Extended Summary Of Blitzcailing: The Lightning-Fast Path to Building Massively Valuable Companies - By Reid Hoffman and Chris Yeh (ePub)

ABOUT THE ORIGINAL BOOKBlitzscaling is a book published in 2018 that deals with the tactics used by large modern companies to create businesses that grew at a shocking speed. Facebook and Amazon are some of the most notorious examples because, definitely, each one has entered a niche in the market that allowed them to consecrate themselves, monopolize more and more clients and, therefore, also generate more and more profits. The concept that gives the title to the book, blitzscaling, is a recent neologism that arose from the need to name the new type of development that has completely transformed the business world. The authors, Yeh and Hoffman, argue that all companies, regardless of their industry, can succeed in the current competition if leaders are willing to take action quickly and fearless, trying new business methods. Undoubtedly, changing the direction of a company is an intimidating task, especially if you want to compete with well-established corporations for years. However, every entrepreneur must be aware that all these companies did not start out being large, on the contrary, at first, they had few employees and offered their services to a reduced portfolio of clients. Practicing blitzscaling means letting our strongest ambitions inspire us to take risks that, in proportion to their size, will end up reporting better rewards. It is not about leaving ambition without rein, but it is necessary to know how to guide it wisely to avoid the uncertainty of the market. Getting a business to expand rapidly and reach massive sales is not an impossible dream, but you must keep your feet on the ground. It is necessary to be realistic and to devise a plan that makes possible a rapid growth, we can learn from the experiences of others who used blitzscaling in several areas. Many believe that currently, the only companies with great achievements are those that are dedicated to technology, but that is not the case. The examples are very diverse: on the one hand we have a company like Zara, dedicated to the retail sale of clothing, and on the other hand the Obama's election campaign. Now, when learning what is blitzscaling, it is essential not to confuse the speed with the lack of ethics; Skipping the law or engaging improper activities will only lead us to a dead end. It is natural for some to distrust a company that grows rapidly in a correct and legal manner, arguing that the practice of blitzscaling only encourages the formation of monopolies. In reality, this practice benefits everyone, since consumers now have a broader range of options to choose which products they want to buy, while sellers multiply their profits.INTRODUCTIONA little more than twenty years ago, other companies that are not so relevant now reigned over the world. Coca-Cola, General Electrics or Nippon Telegraph were some of the best known because they had emerged with the rise of the industrial era. The 21st century brought a change of international leaders with Facebook, Amazon, Apple, and Microsoft. They have one thing in common. All they are companies dedicated to technological innovation.However, even if they are already established giants, new companies can make them compete for thanks to blitzscaling. This was the case of Tencent, a Chinese technology company that seeks to create an instant messaging application for cell phones that exceeded the Kik platform in the market. This goal entailed a great risk since Tencent already had a product very similar but that was intended to be used in computers. If they could not get their new messaging product to surpass not only Kik but also the one they already had, they would end up losing millions of dollars.