Long Tencent and the cute penguin.
Think Instagram (photos), WeChat (messaging), NextDoor (neighborhoods), etc.
You never get a second chance to make a first (ad) impression. When making the decision to expose your “virgin” audience to advertising for the first time it’s especially important to focus on the quality of the ads. Why? Because the quality of that content will impact the audience’s future…
Many first time founders began their path towards entrepreneurship while working at a larger company. In fact, the experience of working for a company is typically the catalyst for starting their new business. Perhaps they were frustrated with how slow things moved within the corporate environment or they found the day-to-day becoming increasingly boring.
The common “big company” problems and inefficiencies eventually lead to a “big idea” and that’s when a person transforms from employee to founder. Night and weekend projects become more important in mental energy than checking in and clocking out Monday through Friday.
So, the founder leaves the company and ships the idea. She runs with it and builds. Along the way, the first time founder experiences the infamous “troph of sorrow" and continues to focus. Releases of improvement begin and then wiggles of false hope appear. Signs of the promised land come into realization…and then, a larger company comes in to swoop up the team and potentially the product (read: an “acqui-hire”), ideally having an acquisition of liquidity.
image source: Andrew Chen (term coined by Paul Graham)
And now, as the story goes, the founder is back at a big company.
Granted, this is one outcome in the journey from employee to founder (and one that’s become increasingly commonplace lately) and it may be the best option at the time. Others include building a startup, having a larger company purchase the business and staying on to grow it as a separate business line - as another example.
But, can entrepreneurs really sustain and reside in a big company atmosphere? It’s a bit of an oxymoron and a question that comes up often with the current M&A trend of “acqui-hiring” in New York and Silicon Valley.
Generally speaking, entrepreneurs typically have a hard time “residing” within a larger company.* In fact, it’s become almost common to see successful founders leave the bigger companies that once acquired them (the about.me story from earlier in the year is a perfect example).
Simply, the definition of reside (to be situated or be in a permanent place) doesn’t correlate to the first experience (that initial genesis in the story above) when the original employee transformed into a founder. This same person who witnessed the inefficiencies of larger companies and made a decision to leave a stable work life is most likely not the same person who could re-enter such a world and be content as well as thrive.
At a startup, you’re tasked with growth and building something people want. At a big company, you’re tasked with a specific role, to carry out an existing business and support something people already use.
Stop and read that last paragraph. The statements are two, very different ends of the spectrum. On one end, your mission is tackling a wide unknown. It’s an unknown that is the riskiest of prospects, with no certainty of reward and more likely than not, you’ll end up failing. On the other end, lies a path that may have been set by a previous employee before you, with a structure that was more mature and protected from failure than the early stage business you built.
*Note: There are exceptions to this. A handful of big (even public) companies are filled with amazing entrepreneurs that I can count in private discussions with friends. Bigger companies are becoming smarter about acquiring growth-oriented talent rather than role-oriented, particularly learning from the passion each founder showcases about her business. The logic is that a growth-oriented employee can become a “jack of all trades” through all functions of the organization.
Nice press for Robb and team this afternoon.
BOO! for #44. See you then!