more feedback on that. Keep iterating until you get a fully featured product which your customers love.
In other words, go through the Build-Measure-Learn loop as often as you can. If you make validated learning the real aim of your startup, you stand a better chance of success. Focus on what customers want, utilize an extremely fast cycle time and take a scientific approach to making decisions. That’s the essence of the Lean Startup approach.
Never forget that learning is the true measure of progress for a startup. The aim of any startup should be first and foremost to use scientific experimentation to discover how to build a sustainable business. Anything else is a bonus.
The standard approach to building a startup usually goes something like this:
■ Someone comes along with a vision which is often a variation of “Let’s go build a thriving business which produces a world-class product that consumers love.”
■ To achieve that vision, a strategy gets developed along the lines of:
This is the business model we will use.
Here is our planned product and service lineup.
We’d like to work with these partners.
Our competitors will be these firms.
Our target customers will have these traits.
■ The end result of that strategy is a product or service then gets made and sold in the marketplace.
Using this model, the conventional view of an entrepreneur is someone who is hard driving, not easily distracted by detours along the way and who has a “Just do it” attitude and determination. Entrepreneurs come on board and steer the startup through to where the product is in the marketplace and marketing is working its magic. Setbacks are merely learning opportunities along the way to ultimate success.
In real life, being an entrepreneur is more of an exercise in management skills than anything else. Any startup is a portfolio of activities, all happening simultaneously. At any time:
New customers are being acquired.
Existing customers are being supported.
The innovation initiative is happening in the background.
Fine-tuning of the marketing is going on.
A decision is being made on whether to change the strategy.
The product is still being optimized.
It’s safe to say the emphasis for most startups is on results achieved more than on anything else. Any learning which arises out of the startup is just a happy by-product of the process but it’s getting a product made and then to market that constitutes the measure of success for most startups.
Therefore it should come as no real surprise many startups end up accidentally building something nobody wants. If that happens, it really doesn’t matter whether your startup has hit its targets and come in under budget or not. Those items are just of passing interest in the bigger picture view. Job #1 for any startup should be to figure out what customers want and will pay for as quickly and cost effectively as possible.
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