Why the Future of Startups are Studios
As you set out to build the next big company, the path is littered with the logos of fallen comrades. You are trying to thread a needle in a wind tunnel. Founders take on this crazy risk because the possible reward is huge. Startups that make it through the gauntlet are some of the best businesses in the world, with high margins and practically unlimited growth potential. But what if there was a way to eliminate much of the risk without losing out on the possible reward? My prediction: product studios will breed major outcomes for founders. A product studio is a lab for generating and testing ideas, then turning them into businesses. You can think of the studio model as a powerful de-risking machine. The main way it de-risks is through diversification. Studios improve their chances of success by taking a bunch of shots on net rather than just one. Because studios become experts at rapidly generating and testing ideas, the cost of each attempt is much less than it would be for a normal
Startups are risky, risky business. As you set out to build the next big company, the path is littered with the logos of fallen comrades. You are trying to thread a needle in a wind tunnel. Founders take on this crazy risk because the possible reward is huge. Startups that make it through the gauntlet are some of the best businesses in the world, with high margins and practically unlimited growth potential. But what if there was a way to eliminate much of the risk without losing out on the possible reward? My prediction: product studios will breed major outcomes for founders. A product…
saved by
related reading
- Reconsidering Career Optionality - Erik Torenbergeriktorenberg.substack.com
- Taking Risk - Tom Blomfieldtomblomfield.com
- The idea mazecdixon.org
- A Smart Bearlongform.asmartbear.com
- Before the Startuppaulgraham.com
- lecture5-market-wireframing-design.pdfspark-public.s3.amazonaws.com
- Ideas for Startupspaulgraham.com
- How to De-Risk a Startup - by Leo Polovets - Coding VCcodingvc.com
- Why to Not Not Start a Startuppaulgraham.com
- How Universities Should Prepare Founderspaulgraham.com
- Effective Startup Ideationbenjaminfspector.com
- Gene Pool Engineering for Entrepreneurskhoslaventures.com