On an interview recently we identified three important characteristics that indicate longer-term success of a business or investment (the “FIT” qualities):
Finance – structured, efficient cash, and financial management.
Idea – the product or service idea is desired and valued by potential customers and is, or has the potential to be, widely distributed or have high demand.
Team – the right team to propel success, and a culture and disciplines that look after those individuals.
SEEK OUT AND RESPECT unbiased evaluation and ideas on the FIT of your business
The Mere Exposure Effect
Look in a mirror. What do you see?
According to psychologists, what we see in a mirror is not what others see. Humans are predisposed to see ourselves in a certain way, regardless of the facts of our appearance – the mere exposure effect, first discovered in 1977.
It goes like this:
When we look in a mirror our mirror-image is not what others see – our face is horizontally-reversed and we subconsciously isolate elements of our appearance that we want to see from ones we consider unattractive. We do it both by making particular, though subtle, facial expressions when viewing our face in the mirror, and by literally “blocking out” of our vision things we don’t want to see.
The result: We find our mirror-image more attractive than we would our actual faces, were we to meet ourselves face-to-face. We’re blind to parts of our appearance that we don’t like. The truth is, a photograph — not the mirror — is the more accurate reflection. It “exposes” an image of your face identical to what those around you see. It is, to put it simply, yourself through others’ eyes…whether you like it or not.
Why This Matters for Business
Entrepreneurs and driven executives are invigorated, passionate, contagious — you can feel the energy — however they can also lack perspective. They become victims of the mere exposure effect, start to see only what they want to see, and become blind to what is not working or where problems lie.
Truly Listen and Hear
How to Gain Perspective
- Listen to the comments and suggestions of the Team. Those working in and with the detailed aspects of the business idea and functions are best qualified to offer comment.
- Hear the message your Financial reports and KPIs are telling. Get a monthly impartial opinion or input from an experienced financial executive to interpret and understand what is happening and where the trend is going.
- Listen to customers and research the market to ensure the Idea is indeed highly demanded and that it is adjusted or perfected to optimally FIT the demand.
- Believe first impressions of the company’s pitch – keep a running tally of likes and dislikes of the company’s big Idea. Let the data, not your or the team’s passion, be the guide.
Facing the Facts
The purpose of a business is to provide value. Cash and profitability is a proxy for value. If you’re providing value to customers you are solving their problems, or filling their need, at a price higher than what it costs to deliver but lower than what your customers think it is worth. As the founder or management it can be hard to take an objective look at performance.
Nothing is so difficult as not deceiving oneself
Famed philosopher Ludwig Wittgenstein said, “Nothing is so difficult as not deceiving oneself.”
Your business success depends on you looking beyond the mirror and seeing the facts. Put down the mirror and learn to listen. Your startup, scale-up or well-established company will thank you!
If you are ready to explore FIT qualities for your company here are four ways we can help:
- Subscribe to the Unlocking Business Growth podcast to hear from other companies that have overcome growth hurdles they have experienced. Subscribe in your podcast app or here.
- Get your free copy of the book The 5 F Strategy – Bottom Line Growth in Any Economy without Additional Sales and Marketing.
- Download a copy of the Financial Growth Scorecard to assess your current status and what to work on next.
- Work with us to achieve the growth and success your company is truly capable of. To find out if we’re a fit, Contact us to schedule a right-fit call.
