Founder of SpaceX and cofounder of PayPal, billionaire Elon Musk is often compared to Marvel Comics’ superhero Tony Stark, and with good reason too. The enormously successful entrepreneur has been instrumental in shaping the new age of private space travel, renewable energy and environmentally-friendly mass transport. Few individuals could be more suitable for providing advice to new startup companies around the world.
1.Seek Out Opportunities in Emerging Industries
In 1998, Musk cofounded PayPal, which has since become the world’s biggest online payment system, but when it was founded, online payments were very much in their infancy. The entrepreneur has only undertaken business ventures in emerging and underrepresented industries, such as private spaceflight and electric cars. These emerging industries present the advantages of less competition and potential for enormous growth in the coming years.
Many startups get so wrapped up in management and marketing that they end up not paying enough attention to the most important factor of all: the quality of the product. According to Musk, the most important thing is to create a compelling product that truly inspires consumers.
3.Be Prepared for Change
The world of business and technology is in a constant state of change, and while it is important to keep one foot on the ground, it is equally important to be prepared to branch out in accordance with current consumer and technological trends. A good example is PayPal itself, which started off as a payment system for EBay and later expanded to become a global online payment system used by millions of businesses and individuals worldwide.
4.Invest Profits into New Opportunities
Musk invests almost half of his profits into new business opportunities, a perfect example being his investment of $100 million into the founding of SpaceX, all of which came from profits generated by the sale of PayPal, a company that turns over a revenue of almost $8 billion annually.
5.Be Your Own Best Customer
If you don’t have complete faith in your own products, then consumers aren’t likely to either. As the founder of Tesla Motors, which specializes in environmentally clean electronic cars, Musk personally favors his Tesla Model 6, and he often puts himself in the shoes of customers in order to share their experiences.
6.Allow for Failure
Musk states that, if things are not failing, you’re not being innovative enough. In other words, the best business decisions always come with a degree of risk, particularly when they concern emerging industries. Startups should always make failure an option so that they can learn from their mistakes and perfect their product as a result.
7.Be Driven by Your Work Ethic
Working like a machine, Musk claims to regularly work up to 100 hours per week on his current projects. After all, entrepreneurial success comes with a great deal of hard work as well as a long-term commitment, and Musk advises would-be entrepreneurs not to waste their time if they’re not driven by hard work.