Marc Andreessen’s 2 reasons for why founder-run companies are harder to disrupt “If you just look historically at many of the important technology companies of the last 50-100 years, many of them are run by their founders for decades… And a lot of it has to do with disruption.” Marc continues: “There’s this cliché of founders that a lot of people believe which is that founders are too stubborn and founders get too locked into their original idea and they can’t adapt as times change. We’ve actually found the opposite to be true. We’ve found that when a company is going to get disrupted, the person in many cases with the best odds of countering the disruption is the founder, and I think there’s a couple of different reasons for that.” The two reasons Marc shares are: 1. The founder remembers when the business was nothing, and are constantly haunted by the fact that the business could be a zero again: “The founder remembers what it was like when there was nobody else in the office with you and when you carried out your own trash can. The founder remembers this thing used to be zero.” 2. The founder carries enormous moral weight inside the company and can more easily make drastic changes: “When Steve Jobs goes into Apple and says times are changing we need to do X - and X is heresy… A Steve jobs - a founder - is going to be able to convince the company that they have to do that. Whereas if a professional CEO shows up and says that, everybody’s going to be like, ‘Ooh, I don’t know.’” Video source: Startup Grind (2016)
And founders have a deeper understanding of the market since they had to analyse it in depth in order to define the foundations of the company vision and strategy. And the board meetings, customer/deal conversatiobs and other fundraising activities ensure they don't forget about it. This makes it easier to position a potentially disruptive newcomer.
Indeed, the definition of being a found is laser focus and unwavering belief in the vision, nothing else will have got you this far.
These are two really great points actually.
Want even more startup insights from the world's best founders? Join the 9,000+ founders who read our free newsletter here: https://www.startuparchive.org/p/marc-andreessen-s-2-reasons-for-why-founder-run-companies-are-harder-to-disrupt