Friday Thoughts: What makes a great business?
In the early 2000s, Blockbuster was on top of the world, with more than 9,000 stores across the U.S. and a video tape in nearly every home’s VHS or BETA player (remember those?!).
A new, obscure startup called “Netflix” even approached Blockbuster in 2000, asking if the video store king would like to buy them out for a mere $50 million. But Blockbuster’s CEO declined, calling Netflix “a very small fringe business.”
The rest is history, with Blockbuster filing bankruptcy by 2010 and Netflix going on to have 213 million subscribers worldwide this year.
There are numerous examples of businesses who start out on a meteoric path, only to burst into flames and fail relatively quickly.
Remember Toys-R-Us? Polaroid? Borders Books? There are numerous examples. In fact, of the Fortune 500 firms that existed in 1955, 88% are now gone.
So, what makes a great business?
Is it the product, or the people, or both?
Why do some companies and brands become so beloved that they are now part of our culture, while others flame out before their time?
Of course, adaption and getting in early on a mega trends accounts for much of the success or failure of some companies. But I can tell you what really leads to sustained, lasting success.
When I envisioned and then carefully built One Wealth Management, I based it on the principles of intra-preneurship and collaborate self-employment.
One does not work without the other. Neither can reach their potential without the relationship between the two.
I believe that we must believe and have faith in both the business and the process. Products will always be there and even change with the times and economic climate. So, too will the minutiae of services.
But there has to be a greater process – a guiding belief that leads everyone involved to make the best possible decisions, day in and day out.
This is about how you feel each day, whether you are all-in, putting 150% of effort in during our focused time and work together (intra-preneurship).
Success will only be achieved by those who commit and love the challenge every day, waking up each day excited about coming to the office and being part of a team (collaborate self-employment).
If you want to make sure that your business doesn’t go the way of Blockbuster, Polaroid, or others, ask yourself these questions every day:
The answers will tell you all you need to know – and ensure your business not only survives but thrives.
Have a great Friday, everyone!