A lean start-up is a process of establishing and developing businesses and products with the objective to shorten the development cycle of products and quickly discover the viability of a certain proposed business model. A Lean Startup necessitates a scientific perspective and approach on how entrepreneurs can create, develop, and manage startups so that they can come out with a product that fulfills the desires of the customers. As a result, it advocates for the production of what a customer desires hence having a ready market.
When entrepreneurs want to start a new kind of business, they are faced with many business challenges, all kinds of setbacks and roadblocks. They are at risk of wasting more time and resources if they consider using the traditional way of starting a business.
In startup emphasizes on creating a sustainable business while minimizing the waste of both time and money. Entrepreneurs who use the process of a lean startup are encouraged to critically evaluate every single step they take. This includes the idea in mind to the design of choice they intend to use in developing a new product.
In a lean startup is the entrepreneur finds a problem, validates it, and produces a product that is aimed at providing a solution to that particular problem. Carrying out or repeated testing and validation helps the product to reach the intended consumers on time. This maximizes the growth of the business hence a lot of profit. As a result, entrepreneurs attract more business partners who invest their funds for various projects in the startup. The funding includes the provision of capital that the entrepreneurs need for the startup.
The lean startup methodology has three major steps or phases that are involved as discussed by Ries (2017). These include building, measuring, and learning.
In this stage, one needs to take into consideration the magnificence of the product he or she is producing and if it is solving a problem that the customer is facing. This will make the customer require the product since it has taken into consideration the consumer’s needs. It therefore important that the entrepreneur pays attention to the problems people face daily for the product to have meaning.
Here, the entrepreneur puts into test the idea of the product he or she has developed to solve the customer’s problem. The use of Minimum Viable Product (MVP) makes this process to be easier and swift. MVP helps in the collection of most data about potential customers and their feedback on the intended product.
In the final step of the lean startup, one needs to learn by experimenting with the business idea in the real world. This enables the entrepreneur to gauge the response from the target consumers and know whether to move forward and create the product, where to make adjustments, and even stop the whole process.
A lean startup is a process that enables entrepreneurs to develop a product that is aimed at solving the problems of the consumer hence easily accepted in the market place. This is made easier through the use of the three major steps discussed in the article.