Scaling is just like a math equation with one unknown, if that doesn’t make you laugh.
The unknown is an action that brings your product money, and is possible to reproduce and repeat an unlimited amount of times by an unlimited amount of resources (people, robots, points of sale, factories, etc.).
Startup is a temporary company state in which company looking for this unknown, substituting available options into your equation (this can be sales system, customer acquisition, actually what ever you can attract users into your product).
A good startup idea is one where the unknown can be found.
A good startup pitch is a demo of some ex-unknown while having a verified proof of the correctness of the solution found.
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So, scaling is much easier than it looks. If you set yourself the right goal and assign the right task.
And this is the real point to apply for investments – the scaling.
In 2016, Starbucks announced a plan to expand in China. They reached about 5300 shops in 2021, and over 6000 by 2022 according to Statista and Starbucks website. To make this plan happen, they had to open a new shop every 15 hours for five years… And almost 2 per day in 2022. Just imagine this number! Every 15 hours a new shop during almost 2000 days and every 13 hours in last year.
China has huge opportunities for Starbucks development,- said Belinda Wong, CEO of the Chinese branch of the company.
So, if they have a plan who can compete them? Somebody who can make more delicious coffee? Definitely No! Only the bold one who dare to manage to open new coffee shops every 6-8 hours.
Startup founders too often become blind while falling into endless tries to make own product better, better and better. Although most often the only one who knows how to do faster and do more wins the competition.
Therefore, it seems better to think in completely different terms. Let’s call it “Fast Scaling Terms”. If you want to launch yet another brand in a coming year… Ask yourself why not 100? Why not in 1 month? If we want to open one more shop… Why not 100? And so on.
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This is the only way we force ourselves to think about business in scope business processes, and not about the product that we produce or sell using our business processes. Rapid growth is either a miracle or the result of scaling. Rapid scaling is the result of business processes.
Well, you can say you have in your mind… But do you have it on paper? Can you picture it to feel it in your hands? Amd it works when it’s real, not just in your mind.
There are no unique ideas same like no unique products we have. The World Wide Web has made this truth publicly available. When you come to some idea you can discover there is a bunch of existing similar implementations in other countries. Therefore, in modern markets, competition runs not between products, but between business processes (you can call it a company C-level product for your convenience, but anyway it will remains business processes).
If you’re a founder review your plans, have a look at your numbers – and multiply it by 100. Now start thinking how to achieve this new goal.
From now on this is your main task.