We’ve got the four fascinating stories for you this week covering the startup world. Our first takes a look at why it’s sometimes better for a startup to sell rather than compete with the rest of the market.
Our second story takes a look at a story by a coder-turned-entrepreneur and how being a coder helped her succeed in her business. There are some great lessons in here that every entrepreneur could benefit from reading.
Our third story explores the eight things that entrepreneur Karnvir Singh Mundrey learned while creating a startup. Lastly, we look at the emerging role data scientists are playing in startups, and the competitive edge they can give your business.
Recently, we’re beginning to see a trend among many startups where they’re being acquired by bigger and more powerful companies. We’re seeing that some startups believe that it’s better to cut their losses and sell their company somewhat intact.
Think of the recent acquisition of Uber’s Chinese business by competitor Didi Chuxing. Uber had spent around $2 billion to expand, but it was getting to the point where it was still severely lagging behind Didi Chuxing. Therefore, company execs realised the smarter play was to sell, make a ton of money, and invest it somewhere else.
There are companies like Quip that have done something similar. Quip was an alternative to Google Drive or Microsoft Office 365 which sold to Salesforce for $582 million (£449 million) this week. Then we have Jet, which is trying to take on Amazon, but there are rumours swirling that Walmart is looking to buy it.
Why is this happening?
The short answer is that for some startups, it’s just better to sell rather than compete and end up completely broke. At least when they sell, something remains intact and the founders and shareholders get something out of it.
Don’t expect this trend to slow down anytime soon.
In this featured post, we have an interesting story from the woman who founded a company called First Code Academy. Michelle Sun explains how being a coder helped shape her experience as an entrepreneur and actually helped her succeed.
She explains how the beginner’s mindset she had as a coder helped her with learning new skills as an entrepreneur. She explains that as a coder, you must always be learning to stay on top of your game and the same applies when you’re an entrepreneur. For her, this beginner’s mindset she developed as a coder helped her greatly as an entrepreneur.
There are always bugs with software and programs. She explains how this fact with coding was transferable to entrepreneurship because her startup always had problems. This mindset and skill to adapt allowed her to navigate problems more smoothly in her own business.
Being able to iterate was a very important skill she took with her from coding. Startups are big organisations that require iteration across many areas to succeed and she found this skill helped her greatly.
Lastly, she talks about a bias towards taking action. She explains that as a coder you must be a problem solver and the same applies in business. You need to be able to take action and solve problems as you go because that’s the only way to see what works.
These four areas helped her greatly as a coder and as an entrepreneur. Hopefully, you can see the value in developing these four skill sets and see how they’ll help you in your own entrepreneurial journey.
Anyone who wants to create a startup knows that it’s a tough affair so you need to be able to learn everything that you can to succeed.
In this post, Karnvir Singh Mundrey, founder of biotech startup Atharva Lifesciences Consulting, talks about the eight things he learned along the way as he built his own successful startup.
Here are the eight things he mentions:
- Any graduation or post-graduation is just the beginning
- Evaluate your risk appetite
- Relationships are the key
- Start small
- Evaluate everything as an asset or a liability
- Respect the old business class
- For senior management and CEOs – time spent in office is a waste
- Every smartphone has a brilliant app – the phone
In the post, Karnvir expands upon each of those eight ideas a little more and how each will help you on your own journey. Read the post in full to see how he elaborates on these areas because we’re sure you’ll get a lot of value from it.
A data scientist is one of the most valuable members of any startup team. This is someone who can look at a big pile of messy data and use their unique mathematical and analytical skills to actually make sense of all that data.
It’s a talent few people possess, but it’s a skill that startups should seek to acquire because it could help give them a competitive edge.
It’s certainly a complex role and not one that is easy to perform. With a data scientist working in your startup, you can expect them to be able to do things like:
- Looking at relationships and behavioural trends in customers to maximise profits
- Uncovering fraud by detecting out-of-the-ordinary market patterns
- Analysing large collections of data and extrapolating information from them that is easy to understand for everyone else
- Looking at patterns in your marketplace to help identify potential profitable products or services for a business
Essentially, if you’re looking to get an edge in your startup, a data scientist could be what you’re looking for. It’s an emerging trend and one that we think many startups should seriously consider if they want to beat their competitors.
Here is a quick recap of the featured stories from this week.
Our first story covered why sometimes it’s better for a startup to sell rather than compete. Next, we looked at a story by Michelle Sun who shares her musings on how being a coder left her with transferable skills that made her a better entrepreneur.
Our third story looked at eight things that Karnvir Singh Mundrey learnt during the time he built his startup with plenty of lessons for other aspiring entrepreneurs. Lastly, we looked at why startups should consider data scientists and the edge it could give them over their competitors.
We hope you enjoyed this week’s Linkibuzz and stay tuned for Linkibuzz #60 next week.