Jeff Bezos, CEO of Amazon is the one who has revolutionized the way we shop today. Jeff resigned from his position as a senior vice president at D.E. Shaw to start the e-commerce website Amazon.com.
Just like what Steve Jobs did with Apple, he established his company in a garage with his first employee, Shel Kaphan. Let us take a quick glimpse at 10 business lessons we can learn from Amazon founder and CEO Jeff Bezos.
“The thing about inventing is you have to be both stubborn and flexible, more or less simultaneously. The hard part is figuring out when to be which!”
Further, as Jeff Bezos says, a good entrepreneur should be stubborn on vision and flexible on details. “If you’re not stubborn, you’ll give up on experiments too soon. And if you’re not flexible, you’ll pound your head against the wall and you won’t see a different solution to a problem
you’re trying to solve.”
Jeff Bezos believes in the ‘Two Pizza theory’, where a group of working people should be small enough to feed with only two pizzas. When the team tends to grow bigger, the work efficiency becomes very less.
Of course, don’t take this “two pizzas” directly, the meaning is that the group of 5-7 people is enough to make a good team. He says that the larger the groups the less efficient the work becomes.
“If we think long term, we can accomplish things that we couldn’t otherwise accomplish.”
When it comes to Jeff Bezos, long-term thinking, and experimenting are the stepping stones for the growth of any company. Doing experiments paves the way for new innovations, which is needed to stay competitive in this dynamic market.
It seems in Amazon, experimenting, and taking a risk to do something new has always been a part of the culture.
“We see our customers as invited guests to a party, and we are the hosts. It’s our job every day to make every important aspect of the customer experience a little bit better.”
While most of the tech companies are obsessed with their competitors, Jeff Bezos on the other hand rather asks them to concentrate on their customers.
If you want to accomplish something great, you need to surround yourself with great people on your team. When you are with the right people, you will be filled with lots of optimism and plenty of innovative ideas at the end of the day.
Bezos is a firm believer of this philosophy and advocates having a great team around yourself when doing business. While it doesn’t involve surrounding yourself with ‘yes-men’, the people working for you should feel free to contribute newer ideas and work towards the best interests of
“We’ve had three big ideas at Amazon that we’ve stuck with for 18 years, and they’re the reason we’re successful: Put the customer first. Invent. And be patient.”
If you are an entrepreneur, you must know that building a business takes time and effort. Running a business is something that requires patience as one of the key traits.
Success might be late to follow, but it surely will come. Hang on there and never give up!
Experiments lead to the creation of new innovations. For example, food companies experiment with new foods and flavors, tech companies have “laboratories” like Google labs, sports teams experiment with new plays and/or players.
In Bezos’ own words, at Amazon, experimentation, and willingness to invent have always been a part of the culture. It’s not secondary or something that “has to be done because everyone else does it.”
As an entrepreneur, you should find risks and get rid of them as soon as possible.
“Good entrepreneurs don’t like risk; they seek to reduce risk. Starting a company is already risky, and then you systematically eliminate risk step by step in those early days.“
Creating slide shows doesn’t have the same effect. Even if it could, you are forced to limit your thinking to only the main points.
Writing 6 pages forces the author to think things through, and reading and discussing them allows the audience to get to all of the author’s thoughts.
“Better late than never” doesn’t go well with starting a new business otherwise the fear for a possible loss will ruin your the possibility of the growth of your company.
Having a great idea sometimes can be an overrated concept, because ultimately, it all boils down to how efficiently you execute the idea on the ground. If you don’t start now, you might lag behind in the race.