Author – Peter Thiel
Country – USA
Genre – Startups & Company Building
Pages – 199 (Indian Version)
Publisher – Virgin Books (UK)
Published in – 2014
Cost – Rs 499
Illustrations – 55 (Including Graphs & Tables)
Who would benefit- Students, Entrepreneurs & Startups
Strength of Book
The book is logically divided into 14 chapters within. The vast array of examples in the book makes it interesting to understand.
The ample number of illustrations in the book helps the reader to understand better. The number of pages is limited and this will help young readers to make up their minds to read this book.
Weakness of Book
Considering the genre of the book, a summary of the chapters can be there. It will help the readers to get the chapter in a nutshell and to relate the events around it with those in the book.
About the Author
Peter Thiel is of German-American origin. He is an entrepreneur, capitalist & activist. He was born in Germany in Oct 1967. In his kitty of co-founders are PayPal, Plantir & Founders Fund. His earlier book is ‘The Diversity Myth’ was in 1995. He heads various companies related to fundraising and research.
Summary of the Book
The book is divided into 14 Chapters.
1. The Challenge of the Future
The author starts Zero to One by bringing out the difference between horizontal and vertical progress. The idea of a change lies in plain sight. The startup team should be small and willing to work rather than just signaling that work is being done. The key is to have a team, who are convinced of your idea.
2. Party like 1999
It mentions the dot com bubble burst. the author’s startup can survive it. Four big lessons for entrepreneurs are: Advances to be progressive, embed flexibility in your business, analyze the market and make better products and not sales.
3. Monopoly
The idea is to create a monopoly. The products should be such that your competitors are not able to touch your level. Usually, startups start taking benefits and the upper hand in the definition itself. it creates a sense of false benefit. The book brings out the idea of competition. Mergers and rivalry find mentioned.
4. Be the Last Mover
It is beneficial if we improve upon one already existing market or niche. The idea is to escape competition. By following the recently newly designed products. Tyr for your product to be useful to first users as well. Choose the market carefully and then expand deliberately. So, the last will be first pertains to making the last great development in the environment.
5. One must always strive to make the best of the future. This is possible only if plan for the same. Leaving everything in the future and doing nothing does not lead anywhere.
6. Indefinite pessimism is not good. Definite Pessimism is still better than it. Definite Optimism is the best if followed. Spending by a company need to be deliberate and thoughtful. It’s sheer hard work and planning that is required.
7. Money Shows the Direction
For laymen, it is the money that will provide a hint. Investors will invest in the businesses that they find fit. They will invest in definite optimism. As an entrepreneur, one must think hard about whether the idea or the startup will provide value in the future or not. Also, one must not try a hand at several other careers.
8. Secrets
One must search for the secrets that will inspire the business. Usually, it hides in plain sight. The four trends that root our faith in secrets are Incrementalism, Risk Aversion, Complacency and Flatness.
9. There are many ideas for startups that are present. The requirement is only to search tirelessly. And once the secret has been found, it is to be told to very few.
10. Foundation
The Foundation of the startup needs to be very deliberate. Cofounders should be equally interested in the idea. Clear demarcation of roles to be there in the startup foundation rules. So the board of the company is best if kept small. The less the merrier.
11. Salary
It is better to pay a limited salary initially. Rather can opt for providing stocks of the company. This will motivate the workers to work hard to increase the value of their stocks. So, it’s the equity offering that is the key. But it must be kept secret. And after this company is found they continue creating new ones.
12. Team Management
To keep the team tightly knit, one must inculcate good company culture. There should be bonds after office hours also. Hiring people should never be outsourced. Specific allocation is to avoid internal conflict.
13. Sales & Advertising
The author brings out that after the company has started then we require sales. And sales come after the advertisement. It should be the loudest.
14. Hybrid Human
The approach towards a new business startup should be with technology and human. Technology or human alone is no match for this highly competitive world. The idea is to focus on really important work.
Focus as taught in the book Deep Work (To read the summary click here)
Recommendations
Medhini recommends Zero to One for all budding startups. It is a quick guide to the path to building new companies. A must-have copy for all.