* Túlio Mêne and Nilio Portella are partners of Bossanova and founders of Grupo Mene & Portella In basketball, Kareem Abdul-Jabbar, Wilt Chamberlain, Shaquille O’Neal and David Robinson are examples of centers that have made the history of this sport and are in any ranking of the best position of all time. But you know what […]
* Tulio Mene and Nilio Portella are members of bossanova and founders of Mene & Portella group
In basketball, Kareem Abdul-Jabbar, Wilt Chamberlain, Shaquille O’Neal and David Robinson are examples of centers that have shaped the history of the sport and are in any ranking of the best in the position of all time. But do you know what a pin is? In basketball, this function is nothing more than an articulator, a player who positions himself strategically on the court to see the game in all directions.
In the dictionary we find other definitions for the word, such as “shaft of a part or device” and “movement of rotation around the body or a part of the body (ex: rotational movement; has made a pivot on the support foot). “
Precisely to carry out this rotation movement in all directions, and to strategically see the game in basketball, the word pivot gave rise to the term “pivoting” in the business world, especially in the technology sector. It means completely changing the business path of a company, redefining the value proposition. Typically, this happens when a company is struggling to scale and goals and objectives are not met.
When it comes to pivoting, a few emblematic companies come to mind, such as for example PayPal, For instance. With a current value of over $100 billion, PayPal was founded in 1998 as a means of payment for the Palm system, a kind of handheld computer that existed before smartphones. It was then that the founders realized that the company could be (and have!) a global solution for online payments. The “pin” of PayPal not only did it work, but it turned the startup into one of the largest digital payments companies, sold in 2002 to eBay for $1.5 billion.
As well as the PayPal, we have other great examples of rotation. has the Netflix, which began as a DVD rental company that delivered movies by mail and today is one of the largest streaming services in the world, available in more than 30 languages in 190 countries. we also have the amazonby Jeff Bezos, which was a book e-commerce company in 1994, and by revolving the business, the company has become one of the largest booksellers in the world, reaching a market value of 1 trillion dollars.
Therefore, pivoting means being aware of the market and the changes in consumer behavior, which are increasingly rapid as technology advances. But the trick to any successful startup is to focus on the problem and work on a solution to fix it.
Returning to the house of PayPal, Peter Thiel, Max Levchin, Elon Musk and other co-founders of the startup, realized that the Internet did not have a means of payment that would facilitate people’s lives in financial transactions on the web. With the solution in hand, they steered the business and gained scale by solving the problem of millions of people around the world.
As entrepreneurs, we too have had a pivotal moment early in our journey. Seeing the movement of the market and the niche we were in, we changed our strategy, went in search of benchmarking and built a company that today has become a communication group. If we hadn’t made that change early on, we might not have had the success we have now.
When is it worth shooting?
But if you’re thinking about starting a business or already have a business plan in place, “pivoting” shouldn’t be your strategy. Although 77% of Brazilian startups have chosen to rotate their businesses at some point, according to a 2019 credit card brand survey, this radical shift in strategy can get in the way if not well planned and even drive away investors . .
This change of direction is valid only in cases where the company has not been successful and this can happen for various reasons. For example, the consumer may reject your product or service, or your business strategy has become obsolete due to an unforeseen external factor (such as in the case of a pandemic), and there are cases where the competitor has a better solution.
Therefore, being aware of changes in the market and in consumer behavior can be crucial when pivoting a business. Looking in all directions and noticing an opportunity that no one has mapped has already been the path of many companies reaping the rewards today.
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Source: Terra
Camila Luna is a writer at Gossipify, where she covers the latest movies and television series. With a passion for all things entertainment, Camila brings her unique perspective to her writing and offers readers an inside look at the industry. Camila is a graduate from the University of California, Los Angeles (UCLA) with a degree in English and is also a avid movie watcher.
