Many startup leaders aim for growth first and foremost. Although they might like the idea of running a business according to a greater purpose, they regard that as a luxury they can ill afford. Achieving product-market fit is, as venture capitalist Marc Andreessen has claimed, “the only thing that matters” early on. Once they’ve established their businesses as profitable, these entrepreneurs have difficulty breaking from this mindset. They aim for another, more ambitious goal: even bigger growth.
Gotham Greens operates the largest network of hydroponic greenhouses in North America.
(Photo: Gotham Greens and Julie McMahon)
Why Today’s Startups Pursue Both Ideas and Ideals
Purpose can provide strategic and operational advantages.
May 13, 2021
· Long read
Summary.
Startups typically operate with the mentality that growth and profit come first, higher calling comes second. This strategy, however, is misguided. Increasingly, entrepreneurs are imbuing their ventures with a grand ideal in addition to a great idea. This ideal not only serves as a moral purpose but also has three strategic and operational advantages. First, it can help expand entrepreneurial ambition. Second, it can attract fellow travelers. And third, it can help align a winning team.