The Science of Growth: How Facebook Beat Friendster–And How Nine Other Startups Left the Rest in the Dust explores why some companies succeed and grow to dominate their market while others fade and fail. The Chairman of my department asked me to teach a course in ENTREPRENEURSHIP in the upcoming Fall Semester so I figured The Science of Growth would provide some fresh material and insights for my lectures. Ammirati shows how decisions about growth are key to the survival and health of the organization. For example, White Castle had a winning business model a decade before McDonalds arrived in the fast food industry. But, White Castle was debt-adverse and grew slowly. McDonalds aggressively borrowed money and expanded quickly. Today, there are 31,000 McDonalds and only 500 White Castles. If you’re interested in the elements that help startups grow, this book provides plenty to think about. GRADE: B+
TABLE OF CONTENTS:
Acknowledgments
Foreword: Richard Florida
1 Introduction
SECTION I PREREQUISITES FOR SCALING
2 Founder’s Core Vision
3 Scalable Ideas
4 Solves a Real Problem
5 An Excellent First Interaction
SECTION II CATALYSTS FOR ACCELERATING GROWTH
6 Double Trigger Events
7 Drafting off Platforms
8 Optimizing Algorithms
9 Viral Growth: Measuring and Optimizing
SECTION III ELEMENTS FOR SUSTAINED LONG-TERM GROWTH
10 Be Data Informed (Not Data Driven)
11 Financing Strategies
12 High-Performing Teams
13 A Culture of Discipline/Focus
14 Maximizing the Value of Network
15 Conclusion
Appendix: Company Overviews
Notes
Index
But what if you’re retired by the upcoming fall semester?
Bill, I’m proceeding as if I’m going to be teaching in the Fall Semester. The faculty union and the Administration of the College have to formulate how the Retirement Incentive money will be awarded. That will take over a month I’m guessing. Depending on what they come up with, I’ll consult with Diane and make my decision.
That was going to be my question too, Bill. Jackie believes if George was really ready to retire, he would have announced it already. We’ll see if it happens.
The book sounds interesting, though not one I am likely to read. It reminds me of when Jackie had to read Good to Great for a course. The difference between real leaders and blowhards like Lee Iacocca was eye-opening to her.
Jeff, I’m a big fan of GOOD TO GREAT. Yes, there are a lot of blowhards in the business world, Trump for one. I don’t have enough facts to make a decision on retirement. Rumors are swirling around about what the Retirement Incentive might be in dollars. Until I have something factual and on paper, it’s too soon to decide anything.
I admired a lot of what Iacocca did, especially in his early career.
seeing the word algorithm in the table of contents made me feel this book isn’t for me. The concept of it sounds very interesting. I hadn’t known of the history of white castle vs. mcdonalds
Maggie, I didn’t know the story of White Castle vs. McDonalds, either. White Castle was around 10 years before McDonalds came on the scene. But Ray Kroc borrowed heavily to get McDonalds to grow quickly and soon they dominated the market. There’s a Ray Kroc movie coming out in August that looks great with Michael Keaton starring.
After Crack bought McDonald’s from the original brothers. They were the ones who didn’t capitalize on their simple drive-in burger business in San Bernardino.
When we were kids, I remember White Castle but not McDonald’s, at least in NYC.
Jeff, White Castle had the same business model as McDonalds, but they moved too slowly. McDonalds grew fast and dominated the fast-food industry.
We still don’t have White Castle. I think we got McDonalds in the early to mid 60’s.
One of my cousins is married to a guy whose family was early McDonalds franchisee. They are doing very well.
We in San Diego have mixed feelings about Ray Kroc. His ownership of the padres, and verbal admonishment during a game wasn’t received too well. But we loved Joan Kroc, who donated a lot of money to many charities, often anonymously.
Maggie, there are rumors that White Castle is coming to Buffalo. I’ll believe it when I see it.
Ray Kroc bought McDonald’s from the McDonald brothers in 1961 because they didn’t want to expand as he did.
The rest is history.
Well Jeff said it first, without the typos and misspelling.
Movie coming out about Kroc and it looks to be a decent one. Not sure if I am interested enough to read a book on this but I appreciate you doing it for us.
Patti, reading books like THE SCIENCE OF GROWTH is just part of my job.
George, entrepreneurship is a big thing in India currently, with the government launching an ambitious programme called “Startup India.” This book would interest a lot of people here.
Prashant, one of the keys is to have your company grow quickly. Slow growth is not the way to go in today’s business climate.
Totally OT re India:
One of my sisters and a female friend went to India some years ago – they had a paid driver who took them everywhere and brought back fantastic pictures.
Then last year my granddaughter and her partner went there, to Nepal and on to Australia (the only got a six months visas for India but didn’t want to go home …) and also put up pictures on facebook of course and right now I’m reading a report on a journey some German guy is doing, of course they all start in Delhi, then some of those palaces and the Taj Mahal.
India seems to me the most dynamic country (or rather continent) right now!
So there sure are many business opportunities …
Wolf, thanks for sharing that. For a perspective, India’s youth population of 356 million 10-25 year-olds is more than America’s entire population of nearly 320 million. It’s mind boggling! We have MDs and CEOs who are under 30 heading operations of their own startups, and successfully too. I think, America’s own startups have been an inspiration. Of course, we have problems too, especially social and economical, in several areas but we seem to be moving in the right direction. And yes, it is a vast and beautiful country, a subcontinent actually.
The biggest problem there imho is that there is no guaranteed recipe for success in business (and in love and …).
What works once need not work a second time in different circumstances.
But there suely are some caveats which you should avoid and then you just need luck “to be in the right place at the right time”!
Wolf, there’s no doubt that luck enters in success (or failure) in love and business! And, timing is everything.