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    10 Wrong Ideas In Entrepreneurship

    2010/10/23 15:54:00 67

    Entrepreneurial Patent Earnings

    I recently became a risk.

    Investment

    People often encounter some mistakes that entrepreneurs make when they start a business.

    In order to avoid repeating sermon over and over again, I want to make a summary of these mistakes.


    Myth 1: a good idea can make you earn a lot of money.


    Facts are good ideas.

    business

    Success is neither a sufficient nor a necessary condition.

    Microsoft should be a typical example of business success, but in its entire history of development, it can not find a completely original "good idea".

    In fact, Microsoft has been developing step by step by imitating the idea of its opponent and defeating its opponent in competition.

    Google does have some original features, such as PageRank, Ad-words, cheap machine cluster, etc.

    But none of them came out by Larry and Sergey.

    This is not to say that Larry, Sergey and Bill are not smart enough. In fact, the three of them are sharper than anyone else.

    But if you think they just have an inspiration and then become rich, you can only say that you are a dreamer.


    Myth two: when things are made, they will naturally be used by others.


    Sometimes this is the case.

    Google is a good example.

    But companies like Google are just rare, and more companies produce products that cannot be sold for one reason or another.

    I had such a painful experience myself.

    That was the first company I founded in 1993, the name is FlowNet.

    It is also the name of a new high-speed LAN communication device.

    The pmission speed of 10M is the standard at that time, but FlowNet provides up to 500M pmission speed.

    In the next five years, FlowNet has always been the best cost-effective network device.

    It even provides a built-in video streaming service that can guarantee the quality of the video.

    If FlowNet can be popular all over the world, today's video

    Streaming media

    The body will be much better than it is now.


    But although FlowNet can defeat any competitor at the technical level, it has suffered a great commercial failure.

    We didn't sell one piece.

    The reason is simple: it is not compatible with LAN standards.

    If we had done enough homework and did some market research at that time, we would have known that compatibility, even if it was not fatal, would be a big problem.

    That way, we will not waste tens of thousands of dollars on patent applications and sample production.


    Myth three: if you don't apply for a patent, others will steal your thoughts.


    In fact, no one will be interested in your idea, unless your idea is proved to be successful, but it was too late to steal scholars.

    That is to say, someone really agrees with your idea, but if he is clever, he will choose to cooperate with you. If not, he will not threaten you by doing anything.


    Sometimes patents are useful: it will make investors feel safe.

    But I strongly suggest that you deal with the patent application by yourself. You can do better than the patent application agent through some studies, and you can save a lot of money.


    Myth four: your view is very important.


    In fact, what you and your partner think of your products is of no significance. What matters is what customers will think of your products.

    We naturally assume that if you and your friends think your products are good, then thousands of other people will think so. Sometimes things are like this, but most of the time they are not.

    The reason is that you are so smart that you can design such a good product, so you are different from the users of those products.

    Your customers will be more mediocre than you, and their tastes will be even more mediocre.

    If your product is designed to cater for those who care about what you care about, your users will be very small.

    {page_break}


    Myth five: profit models are fake.


    It's like 21 myths. Sometimes it's true.

    As CarlSagan often said, "prophecy is the art of failure".

    You will never know how much money your business will make, nor how much money it will cost to occupy the market.

    The reason for the profit model is to allow yourself to think comprehensively and convince yourself that investment will be rewarded.

    If you go through the calculations, even if you just want to keep your money free, your user base must be ten times larger than the current market, so you may need to reconsider.

    As Eisenhower said, planning is nothing but planning is indispensable.


    On this basis, many entrepreneurs will make a typical mistake.

    They often say, "as long as we occupy 1% of the market share, we will make big money".

    Such a statement directly reveals that you have not carefully analyzed the needs of users.

    You may also say, "at least one customer of 100 customers will buy our things (or frankly, I'm not sure about that)."

    Such thinking can not enhance self-confidence at all.


    Myth six: knowledge is more important than knowledge.


    You have always refused to deny this.

    From small to large, you believe that wisdom is more important than anything. You will not believe what your mother says, "learning to get along with others is more important than academic achievement".


    The fact is that interpersonal relationship is more important than knowledge.

    This is not to say that intelligence and learning are useless.

    To some extent, your knowledge determines who you will be recommended to.

    But in the end, you know and trust, and more importantly, trust you. People will be more decisive than your knowledge in your future.

    Business activities are extraordinarily complex.

    No one is likely to have all the knowledge and experience needed to complete a business decision, so smart people will delegate their authority to others.

    And when they choose to delegate, the first thing they think of is the people they know and trust.


    Myth seven: Doctoral title is very useful.


    In fact, having a doctorate can only prove that you are not a poor person.

    From my experience, having a doctorate will only have a negative impact on business success.

    Because the way to succeed in school is just the opposite of what is successful in business.

    In academically, your colleagues decide your success. In business, your customers determine your success, and your customers are basically not your colleagues.


    Myth eight: I need 5 million as start-up capital.


    In fact, unless you are doing hardware, you simply don't need any start-up capital.

    PaulGraham has said a lot about this aspect, and I will not launch it. I would like to say a few words: you do not need to start the money, but you must be willing to do it yourself.

    You have to realize your own ideas, no one will do it for you, and no one will pay to hire someone to do it for you.

    The reason is simple: if you are unwilling to give up your rest time for your business potential, why do people take risks with their hard-earned money?


    Myth nine: having good ideas is the most important part of my plan.


    In fact, a good idea is basically meaningless. The important thing is: who is your customer?


    Why do they want to buy your product?


    What kind of people do you have in your team?


    What are the risks?


    Myth ten: no competitor is better.


    If your industry does not have competitors, the most likely reason is that it simply can not make money.


    There are 6 billion people in the world, and it is almost impossible to have a profitable market that no one has noticed.


    The best news is that your competitors are very good at cooking.

    Most companies do not operate very well.

    They make fake products, cheat customers, and their employees are very stupid.

    You can always easily find market opportunities, enter, and defeat competitors.

    You don't want to have no competitors. What you want is poor competitors.


    Bonus: myth Eleven: going public will make me happy.


    If you are tired of the entrepreneurial process, you probably won't succeed.

    It's so hard, if you can't find fun from it, it will make you exhausted.

    Even if you get rich through dirty trading, you will regret the passing of youth when you look back.

    The joy brought by antiques and sports cars is short-lived.

    There is only one kind of happiness that can be bought with money: when you are an investor, a young man is excited to tell you about his fresh business plan.


    All of these can be summed up in one sentence: what matters is the customer.

    Business success is not just a good idea. Good ideas are everywhere.

    Business success requires having a good idea, organizing a good team, making ideas into good products, and ultimately selling them to customers.

    It's very simple and complicated.

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