Vijay Anand | The Startup Guy.

What Do Startups Need?

Posted on: September 9, 2008

What do Startups Need is the Question asked these days.

"What do Startups need" is the Question asked these days.

Seems like that’s the kind of question a lot of companies which are looking to support, nurture and grow alongside Startups are asking themselves these days.

I’m invited to be part of a fairly small panel that is to discuss on this very topic tomorrow in Bangalore in a short meetup that Sun Microsystems is putting together.

The more I think about it, I think the sheer number of pages where business opportunities, support systems, efficiencies can be made all seem to just go on and on and on.

I think the key element that it comes down to is not “selling”, but “enabling”. Really, if you think about it and put all the power law distribution to  a graph of economy (financial status and revenues) versus size of the company, it’d be quite easy to see the bigger corporates easily contributing to 80% of the economic wealth that is being garnered. That’s almost a no brainer.

I think the insight is this: An average startup entrepreneur is young, imaginative and full of ambitions and dreams. The key is to enable them. Not sell to them, but help them achieve their dreams. Its going to be pretty much the same way that you would want to support artists to come out with more creativity.

Someone wise once said that the role of a supporting organization to a startup should help startups make truck loads of money and make a small slice out of it. We need to tie in our success with that of the startup. Everyone wins in the end.

So now, most organizations are not gonna want this headache. Go after all the small companies, give them that additional support and handholding, just for 20% of the revenue. But isnt 20% quite a lot? I dont think it would ever make sense for a company to focus on just this 20%, but if they were already saturated with the market share in the corporate world, a 20% extra market share will give these companies a lot of footing, wouldnt it?

Now obviously, the number of companies very much increases. The queue of companies to support would almost be as long as the infinitely long tail itself. Thats when shared resources make a lot of sense. Technology helps to scale. Thats what it does beautifully. And if a technology company says that it cannot cater to this group,.. they woe.. something is truly terribly wrong.

Related Posts from Before:

Selling to the Unaffordable – Part I

Selling to the Unaffordable – Part II

2 Responses to "What Do Startups Need?"

“Bangalore in a short meetup that Sun Microsystems” will you be sharing the taks/ppt here?

Chirax, was more of a discussion session. But yep, fairly decent conversation. Will try to blog about it sometime.

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