Rule # 1. 12 Rules for Life — An Entrepreneur’s perspective

Introduction

I am an entrepreneur, operating in the chaotic world of startups where up is down and down is up, and you thrive in the disruption. In a sense, if you are going to be a successful entrepreneur, you should have chaos built in your DNA to really succeed or even get to a point where you have some small meaningful victories to offset many, many disasters.

Last year I came across a video of Dr. Jordon Peterson, a clinical psychologist and a professor of psychology at the University of Toronto, giving a talk around his new book 12 rules for Life; An antidote to Chaos. He went through the 12 rules in his inimitable, likable, and simple style. I was hooked. I bought the book and read it cover to cover in one sitting and watched the video once again.

As I started to apply these rules within my personal life, I had the increasing realization that these rules apply to my work life as well.

It seemed that 12 Rules could almost be a map for starting and running a meaningfully successful company. Entrepreneurs struggling with the brutal and cruel reality of survival could surely benefit immensely from the lessons in the book to bring meaning to the chaos of their startup life.

I present to you “12 Rules for Life An Antidote to Chaos — An Entrepreneur’s perspective.”

This is a series of 12 articles, one for each rule. Each piece will have a summary of the rule and how it is relevant for entrepreneurs and startups. I hope it helps you deal with the chaos a little better.

In the description of the rules as per my understanding, all the flaws and mistakes are mine, and mine alone. They do not reflect on the book in any way.

Here is the 1st Rule

RULE # 1: STAND UP STRAIGHT WITH YOUR SHOULDERS BACK

Summary of the rule

We can learn a lot about human behavior from studying the structure and function of the brains of a species with a simple nervous system. Lobsters are one such species.

Lobsters have been around for a long time ( ½ a billion years), and they have an established hierarchy that goes from top lobster to bottom lobster. This hierarchy is determined over time by the results of confrontations between lobsters.

During confrontations, whether a lobster is cringing or confident depends on the ratio of two chemicals in their brain: Serotonin and Octopamine. Victor usually has high serotonin and low octopamine levels and is secure. The opposite combination produces a defeated lobster low on confidence and worried about survival. Depending on the outcome, the lobster is raised or lowered in the hierarchy.

Positive posturing, therefore, becomes of utmost importance. It signals to the world a higher status within the hierarchy. Hence the need to stand up straight with the shoulders back.

It also indicates that one has accepted the responsibility of life and willingly undertaken the sacrifice to generate a meaningful reality. It leads to positive responses, a reduction in anxiety, and an increase in calmness.

Relevance for Entrepreneurs and Startups

At the beginning of the lifecycle of any bootstrapped startup, the biggest fear is oblivion. The business is too young, too new, and too vulnerable to take on established big businesses that are out to ruthlessly snuff out its very existence since most of the startups are upsetting the way of life for them.

From one perspective, it seems that it is harder to create a traditional business and compete with big business as against creating something disruptive, different, and out of the box. It is because a new startup will not be a threat to big business until it has achieved some level of success. And as we know, 90% of new startups die within the first year of operations. The big business doesn’t have to do anything for the first year, but let nature take its course.

If the big business ignores you, you could part of the statistics within a year. Worse still, if the big business notices you, you may reach the end quicker. Either way, things are grim, and oblivion seems just around the corner.

Often, the end may come from the startup’s own decisions and actions. Not everything can be laid at the doorsteps of the big business.

Whatever the case may be, survival is hard, and oblivion looms large on the horizon. It could be quiet discouraging, disheartening, and everything one tried to avoid when one chose the path of creating wealth rather than earning it.

Startups have big businesses, economic circumstances, and their own actions to contend with. It can quickly push any company into a negative spiral. As startups lose their Serotonin (low funds, low customer traction, low sales), they tend to get discouraged, lose their center, and become reactive rather than proactive.

This is where the advice of standing up straight with your shoulders back comes in.

You must signal to your environment, your customers, employees, potential investors, friends, and family that even though things may be tough, you are tougher and maintain a positive outlook. To all outsiders, this will communicate that you are here to stay. To all within your organization, it will signal to not focus on just survival but focus on proactive, positive things that will make your company what you envision it to be.

I founded a milk beverage startup which served ice-chilled milk beverages like Cold Coffee, and Chocolate Shakes with the highest hygiene standards, sold in a glass bottle out of ice cream carts for 40% cheaper than the most popular chain of stores selling milkshakes.

We were self-funded, the popular chain had huge investments. We had my partner and me as management, from operations to strategy to finance, marketing, and sales. They hired the best of the FMCG talent to work for them. We did not have a solid FMCG background with hopes of creating a new brand. They were a known brand ever since we were children.

These odds themselves were quite discouraging, thinking of survival and longevity was natural. Instead, we focused our energies on differentiating us from the popular chain, based on the central ethos of our company (great taste, hygiene, value for money & convenience).

Our actions addressed our ethos and furthered our company towards establishing our brand. We did not focus on the scale of our competitors. We stuck to our plan and never went head to head with them, but we became the guys to beat. Even though on a national scale, we were nowhere, on a local presence level, we were equals.

We believed it, our employees believed it, our customers believed it, and most importantly, our competitors believed it.

If you show confidence in yourself, it will result in others showing confidence in you, and things can turn positive from there.

Look, there are no guarantees for success, but thinking like a successful company and taking decisions and actions on that basis will help you find a viable path to success. On the other hand, making decisions to further your survival will just lead you down the inevitable path of oblivion.

Sometimes forcing yourself to smile makes you feel better. Try it sometime.

Stand up straight with your shoulders back.