Everyone makes mistakes in business, and it’s always a valuable learning experience. It’s also good to learn from others’ mistakes as well as our own!
In that spirit, here are a couple of examples of expensive mistakes.
Playing too safe
Simon Davis, CEO of Mighty Bear Games in Singapore, says he chose to play it safe – twice – rather than take the risk of joining a friend’s start-up.
Later on, the start-up was acquired for $100 million! Naturally Davis now regrets playing it too safe and wishes he’d done things differently.
Moral of the story – don’t be afraid to take risks, without risk there can be no return.
On the other hand, Theo Silalahi, co-founder of HReasily payroll software, says in his experience start-ups sometimes go in too hard with their product before it’s ready. This includes heavy marketing and expanding their team – things that cost a lot of money.
Theo says he prefers to hit the market with his product first so he can get some feedback before going further – even though this comes with some risk.
Moral of the story – no matter how great you think your product is, find out what the market thinks before diving in too deep.
There are many other expensive mistakes people make in business, from wasting too much time on trivial matters, to failing to move forward with new technology, as Kodak did with digital photography.
These stories highlight the importance of taking the time to understand your market before plunging in too deep, but of also not being afraid to take informed risks!