Elon Musk on Millennials and How To Start A Business
Elon Musk is a prolific innovator, best known as the founder of SpaceX and the co-founder of Tesla. Now, at the ripe old age of 55, Musk has taken on a new role: mentor and advisor to a new generation of entrepreneurs.
In a new book by James Hamblin, “Elon Musk: Tesla, Space, and the Future of Earth,” the PayPal co-founder outlines a unique approach to business and technology, as well as the importance of having a sense of humour when founding a company.
Musk's Top Takeaways
The book is full of valuable insights from one of tech's leading innovators. Here are our top takeaways from Hamblin's in-depth profile of Musk.
1. Create a network
“I've always believed that the key to innovating is by getting as many people as possible involved in the process as early as possible,” Musk said in a statement. “Whether you're starting a business or an invention, reaching out to people who can help you make it happen is essential.”
Musk didn't stop there. He also noted that being involved in multiple startups throughout his life has given him a unique perspective on how best to build a network and how to choose collaborators. “I think it's important to have a good sense of humour when founding a company,” he added. “Otherwise, you can end up taking things too seriously, which can doom your company.”
This approach to business is something that Generation Z–the future millennials and generation–will inherit. According to MarketWatch, nearly half of all businesses founded by Millennials have failed.
But it's not hard to see why. Raised in a generation of smartphone users, Gen Z has grown up learning how to use technology to their advantage, especially when it comes to creating online networks and gathering information about competitors.
Hamblin reports that when asked if the success of his ventures was due to pure luck, Musk laughed and said, “No, it's not luck. It's about having the drive and being able to execute. You have to want it badly enough and believe in yourself enough to know that you're capable of having this successful business.”
2. Have a clear purpose
Musk has always been driven by a clear vision of what he wants to achieve. One of the first entrepreneurs to embrace the “sharing economy” and the benefits of collaborative consumption, he established Tesla to bring electric cars to the masses. At the time, electric cars were considered expensive indulgences, reserved for the wealthy.
After establishing a market for electric cars, Musk turned his attention to space exploration, believing that it was only a matter of time before humans set foot on other planets. After establishing a space tourism industry, he pivoted to Mars. Now, nearly 20 years later, the Red Planet still beckons.
And while we wait for Musk's next great idea, entrepreneurs can follow his blueprint for innovation and create the next big thing. According to Musk, the key to innovative thinking is to “not be too concerned with what is known and to instead be inquisitive about what is unknown.”
3. Value learning
Musk is famously impatient when it comes to learning new things. One of his favourite sayings is “Immerse yourself in learning as much as possible, as fast as possible.”
In an interview with Harvard Business Review, Musk admitted that he had not valued learning sufficiently while in school. “I thought my education was a passport to success,” he said. “But it turns out that what you need is grit, and you have to be willing to work really hard to get it.”
It's an attitude that generations of Silicon Valley titans have taken to heart. In his book, Hamblin notes that Jack Dorsey, the co-founder of Twitter and Square, credited his success to having a “learning mindset,” while Larry Page, the co-founder of Google, credited his company's early years to being “exploratory and creative.” In an interview with HBR, Elon Musk credited his “amazing” success to having a “never-ending optimism.”
Now that he's in his mid-50s, Musk realizes the merit of education. “I should have valued my education more,” he told Hamblin. “I should have realized that it was actually a path to self-discovery and creativity. Now, I think about it, and it all makes sense.”
Learning should not just be about achieving success in a particular field. “You have to be willing to put in the hard work, even when you don't feel like it,” Musk said. “The amount of effort you put in is more important than the effort you put in. You have to believe in yourself and have faith that you're going to make it.”
4. Inspire, don't imitate
When discussing his blueprint for innovation, Musk cited examples of technologies that he considered groundbreaking, including the Segway, which paved the way for personal mobility devices, and the iPhone, which changed the way people communicate using technology. These products had all been inspired by innovations that came before them.
“What I've always liked about these examples is that they were developed independently and then later on embraced by other industries,” Musk said. “So, you can really see how each of these technologies contributed to changing the world in some way. I want to create impact by being inspired by the world around me, not by imitating existing technologies.”
5. Build a culture of trust
Musk is famous for being a straight-shooter, telling it like it is. In school, he cited examples of people who disrespected his father and questioned his mental stability. This convinced Musk that he would have to be extra cautious about putting his ideas into practice, as he did not want to create another opportunity for people to betray him.
According to Hamblin, this is one of the reasons that Musk has been so successful as an entrepreneur. Having established a track record of being honest and forthright, he can attract the best collaborators and hire the best people. With no strings attached, he is able to attract highly-motivated individuals who want to contribute their skills and experiences to a meaningful project.
The Role of Laughter
Humour is certainly not a new concept in business. But in a world awash with competition, being able to laugh at yourself and your mistakes is often the key to progressing successfully. According to Musk, this is especially important for entrepreneurs, who may find themselves bogged down by stress and anxiety that comes with getting a new business off the ground.
“You have to be able to laugh at yourself,” he said. “You cannot make this mistake: getting too absorbed in your work. The key to innovation is to not be too concerned with what is known and to instead be inquisitive about what is unknown.”
Hamblin's report on Musk's approach to business provides valuable insights into the mind of one of technology's most innovative and accomplished entrepreneurs.