Many entrepreneurs have their business heroes. Some are revered not only for their spectacular successes but for the reversals they endured and subsequently overcame. With economic indicators for a strong business recovery still faint, it can be helpful to recall the early setbacks of some of the best-known entrepreneurs and what can be learned from them.
Here’s a look at iconic entrepreneurs, their early struggles and their eventual comebacks.
Henry Ford (1863-1947)
Company: Ford Motor Co.
Setback: Ford suffered a few failed automotive endeavors early in his career, including Detroit Automobile Co., which he started in 1899. Its cars were low quality and too pricey for average consumers.
Turnaround: Ford continued to develop better auto designs and gained national acclaim in 1904 by demoing a car — the “Ford 999” — that broke the land-speed record by going a mile in about 40 seconds. In 1908, he released the Model T, a well-made, low-priced car that quickly gained traction with U.S. consumers. Annual sales topped $250,000 by 1914.
Quote: “Whether you think you can, or you think you can’t — you’re right.”
Lesson: Building a brand requires more than just building a good product..
.
Anita Roddick (1942-2007)
Company:
Setback: When Roddick opened the first Body Shop, a beauty products company, in Brighton, U.K., in 1976, two neighboring funeral parlors initially objected to the name.
Turnaround:
Quote: “If you think you’re too small to have an impact, try going to bed with a mosquito.”
Lesson:
Frederick W. Smith (1944 – )
Company
Setback: After revolutionizing overnight mail delivery in the 1970s, Smith introduced an electronic delivery service, Zapmail, in 1984 to compete with fax machines. But Zapmail didn’t draw the anticipated interest and cost the company nearly $350 million over two years.
Turnaround:
Quote: “Leaders get out in front and stay there by raising the standards by which they judge themselves and by which they are willing to be judged.”
Lesson:
Walt Disney (1901-1966)
Company:
Setback: The cartoon animation pioneer weathered several major financial setbacks in the late 1920s and 1930s, including losing rights to the popular Oswald the Lucky Rabbit character. His company was $4 million in debt by the early 1930s.
Turnaround:
Quote: “You may not realize it when it happens, but a kick in the teeth may be the best thing in the world for you.”
Lesson:
Steve Jobs (1955 – 2011)
Company:
Setback: After his forced resignation from Apple in 1985, Jobs spent the following several years developing NeXT, a computer workstation for educators. But with a high price tag and reports of numerous bugs, sales never materialized. The company burned through hundreds of millions of investor dollars.
Turnaround:
Quote: “You can’t just ask customers what they want and then try to give that to them. By the time you get it built, they’ll want something new.”
Lesson:
Bill Gates (1955 – )
Company:
Setback: While high-schoolers in the 1970s, Gates and pal Paul Allen started Traf-O-Data, a computer business that automatically read paper tapes from traffic counters for local governments. The idea later became obsolete when the state of Washington offered to tabulate the tapes for cities for free.
Turnaround:
Quote: “Success is a lousy teacher. It seduces smart people into thinking they can’t lose.”
Lesson:
Harland David Sanders, a.k.a. “Colonel Sanders” (1890-1980)
Company:
Setback: In 1955, a newly built interstate bypassed Corbin, Ky., where Sanders had cooked up chicken in his restaurant and motel for two decades. After selling the location and settling debts, Sanders was broke.
Turnaround:
Quote: “Feed the poor and get rich or feed the rich and get poor.”
Lesson:
Mary Kay Ash (1918-2001)
Company:
Setback: After 25 years in sales at Stanley Home Products, Ash resigned in 1963 frustrated that the firm overlooked her for promotions even as men she trained rose through the ranks.
Turnaround:
Quote: “For every failure, there’s an alternative course of action. You just have to find it. When you come to a roadblock, take a detour.”
Lesson:
Dave Thomas (1932-2002)
Company:
Setback: Thomas retired as Wendy’s CEO in 1982, 13 years after founding what had become one of the largest fast-food chains in the U.S. Within years, the company revenues sagged as some customers were unimpressed with a new breakfast menu, and cleanliness and service standards slipped at franchises.
Turnaround:
Quote: “Take care of your business and your business will take care of you.”
Lesson:
Related:
Many entrepreneurs have their business heroes. Some are revered not only for their spectacular successes but for the reversals they endured and subsequently overcame. With economic indicators for a strong business recovery still faint, it can be helpful to recall the early setbacks of some of the best-known entrepreneurs and what can be learned from them.
Here’s a look at iconic entrepreneurs, their early struggles and their eventual comebacks.
Henry Ford (1863-1947)
The rest of this article is locked.
Join Entrepreneur+ today for access.
