Page 45 - (DK) The Business Book
P. 45
START SMALL, THINK BIG 43
BROADEN YOUR VISION,
AND MAINTAIN
STABILITY WHILE
ADVANCING FORWARD
TAKE THE SECOND STEP
he business landscape may Entrepreneurial spirit is defined
IN CONTEXT appear to be dominated by as the willingness to take risks.
T corporate goliaths, but the Business owners who do aspire to
FOCUS
reality is that small businesses growth must be willing to take the
Expanding the business
outnumber large companies by a risky but important second step.
KEY DATES significant margin. In fact, most For most small-business owners,
1800 French cotton businesses never grow beyond the this means employing the first
manufacturer Jean-Baptiste scope of the owner—they start small nonfamily member and beginning
Say popularizes the term and stay small. In the US, more than to acquire the necessary leadership
“entrepreneur,” which is taken 99 percent of companies employ and management skills to scale the
fewer than 500 people. In 2012, business and manage the people,
from the French for the verb
there were almost 5 million small systems, and processes. ■
“to undertake.”
businesses (with fewer than 49
1999 Chinese business employees), but only 6,000 companies
magnate Li Ka-shing employing more than 250 people.
underlines the importance of Aspiration, or its lack, is a key
vision for business growth, factor for small-scale companies.
stating “Broaden your vision, Many small-business owners are
and maintain stability whilst content with the lifestyle the
advancing forward.” business allows them, and have
no desire for growth. But he biggest
2011 The Lean Startup by reason for a lack of growth is finance.
US technology entrepreneur Growth requires access to capital,
Eric Ries encourages new which is difficult and expensive
businesses to utilize resources to access for small companies.
as efficiently as possible to Moreover, unlimited liability means
encourage growth. that an owner’s personal assets Large businesses might appear to be
towering oaks, but most have acornlike
(such as the family home) are at
2011 The number of active beginnings. A common difference
risk if the business fails—a risk between them and companies that stay
entrepreneurs in mature
that many are unwilling to take. small is the willingness to take risks.
countries grows by about 20
percent, reflecting job losses
See also: Beating the odds at start-up 20–21 ■ Managing risk 40–41 ■ The
due to the economic downturn.
Greiner curve 58–61 ■ Who bears the risk? 138–45 ■ Small is beautiful 172–77
