Consider serial entrepreneur Steve Blank, a colleague of mine at Columbia and a legend in the startup world. Heâs guided four companies to IPO status and mentored many more. To find opportunities, Steve says, an entrepreneur has to be endlessly curious and to recognize patterns that no one else does, by, as he puts it, âshowing up.â To validate ideas, he advocates âgetting out of the buildingâ and learning how a potential innovation might change a customerâs life. He calls this âcustomer development.
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You have to understand your customerâs needs and all the different ways you can address
them. You have to look at a problem from all angles. You have to get a little creative. And you have to notice the problem in the first place.
That last point doesnât sound like a big deal. But itâs huge. Itâs the difference between a startup employee and its founder.
Most people are so habituated to the problems in their home lives or work that they no longer realize theyâre problems. They simply go about their day, get into bed, close their eyes, realize they left the lights on in the kitchen, groan and grump down the stairs, without ever thinking: Why is there no light switch in my bedroom that turns off all the lights in the house?
You canât solve interesting problems if you donât notice theyâre there.
Launching isnât a onetime, singular event, but a continual process of launch, measure, adjust, repeat. The cofounder of LinkedIn, Reid Hoffman, has said that if you arenât embarrassed by the first version of your product, youâve launched too late. Itâs ridiculous to believe that every company grows out of a founderâs fully formed and unchanging idea, especially since most wildly successful companies achieved their place only by course-correcting, changing entirely, or iterating their way to greatness.
If there is one characteristic that signals creativity in business, it might be follow-through. For instance, Nolan Bushnell is only one of the people who could be credited for fathering the video game, but he often gets the credit because he was the first to bring any to market in a big way. He says:
After the creative moment I thought, âGee, anybody should be able to make a business out of it.â As it turned out, anybody could. I had twenty-seven competitors so fast! (Laughter)
Many of us have a romantic idea about how creativity happens: A lone visionary conceives of a film or a product in a flash of insight. Then that visionary leads a team of people through hardship to finally deliver on that great promise. The truth is, this isnât my experience at all. Iâve known many people I consider to be creative geniuses, and not just at Pixar and Disney, yet I canât remember a single one who could articulate exactly what this vision was that they were striving for when they started.
In my experience, creative people discover and realize their visions over time and through dedicated, protracted struggle. In that way, creativity is more like a marathon than a sprint. You have to pace yourself.
Disruptive technologies, Christensen had observed, often grew out of hobbyist communities. They were developed using âbootlegged resourcesâ in which âoff-the-shelf componentsâ were redeployed for something other than their intended purpose. They started out wonky but rapidly improved along attributes of performance that established players ignored.
But even once you had absorbed this lesson, it wasnât easy to implement. Pursuing niche markets cost profits, making investors question your sanity. This, too, Christensen had foretold: âOne of the reasons managers at established firms find it difficult to serve emerging markets is that their investors and customers tell them not to.â
That was the real secret of The Innovatorâs Dilemma, which readers often missed. It was not a book about how to succeed; it was a book about how not to fail. Christensenâs book wasnât a how-to for start-ups but a counterinsurgency manual for senior managers at stagnating firms. Thirteen years in, Huang felt that Nvidia was at risk of becoming such a firm, and it was as much paranoia as optimism that led him to pursue the mad-science market.