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When you consider the different factors that contribute to your success as an entrepreneur, mindset may not be the first thing that comes to mind. Mindset may not seem important as you move from task to task, but it has a significant impact on how you run your business.
Successful entrepreneurs have a different mindset than everyone else, and it affects how they run their businesses.
Let’s look at seven mindset shifts you must embrace as an entrepreneur and why each one matters.
Related: Why Mindset Matters for Success
1. Reframe failure
Many people believe that failure is the opposite of success, but failure is actually a necessary step toward success. Failure is a part of every entrepreneur’s journey — Walt Disney, Steve Jobs and Arianna Huffington all experienced significant setbacks. What matters is how you react to failure and turn it into something positive.
Look at every setback as an opportunity to learn something new and practice resilience. Failure is often the catalyst for innovation — research shows that companies that encourage risk-taking and try new ideas perform better in the market.
2. Thinking big
Successful entrepreneurs have big, ambitious goals for their businesses. The best way to achieve more is to set higher goals and push yourself beyond what you believe is possible.
Most people get into entrepreneurship because they are naturally big thinkers. However, it’s easy to lose this mindset when you’re focused on your business’s daily operations. To some extent, this is normal — your employees have to get paid, and there are daily to-do lists that must be completed.
But if you aren’t careful, you can lose sight of your bigger vision for your business. Thinking big helps you break out of this mindset and see opportunities you might have missed otherwise.
3. Take calculated risks
It’s impossible to start a business or launch a product without some degree of risk, so entrepreneurs need to get good at taking calculated risks. When you take a calculated risk, you accept a certain likelihood of failure because it can potentially move your business forward. It’s an informed decision based on market data, not a haphazard choice based on feelings.
The key is learning when it pays to take a risk and when it doesn’t. Start developing a decision-making framework to help you lay out the facts, evaluate your options, make a decision and commit to seeing it through.
4. Continue learning
The most successful entrepreneurs are known for embracing continuous learning. For example, Bill Gates is known for being a voracious reader and regularly shares thoughts on his favorite books. When he goes on vacation, he spends about three hours a day reading and taking notes as he reads.
Continuous learning can take many different forms, such as reading, attending industry events or taking courses. Expanding your knowledge and honing your skills gives you an edge over your competitors.
Related: 8 Mindset Shifts Entrepreneurs Must Make to Achieve Their Ultimate Goal
5. Embrace a growth mindset
The term growth mindset refers to an individual’s belief that their skills and abilities can improve with effort. In comparison, individuals with a fixed mindset believe that their personality and abilities are fixed traits that don’t really change.
A growth mindset gives you the resilience to adapt and move through challenging situations. It allows you to learn from mistakes and find the necessary resources to grow your business.
If you want to launch a new product, a growth mindset allows you to test and iterate on your idea. Instead of viewing negative feedback or slow sales as a sign you should give up, you can use this feedback to improve your product offering.
6. Focus on providing value
Successful entrepreneurs focus on providing value rather than just making more money. This can be a challenging mindset shift to make because we all need money to pay our bills and buy the things we want.
But when you focus on making money as your end goal, it’s easy to become short-sighted and make every decision based on maximizing your profits now. If your customers don’t receive value from your products or services, you can’t build a sustainable business long-term.
7. Resourcefulness
When you’re starting a business, time and money are almost always in short supply, and unexpected problems will arise. You have to learn to be resourceful and find creative solutions to problems.
Being resourceful also means being flexible and willing to adapt to a constantly changing environment. For example, the most resourceful entrepreneurs were able to pivot during Covid-19, adjust their business strategy and identify new opportunities.
Related: It’s All in Your Head: How to Shift Your Mindset for Serious Success
Most people attribute entrepreneurial success to things like planning, innovative ideas and product-market fit. While those things are certainly important, it’s easy to overlook the importance of mindset when you’re starting or growing a business.
Your mindset matters because it shapes your decisions and actions. By embracing the seven mindset shifts outlined in this article, you’ll set your business up for even greater success.