Corporate Leaders Advise Entrepreneurs to Focus on Creating Value and Not the Valuation

The Coronavirus epidemic has highlighted the importance of startups adapting to extraordinary circumstances. The environment is favorable for startups in Pakistan, but the success of a new business idea depends on its ability of monetization and sustainability.

Corporate experts participating in the panel discussion on the occasion of the 8th Shell Tameer Awards termed the growing trend of entrepreneurship among the youth as a good sign for Pakistan. The panelists appreciated all the ideas of the young participants of the competition and mentored them about the characteristics and strategy to make the idea successful.

Chairman NCCPL, former IBM CEO – Humayun Bashir, Chairman & CEO Unilever Pakistan Limited – Amir Paracha, CEO Dawood Hercules Group – Inam ur Rahman, and CEO & MD Shell Pakistan Limited – Haroon Rashid, were present at the panel while Sidra Iqbal hosted this significant discussion.

Humayun Bashir, Chairman NCCPL, former IBM CEO, said that conditions were very conducive for entrepreneurship in Pakistan, and that youth graduating from educational institutes were willing to start their own business. “A large section of the population has access to mobile phones and internet while incubators and entrepreneurship programs are also running along with government policies,” he said.

Bashir added that today it had become easier for a startup that is unique and solves a big problem of the society to attract investments. The world’s leading venture capital funds were now investing in Pakistani startups, he said. “There are about 20 venture capital funds active in Pakistan that are looking for good ideas.”

He further said that due to digitization, the nature of jobs in Pakistan was also changing, and that it was important that the curriculum be changed and adapted according to these trends and the requirements of future jobs.

Amir Paracha, Chairman & CEO Unilever Pakistan Limited, emphasized three basic characteristics for a good business idea to be successful. He said it was necessary for an idea to be executable, monetizable, and sustainable.

“If you can’t scale an idea, even if you scale it but failed to commercialize it, then that idea can’t be sustainable,” Paracha added. He further urged startups to improve their networking as it is also key in securing funding.

Inam ur Rahman, CEO Dawood Hercules Group, urged young entrepreneurs entering the market to come up with new business ideas to be able to adapt to new possibilities in difficult and changing circumstances.

He advised startups not to think that the situation would not get worse, but to be able to adjust to the situation as quickly as possible. He cited Careem and Airlift who adopted the model of deliveries and supplies when they faced challenges due to Covid-19 pandemic.

Rahman termed the ability to face the volatility and making swift adjustments according to the circumstances as pivotal for the success of any business idea in the prevailing business climate.

Haroon Rashid, CEO & MD Shell Pakistan Limited, said that the ability to turn any idea into a successful business was essential. No matter how innovative an idea may be, it would be difficult to sustain it if it does not employ the best-in-class skills compared to its contemporary startups.

He said that it was a sign of a business leader to take advantage of the opportunities available by looking at the market. “The world is changing fast and businesses that have grown rapidly over the past two years have faced more difficult conditions than those grown rapidly over the past decade.”

But the market- and opportunity-based ideas have always benefited, he further said.

Rashid further said that entrepreneurs were as important as lifeblood in keeping the economy afloat and strong by providing new employment opportunities with innovation. “The trend is welcome that young people are now coming up with ideas to run their own businesses and solve some of society’s most pressing problems.”

He concluded by saying that that the efforts of these passionate people were commendable and the Shell Tameer Awards would keep encouraging such young talent.