How to build a company worth billions in a 100 years

itsnicoletv (58)in #explore1918 • 7 years ago (edited)

how to.png

A History Challenge! Discover a story from the year 1918 that relates to you...

Challenge accepted! 100 years ago there was World War I, the Influenza outbreak, and Race Riots 🙀. Fortunately, 1918 wasn't just all doom and gloom, there was also Gandhi, and a new wave of Technology.

Perhaps it would be possible to share a story related to my current favourite camera, the Panasonic Lumix GH5?

Research begun and guess what I found? Panasonic was founded in 1918. However, the company has sold products under a number of other brand names to become the multi-billion company it is today.

Back row from left, Konosuke Matsushita, Toshio Iue, Mumeno Matsushita

Panasonic was founded by a 22 year old man named Kōnosuke Matsushita with the help of his wife and brother-in-law. Back then the company was called Matsushita Electric Industrial Co,. Ltd. and they were selling his little invention: a new and improved light socket.

Screen Shot 2018-01-23 at 11.48.27.png

Unfortunately, they didn't know anything about branding or marketing, and no-one was interested in their innovative product. I bet he wouldn't have believed you, if you said that his company is going to be worth $42 billion one day.

Just when he was about to file for bankruptcy, a surprise order came in that saved the company. He was able to move into a head office, a bigger factory and hire more employees. He was very lucky!

He learnt an important lesson:

Even when you have a better product, if you do not know how to sell it, your product will fail.

Which made him focus on creating a stronger sales force to put his company on the map. For example, he'd give away products for free, and once retailers were convinced of the quality, the orders started to roll in. This technique was quite revolutionary for his time.

To do good work, you need a healthy balanced lifestyle.

Therefore, he formed the "Hoichi Kai"(lit.,'one-step society'), an employee organization in which all employees of the company, including himself, participated to have fun together. They would do sports, cultural and other recreational activities, after all life isn't about working all the time.

Keep a pencil and paper at your bedside to write down ideas that come to you while asleep.

Kōnosuke was obsessed with developing new and improved products. After light sockets, he worked on a more efficient bicycle lamp, radios, super irons, an electric foot warmer, electric motors, fans, and he even produced magazines. Through his magazines he aimed for transparency and an open dialogue with his clients and employees.

Always listen to any comments or suggestions about improvements that can be made.

Kōnosuke truly believed that "Business is people" and that you should constantly educate and invest in your employees.

Finally, it was around 1950 that his company would become one of the world’s largest manufacturers of electrical goods, sold under well-known trademarks including Panasonic.

I am in awe by Kōnosuke. He kept finding ways to succeed, even though it wasn't always easy, he kept doing things his way and did not follow the norm. He never ever let a set back demotivate him, he was always learning and re-inventing himself, while creating fantastic products and business techniques along the way. I hope this story from the past inspires you as much as it inspires me.

In summary, if you're interested in building a company worth $42 billion, you have to:

Create better products
Know how to sell
Focus on branding
Write down your ideas
Constantly educate and invest in yourself and your employees
Or just do your work. Do it exceptionally well and be proud of what you’ve created. Then go home and enjoy your life.