JACK MA'S MASTERCLASS FOR ENTREPRENEURS: Motivation for Success #jackma

Summary

The speaker reflects on the journey of Alibaba from a small startup to a top internet company, emphasizing the importance of belief, hard work, and dreams. He shares the struggles of the early days, the value of self-belief, and the power of persistence. He encourages entrepreneurs, especially in Africa, to embrace change, focus on long-term goals, and learn from mistakes. The speaker also highlights the importance of creating jobs through small businesses and the opportunities presented by digital advancements in Africa.

Takeaways

• 😀 Entrepreneurship is a journey of doing something you believe in and dreaming of, regardless of initial skepticism or challenges.
• 💡 Alibaba's early days were marked by struggle and difficulty, including hiring challenges and a lack of resources, but belief in the vision kept them going.
• 💰 The company's market cap of 5 billion USD is a testament to the potential of perseverance and belief in one's entrepreneurial dreams.
• 🏆 Success came to those who were persistent and believed in their vision, even when they were not the most qualified or connected individuals.
• 🚀 Entrepreneurs should focus on creating value and serving customers well, as this will ultimately lead to the happiness of shareholders.
• 🌟 Embracing change and being adaptable are key to maintaining success in a rapidly evolving business environment.
• 📚 The speaker emphasizes the importance of learning from mistakes rather than just studying success stories, as every path to success is unique.
• 💼 Entrepreneurs should have a strong heart towards facing difficulties and a warm heart towards colleagues and customers.
• 🌍 Encouraging a global mindset, entrepreneurs should think beyond their own country and leverage the connectivity of the internet to reach wider markets.
• 📉 The speaker advises against waiting for government opportunities, as entrepreneurs should be proactive and create their own paths.
• 🔑 For entrepreneurs, focusing on long-term goals and strategies, such as a 10-year vision, is crucial for sustainable success.

Q & A

What is the significance of the number 5 billion USD mentioned in the script?

The 5 billion USD refers to the market capitalization of Alibaba, highlighting the company's significant growth and success from its humble beginnings.

Why was it difficult for Alibaba to hire people at the start?

Alibaba struggled to hire people initially because the company had a strange name, operated from an apartment, and the concept of e-commerce and the internet was not widely accepted or trusted at the time.

What was the attitude towards hiring at Alibaba during its early days?

Alibaba was open to hiring anyone who believed in the company's vision, regardless of their educational background, as long as they were willing to join and work towards the shared dream.

How did Alibaba manage its financial constraints during the initial years?

Alibaba was very careful with every cent spent due to the difficulty in finding customers, good engineers, resources, and obtaining loans from banks.

What was the outcome of Alibaba's IPO in 2007?

The 2007 IPO resulted in the creation of many millionaires within the company, which was a testament to the hard work and belief of the employees, despite their backgrounds and the challenges they faced.

Why did the speaker emphasize that the employees who became millionaires were not necessarily the smartest?

The speaker highlighted that success is not solely determined by intelligence but also by hard work, belief in a dream, and the willingness to work together, as many of the smartest people at the time chose to work for established companies like Microsoft and IBM.

What is the speaker's view on the importance of customers and colleagues in a company?

The speaker believes that customers are the most important, followed by colleagues. He argues that if you serve customers well, they pay you, and if colleagues work together to serve customers, then shareholders will also be happy.

What advice does the speaker give to entrepreneurs about embracing change?

The speaker advises entrepreneurs to embrace change and adapt to it, as constant change is a key factor in maintaining success. He also emphasizes the importance of learning from mistakes and being flexible in business strategies.

Why does the speaker encourage entrepreneurs to think beyond their own country?

The speaker encourages a global perspective because the internet connects everywhere, and focusing only on one's own country limits the potential for growth and innovation.

What is the speaker's perspective on the importance of creating jobs in Africa?

The speaker believes that creating jobs is crucial for Africa's development and that the best way to do this is by encouraging small businesses and trusting young people.

What are the two great opportunities the speaker sees for Africa?

The speaker identifies digital transformation and the lack of a complicated IT infrastructure as two great opportunities for Africa, similar to the conditions that allowed e-commerce to grow rapidly in China.

What is the speaker's advice for entrepreneurs regarding their business strategy and vision?

The speaker advises entrepreneurs to have a long-term strategy and vision, focusing on what customers need and how to build up their business over the next five to ten years, and to always stay ahead of government policies.

What are the three questions the speaker suggests entrepreneurs should ask themselves?

The three questions are: What do you have, what do you want, and what are you willing to give up. These questions are meant to help entrepreneurs assess their resources, goals, and commitment to achieving those goals.

Outlines

00:00

🚀 Entrepreneurial Journey and Alibaba's Growth

The speaker reflects on the unlikely journey of Alibaba, starting from a small company with a strange name to becoming one of the top 10 internet companies globally. Despite initial struggles with hiring and skepticism about e-commerce, the company's perseverance and belief in their vision led to its success. The speaker emphasizes the importance of self-belief, hard work, and the power of dreams, highlighting that success is not about being smarter but about persistence and resilience. The narrative also touches on the challenges faced by small businesses in securing loans and the importance of careful financial management.

05:02

📚 Learning from Mistakes and Embracing Change

This paragraph focuses on the importance of learning from failures rather than just studying success stories. The speaker argues that many entrepreneurs make similar mistakes, and understanding these can be more instructive than knowing the reasons behind different successes. Alibaba's approach to business planning is highlighted, with the speaker sharing an anecdote about a one-page business plan that led to significant growth. The speaker also encourages entrepreneurs to embrace change and adapt, rather than sticking to rigid plans, and to think beyond their own country, leveraging the power of the internet to reach a global audience.

