Advanced Marketing

What’s the difference between a startup & a company?

Beautiful information technology specialist is thinking about optimisation of the business process' structure. Microchip sketch behind the standing person.

One question that has always intrigued a lot of us is why is a new company called startup and why not an organization or a company or any normal term used for an enterprise. The reason is simple – maturity! No, we do not mean maturity in terms of the age of the founders or their startup. We refer to their thoughts, their plans and their thought process. This is primarily the reason for a company’s success or failure. What truly distinguishes a company from a startup is the plans that have been made by the founder. These plans define the future course of action and it is this that determines the seriousness of the company. A company will always focus on building a positive cashflow and acquiring more customers, while a startup is usually still trying to find its feet.
Any company is heavily dependent on the vision and the plans made by their founders/ promoters/ senior management, etc. This vision is responsible for attracting talent, consumers, investors, etc. to the company. In the words of legendary Billionaire Uber investor Chris Sacca, “Having a great idea is simple, but executing it is what makes or breaks a company”. It is the ability of people like Mark Zuckerberg, Steve Jobs, Larry Page & Sergey Brin to convert their ideas to excellent products, at a very young age, that makes them extraordinary. Their achievements have not been matched so far and many never be matched by anyone. It is this ability that sets them apart as individuals and as professionals. It is the force of their vision and the execution of this vision that brings in the riches.
A clear thought process, a clear mission statement and a resolve to make the lives of human beings simpler and more efficient is what distinguishes a startup from a company. By having a lazer like focus and a will to implement your ideas, one can definitely bring their ideas to life.
The first step in this process is to identify a problem that affects a lot of people and then coming up with a solution that can help you to solve it. Please keep in mind that you must be as systematic as possible. Being systematic and detailed is what makes it easier for employees and investors to follow what you are saying or doing. The best way to do this is to assemble a team of like minded individuals who are committed to the same cause. Delegating work to these people with specific goals is what will allow you to focus on each and every detail that you want to excel at. This lets one person be incharge of every important part of a product.
For example: Apple has a separate division for their hardware and the software. Within hardware, you have different people responsible for each product – TV, Mobiles, Laptops, Computers, Watches, etc. Underlying these are separate teams of people who manage every little detail – the size of the phone, the type of screen material to be used, the buttons to be used, the battery types & features, the camera, the microphone, the headphones, handsfree options, connectivity with other devices, speakers, etc. Similarly, for the software division, you have different teams handling every detail like – Siri, the operating system, the mobile apps, the iTunes, etc. Only when each of these various details have been perfected can one claim to have a perfect phone or a laptop. Only when Job’s vision of this perfect device came alive, could he claim to offer the best product in the World.
It is this attention to detail that allowed not just Steve Jobs, but also Elon Musk, Mark Zuckerberg, Sergey Brin, Larry Page and Jeff Bezos to offer some of the best products in the World, attract the best employees and attract long lines of consumers & investors.
This genius or the X factor is nothing but a systematic mind that aims to make the lives of human beings better. This is what truly sets apart iconic products and world class companies. One may feel that it’s a tough thing to imagine that in India, but we do have good Indian companies like Reliance, Sun Pharma, PayTM, ISRO, etc. which are using this system to come up with excellent products and make a splash on the world.
BSE Institute Ltd (BIL) offers you a chance to learn about entrepreneurship and management from the best. It offers a 12 month Advance Management Program (AMP) that lets you learn about complex management techniques from senior industry professionals.
Innovation, management and sales are three tough things that a founder has to do on his own not only to survive, but to excel in the field of his choice. For people who wish to be examples like the one suggested above, it is possible, provided you have the right attitude and the right vision. Best of luck.

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