{"id":3459,"date":"2014-10-29T14:27:40","date_gmt":"2014-10-29T14:27:40","guid":{"rendered":"https:\/\/startwp.logomaker.com\/blog\/2014\/10\/29\/startup-success-stories-really-startup-luck-stories\/"},"modified":"2024-03-07T16:09:53","modified_gmt":"2024-03-07T16:09:53","slug":"startup-success-stories-really-startup-luck-stories","status":"publish","type":"post","link":"https:\/\/startwp.logomaker.com\/blog\/startup-success-stories-really-startup-luck-stories\/","title":{"rendered":"Are Startup Success Stories Really Startup Luck Stories?"},"content":{"rendered":"<p><img loading=\"lazy\" decoding=\"async\" class=\"alignright wp-image-6310 size-full\" src=\"https:\/\/startwp.logomaker.com\/wp-content\/uploads\/2014\/10\/Churchill-Success.jpg\" alt=\"Churchill Startup Success\" width=\"320\" height=\"202\" \/>Have you ever picked up a business book looking for ideas, or inspiration, or even guidance?<\/p>\n<p>Books like\u00a0<a href=\"http:\/\/www.amazon.com\/gp\/product\/0786883561\/ref=as_li_tl?ie=UTF8&amp;camp=1789&amp;creative=9325&amp;creativeASIN=0786883561&amp;linkCode=as2&amp;tag=brandstory08-20&amp;linkId=BCVNX4WUOKIFWMDJ\" target=\"_blank\" aria-label=\"(Opens a new window)\" rel=\"noopener\"><em>Pour Your Heart Into It<\/em>\u00a0by Howard Shultz<\/a> or\u00a0<a href=\"http:\/\/www.amazon.com\/gp\/product\/0812993012\/ref=as_li_tl?ie=UTF8&amp;camp=1789&amp;creative=9325&amp;creativeASIN=0812993012&amp;linkCode=as2&amp;tag=brandstory08-20&amp;linkId=SEDEWPQW2ET5ZUVK\" target=\"_blank\" aria-label=\"(Opens a new window)\" rel=\"noopener\"><em>Creativity, Inc.<\/em>\u00a0by Ed Catmull<\/a>\u2014both fantastic books by the way\u2014are all about the smart decisions that helped ceate massively successful businesses worth billions of dollars.<\/p>\n<p>Who doesn\u2019t want to learn from those guys and share in their success?<\/p>\n<p>But what if their success was less about what they did right, and more about being lucky?<\/p>\n<h2>Is luck to blame for startup success?<\/h2>\n<p>Should we question celebrated best-sellers like\u00a0<a href=\"http:\/\/www.amazon.com\/gp\/product\/0066620996\/ref=as_li_tl?ie=UTF8&amp;camp=1789&amp;creative=9325&amp;creativeASIN=0066620996&amp;linkCode=as2&amp;tag=brandstory08-20&amp;linkId=H2EIQY457Q3JOXGC\" target=\"_blank\" aria-label=\"(Opens a new window)\" rel=\"noopener\"><em>Good to Great<\/em>\u00a0by Jim Collins<\/a>, which compares two sets of similar companies to extrapolate why one is successful and the other isn\u2019t?<\/p>\n<p>He puts together a list of reasons: level 5 leadership, getting the right people on the bus, chasing big hairy audacious goals\u2014all good ideas that entrepreneurs have tried to emulate for years.<\/p>\n<p>But some\u00a0entrepreneurs who follow all of this advice still fail.<\/p>\n<p>They have their BHAGs, their hedgehog concepts, and the right team. And still their business doesn\u2019t take off.<\/p>\n<p>Or they\u00a0do everything recommended in <a href=\"http:\/\/www.amazon.com\/gp\/product\/0983723605\/ref=as_li_tl?ie=UTF8&amp;camp=1789&amp;creative=9325&amp;creativeASIN=0983723605&amp;linkCode=as2&amp;tag=brandstory08-20&amp;linkId=OLMC7O2775NVPDE2\" target=\"_blank\" aria-label=\"(Opens a new window)\" rel=\"noopener\"><em>Nail It, Then Scale It<\/em><\/a>, but can\u2019t get traction.<\/p>\n<p>They have great products that solve real market problems and still fail.<\/p>\n<p><img loading=\"lazy\" decoding=\"async\" class=\"alignright wp-image-6312\" src=\"https:\/\/startwp.logomaker.com\/wp-content\/uploads\/2014\/10\/First-Place.jpg\" alt=\"First Place\" width=\"300\" height=\"225\" \/>As I read Catmull&#8217;s <em>Creativity, Inc.<\/em>, I kept thinking about how lucky Pixar was that everything just went right\u2014even when things went wrong. (To be fair, I think Ed Catmull would acknowledge they were indeed very lucky at times). Steve Jobs comes in at just the right time to buy the company. Someone just happened to download an entire movie to an offsite hard drive before\u00a0the onsite server is erased. Disney wants to renegotiate a contract at a time when Pixar has maximum negotiating power. And on and on.<\/p>\n<p>While there\u2019s a lot of great advice and thinking in all of these books, I\u2019m not sure how\u00a0much of it is repeatable.<\/p>\n<p><a href=\"https:\/\/www.logomaker.com\/blog\/2012\/10\/01\/11-quotes-from-michael-dell-on-entrepreneurship-and-success\/\" target=\"_blank\" aria-label=\"(Opens a new window)\" rel=\"noopener\">Michael Dell<\/a> is famous for starting his computer business in his dorm room, but he wasn\u2019t the only college student that did that. He is just the one we know about.<\/p>\n<p><a href=\"https:\/\/www.logomaker.com\/blog\/2012\/05\/21\/9-inspirational-quotes-on-business-by-herb-kelleher\/\" target=\"_blank\" aria-label=\"(Opens a new window)\" rel=\"noopener\">Herb Kelleher<\/a> is famous for Southwest Airlines\u2019 maverick attitude,\u00a0low-prices, and quick turns at the gate. But they\u2019re not the only airline that did those things. In fact, they took some of their ideas from their competitors. But Southwest gets the press.