Want to Succeed in Business? Find a Problem to Solve | Anthony Tan and Amane Dannouni | TED

Summary

Anthony Tan, CEO and co-founder of Grab, shares his vision for the company, which began with addressing safety concerns in transportation and evolved into a multi-service platform combining ride-hailing, food delivery, and financial services. Born in Malaysia and based in Singapore, Tan emphasizes the importance of creating a for-profit social enterprise with a focus on empowering everyday entrepreneurs and addressing societal issues such as the rich-poor divide. He also discusses Grab's expansion across Southeast Asia, strategic design choices, and the company's commitment to environmental sustainability and net carbon neutrality by 2040.

Takeaways

• 🌟 Anthony Tan, the CEO and co-founder of Grab, envisions his company as a for-profit social enterprise with a double bottom line, focusing on both economic and social impact.
• 🚗 Grab started with a focus on safety for women and children in transportation, addressing a personal issue and a widespread concern across various regions.
• 💡 The idea of solving safety issues unlocked further possibilities, enabling children and women to safely attend school and work, and supporting the broader societal goals.
• 💰 By introducing GrabPay, the company aimed to enhance safety for drivers and provide a cashless, convenient solution for customers in high-cash societies.
• 🚀 Grab expanded into financial services, offering loans and digital banking to support their drivers and merchants, catering to the needs of the gig economy and small businesses.
• 🌍 The decision to scale geographically across Southeast Asia was strategic, aiming to address common problems and serve a diverse population of 650 million people.
• 🛠️ Grab chose to work with existing taxi drivers and low-cost mobility options to ensure widespread accessibility and affordability from the start.
• 📈 The company faced the challenge of balancing regulatory compliance with rapid growth, opting for a collaborative approach with governments and regulators.
• 🌱 Grab has evolved to embrace a triple bottom line, acknowledging the importance of environmental sustainability alongside economic and social goals.
• 🔋 Investment in low-emission and electric vehicles, as well as collaboration with governments, are part of Grab's strategy to reduce their carbon footprint and move towards net carbon neutrality by 2040.
• 💼 Anthony Tan encourages entrepreneurs to start businesses with a double or triple bottom line, addressing real societal issues and pursuing a mission they are passionate about.

Q & A

What is Anthony Tan's role in the tech community and Southeast Asia?

Anthony Tan is the CEO and co-founder of Grab, a platform that combines services similar to Uber, DoorDash, and PayPal. He is well-known in the tech community and Southeast Asia for his innovative work and leadership in the region.

How does Anthony Tan describe his personal background?

Anthony Tan describes himself as Malaysian-born, based in Singapore, and a man of faith. He mentions being a son, husband, and father, emphasizing his family values and religious beliefs.

What was the initial idea behind Grab when it was founded 12 years ago?

The initial idea behind Grab was to create a for-profit social enterprise, focusing on safety for women and children in transportation, starting with Malaysia. The business model was designed to address social issues from day one, aiming for a double bottom line approach.

What personal experience influenced Grab's focus on safety?

Anthony Tan's co-founder, Ling, used to finish work late at night and had to take precautions like pretending to be on a call with her mom while in a taxi for safety. This personal experience highlighted the need for improved safety in transportation.

How did Grab expand its services beyond ride-hailing?

Grab expanded its services by introducing Grabpay, a cashless payment solution, and then moved into financial services like Grab lending to support drivers and merchants in expanding their businesses. The creation of digital banks was also part of the expansion to cater to the financial needs of gig workers and small merchants.

What was the rationale behind Grab's decision to scale across countries in Southeast Asia?

The decision to scale across countries in Southeast Asia was driven by the desire to solve a common problem that could be addressed by the proven solution Grab had developed. The company aimed to serve a large population and achieve scale and velocity, which were essential for providing efficient services and maintaining sustainability.

How did Grab approach the design of its mobility services?

Grab designed its mobility services to cater to the masses, focusing on low-cost options like taxi drivers, tuk tuks, and two-wheelers. The approach aimed to serve the bottom of the pyramid and ensure both profitability and sustainability.

What challenges did Grab face in working with regulators in the region?

As mobility services are regulated in the region, Grab had to work closely with regulators. Instead of moving quickly and stepping on toes, Grab chose to involve governments in co-creating a new vision of mobility, aligning with their developmental agendas and ensuring long-term success.

How does Grab address the environmental aspect of its business?

Grab has moved from a double bottom line to a triple bottom line, incorporating environmental considerations into its business model. The company is committed to net carbon neutrality by 2040 and has invested in low-emission and electric vehicles, while working with governments and partners to develop infrastructure and financial solutions to support this transition.

What advice does Anthony Tan have for entrepreneurs?

Anthony Tan advises entrepreneurs to start businesses with a double or triple bottom line approach, focusing on solving real social problems. He emphasizes the importance of having a strong calling or purpose and being willing to put in significant effort to address societal issues.

How does Grab's mission align with its approach to social and environmental impact?

Grab's mission to empower everyday entrepreneurs is closely tied to its focus on social and environmental impact. By addressing issues like safety, financial inclusion, and environmental sustainability, the company aims to uplift those at the bottom of the economic pyramid and contribute to a more equitable and sustainable world.