Solution
1.Why is passion such a critical part of entrepreneurial success? Prim’s founders were apparently passionate about building a company but not the laundry business specifically. In what ways is this combination problematic?
Answer: The number one characteristic shared by successful entrepreneurs is a passion for their business. The passion typically stems from the entrepreneur’s belief that the business will positively influence people’s lives. Prim’s founder may have mistakenly developed a passion for starting a business rather than a passion for the business they started. This is problematic because once the initial excitement of starting the business was over (and the business started experiencing challenges), the founders were left with the day-to-day grind of running the business and may have found that they weren’t as interested in the (laundry) business as they originally thought they would be. One way to check whether one’s passion is real is to work in the industry your firm will participate in (over an extended period of time, if possible) to see if you like it. Some franchise organizations, for example, require prospective franchisees to work in one of the company’s franchise outlets for a period of time, just to ensure that they like the work before they become franchisees.
As illustrated throughout the book, starting a business is a rewarding yet challenging process. There will be many ups and downs. A person’s passion for the business that he or she starts is what sustains one during the challenging periods.
2.How could Prim’s co-founders have better anticipated that laundry services would eventually see Prim as siphoning off their own business and be reluctant to work with them?
Answer: Students will vary in terms of their answer to this question. One thing Prim’s co-founders could have done prior to starting the business is complete a thorough feasibility analysis. This topic is addressed in Chapter 3. By talking to laundry services in advance, the founders may have gained an awareness that their business model was not viable. |
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