<\/p>\n<p>Tom Monaghan wasn\u2019t the only\u00a0guy to deliver food\u00a0in the 70s. Did he get lucky connecting with the right advertising agency? Or with a product perfect for a market shifting away from home cooked meals to pick-up options? Or something else?<\/p>\n<p>There were thousands\u00a0of would-be entrepreneurs\u00a0who had ideas\u00a0similar to these incredibly successful entrepreneurs. But we don\u2019t hear about the\u00a0failures, because they were unlucky\u2014and bad luck\u00a0doesn\u2019t make a great story.<\/p>\n<p>What makes these guys stand out is that they survived the startup journey. They\u2019re the ones who get profiled in the books and magazines. The very thin right edge of the bell curve. They speak at conferences and commencements and appear on CNBC to talk about their success.<\/p>\n<p>But their experience isn\u2019t typical.<\/p>\n<p>It\u2019s not even probable.<\/p>\n<p>What\u2019s worse, even their bad decisions start to look brilliant after\u00a0things have worked out.\u00a0If you could go\u00a0back and watch successful founders at the startup phase of their\u00a0companies like <a href=\"https:\/\/www.logomaker.com\/blog\/2013\/01\/14\/7-quotes-from-sergey-brin-on-small-business-problem-solving-and-more\/\" target=\"_blank\" aria-label=\"(Opens a new window)\" rel=\"noopener\">Sergey Brin<\/a> at Google, or <a href=\"https:\/\/www.logomaker.com\/blog\/2013\/04\/01\/10-inspiring-quotes-for-small-business-from-marc-benioff\/\" target=\"_blank\" aria-label=\"(Opens a new window)\" rel=\"noopener\">Marc Benioff<\/a> at Salesforce, or <a href=\"https:\/\/www.logomaker.com\/blog\/2012\/06\/25\/7-inspiration-quotes-for-small-business-from-ray-kroc\/\" target=\"_blank\" aria-label=\"(Opens a new window)\" rel=\"noopener\">Ray Kroc<\/a> at McDonald\u2019s, you\u2019d find that their success wasn\u2019t predictable. There were moments when things didn\u2019t go well and failure was possible or even almost certain. (If this weren\u2019t true, we\u2019d all be able to spot the next great business success, buy up all the stock, and retire to our private islands.)<\/p>\n<p>All of this isn\u2019t to say that startup success is totally random. It\u2019s not.\u00a0Money, connections, skill sets, timing, and the ability to spot opportunity all play a part. But it just might be that the biggest contributor to success is luck.<\/p>\n<p>David McRaney, the author of <a href=\"http:\/\/www.amazon.com\/gp\/product\/1592408796\/ref=as_li_tl?ie=UTF8&amp;camp=1789&amp;creative=9325&amp;creativeASIN=1592408796&amp;linkCode=as2&amp;tag=brandstory08-20&amp;linkId=GSMJZ6QFR6I6YMBX\" target=\"_blank\" aria-label=\"(Opens a new window)\" rel=\"noopener\"><em>You Are Now Less Dumb<\/em><\/a>, wrote about <a href=\"http:\/\/youarenotsosmart.com\/2013\/05\/23\/survivorship-bias\/\" target=\"_blank\" aria-label=\"(Opens a new window)\" rel=\"noopener\">this topic<\/a> and concluded the following:<\/p>\n<blockquote><p>If you spend your life only learning from survivors, buying books about successful people and poring over the history of companies that shook the planet, your knowledge of the world will be strongly biased and enormously incomplete. As best I can tell, here is the trick: When looking for advice, you should look for what not to do, for what is missing&#8230; but don\u2019t expect to find it among the quotes and biographical records of people whose signals rose above the noise. They may have no idea how or if they lucked up.<\/p><\/blockquote>\n<p>Sounds about right.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Have you ever picked up a business book looking for ideas, or inspiration, or even guidance? Books like\u00a0Pour Your Heart Into It\u00a0by Howard Shultz or\u00a0Creativity, Inc.\u00a0by Ed Catmull\u2014both fantastic books by the way\u2014are all about the smart decisions that helped ceate massively successful businesses worth billions of dollars. Who doesn\u2019t want to learn from those [&hellip;]<\/p>\n","protected":false},"author":9,"featured_media":3460,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[35,36,40],"tags":[],"class_list":["post-3459","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-advice","category-small-business","category-success"],"blocksy_meta":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v26.0 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>Are Startup Success Stories Really Startup Luck Stories?<\/title>\n<meta name=\"description\" content=\"Many famous Fortune 500 businesses got lucky with their startup venture. Do you think startup successes are just attributed to good timing? Find out here.\" \/>\n<meta name=\"robots\" content=\"noindex, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Are Startup Success Stories Really Startup Luck Stories?\" \/>\n<meta property=\"og:description\" content=\"Many famous Fortune 500 businesses got lucky with their startup venture. Do you think startup successes are just attributed to good timing? 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