Sunday, December 7, 2014

Reading Reflection Week 1

This week, I read my first section of The $100 Start-up by Chris Guillebeau.  Although it's about an entirely different subject, this book reminds me of Outliers by Malcolm Gladwell.  Guillebeau weaves out of stories and analysis in a manner that is almost identical to the set up of Outliers, which is one of my favorite books.  I find the stories that Guillebeau tells as interesting as they are poignant.  He writes about guys who are fired and soon start their own companies by bicycling with mattresses on their backs or setting up planners for piano classes.  Overall, what really struck me about this book, is the total implausibility of some of these businesses.  These guys basically start businesses without even intending to start them.  It's almost like their hobby turned into a business in the middle of nowhere.  Although I agree with the authors point that some start ups do occur randomly, he is wrong in assuming that it takes no planning to start a business. The author claims that you don't need to plan, you just need to start doing stuff.  Of course, this is a very pleasant thought, but it isn't necessarily true.  Businesses are extremely risky, and start ups need to make sure to keep their costs low in order to avoid severe financial failure or bankruptcy.  You also need plan your market and plan of attack, you can't just start selling lightbulbs to the Amish.  There is definitely a flaw in Guillebeau's argument, but the overall message of his book is very interesting, and there is truth in the fact that sometimes you just need to get started.  I don't totally believe everything in this book, but it is very entertaining, and I'm happy I read it.

1 comment:

  1. You're right to be skeptical, and I wonder how many of his start-ups are still in business. But I do think that the barriers to entry into the start up world are low right now. Yes, you need a plan, but often you can find ways to get the capital you need without having too much of a plan--a situation that didn't exist 10 years ago. Keep your eye out for ways he suggests that a start up can gain funding. That seems like an important thing to figure out.

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