10:03

💼 Encouraging Entrepreneurship and Long-Term Vision

The speaker discusses the importance of encouraging entrepreneurship, particularly in Africa, by creating jobs and trusting young people. He advocates for favorable tax conditions for startups and emphasizes the need for a long-term vision in business, suggesting that entrepreneurs should think in terms of five to ten years. The speaker also advises against focusing on immediate success and stresses the importance of self-improvement and adaptability. He shares the strategy of asking three key questions: what do you have, what do you want, and what are you willing to give up, to guide entrepreneurs in their journey.

15:03

🌐 Digital Opportunities in Africa and the Power of Focus

The final paragraph highlights the unique opportunities that Africa has in the digital space, drawing parallels with China's rapid growth in e-commerce due to underdeveloped retail infrastructure. The speaker encourages African governments to establish payment systems that are accessible to everyone and emphasizes the importance of dreaming big and starting to work towards those dreams. He also stresses the importance of focus, using the metaphor of catching rabbits to illustrate the need to concentrate on one goal at a time. The speaker concludes by sharing his personal outlook on entrepreneurship as a rewarding and enriching experience.

Keywords

💡Entrepreneurs

Entrepreneurs are individuals who create and run their own businesses, taking on financial risks in the hope of profit. In the video, the speaker emphasizes the importance of entrepreneurs believing in their dreams and working hard to achieve them, as exemplified by the early days of Alibaba when they hired anyone who believed in their vision.

💡Market Cap

Market Cap, short for market capitalization, is the total value of a company's shares of stock at their current market price. The speaker mentions Alibaba's market cap of 5 billion USD, illustrating the company's growth and success from its humble beginnings.

💡E-commerce

E-commerce refers to the buying and selling of goods or services using the internet, as well as the transfer of money and data to execute these transactions. The speaker reflects on the initial skepticism towards e-commerce and how Alibaba overcame this to become a top internet company.

💡IPO

An IPO, or Initial Public Offering, is the first sale of stock by a company to the public. The speaker recalls Alibaba's IPO in Hong Kong in 2007, which created many millionaires within the company and marked a significant milestone in its journey.

💡Belief

Belief is the state or quality of accepting something as true or valid. The speaker underscores the power of belief in one's dreams and ideas, as it was the shared belief that united the early Alibaba team and drove them to success.

💡Rejection

Rejection is the act of refusing to accept or consider something. The speaker talks about being accustomed to rejection, as Alibaba was initially an unattractive option for potential employees and faced numerous 'no's before achieving success.

💡Mistakes

Mistakes are errors or incorrect actions. The speaker encourages learning from mistakes rather than only from success stories, as mistakes are often universal, whereas reasons for success can vary greatly.

💡Customer-centric

Being customer-centric means focusing on the needs and satisfaction of customers. The speaker mentions that Alibaba prioritizes customers above shareholders, as happy customers lead to satisfied shareholders.

💡Embrace Change

Embracing change means accepting and adapting to new and different conditions. The speaker advises entrepreneurs to be open to change and to continuously evolve, as this is key to maintaining success in a dynamic world.

💡Digital Africa

Digital Africa refers to the advancement and integration of digital technologies across Africa. The speaker sees this as an opportunity for Africa to leapfrog traditional development stages due to the lack of complex IT infrastructures, much like China did with e-commerce.

💡Alipay

Alipay is a third-party mobile and online payment platform. The speaker uses Alipay as an example of a successful digital payment system that has transformed transactions and has the potential to empower small businesses and individuals in Africa.

Highlights

The importance of entrepreneurship and the journey of building a company from the ground up, as illustrated by Alibaba's humble beginnings.

Alibaba's initial struggle with hiring due to its unfamiliar name and the lack of belief in e-commerce during its early days.

The concept that success is not solely about intelligence or education but also about belief and perseverance.

The challenge of securing loans for small businesses and the importance of financial prudence.

The significance of the first IPO in 2007 and the creation of wealth within Alibaba, highlighting the unexpected success of its employees.

The idea that success is not about being smarter but about believing in oneself and working hard.

The encouragement for entrepreneurs to embrace failure as a part of the journey to success.

The emphasis on the importance of having a long-term vision and strategy for entrepreneurship, extending beyond immediate success.

The value system within Alibaba that prioritizes customers and colleagues over shareholders.

The call for entrepreneurs to think globally and not be limited by the confines of their own country.

The unique opportunities presented by the lack of established infrastructure in Africa, which can be leveraged for digital growth.

The necessity of creating jobs through the encouragement and support of small businesses and startups.

The importance of having a strong heart towards difficulties and a soft heart towards colleagues and customers.

The advice for entrepreneurs to focus on creating value for customers and society, rather than just seeking personal success.

The notion that entrepreneurs should learn from mistakes, not just success stories, to understand the path to overcoming challenges.

The emphasis on the need for patience and long-term thinking in entrepreneurship, with a focus on sustainability over quick wins.

The idea that entrepreneurs should not be discouraged by their educational background or lack of prestigious credentials.

The story of Alibaba's growth and the importance of adapting and changing in response to market conditions and opportunities.

The final message on the power of dreams, hard work, and the potential for success available to all who believe and strive for it.

Transcripts

thank you my colleagues I mean

colleagues entrepreneurs we're lucky

that this life we can be together on the

way to do something ourselves to do

something we believe to do something

that we dreamed of

ours our market cap is 5

billion USD

think about it tell me 19 years ago

anybody can see a company in China can

be the top 10 internet companies in the

world

when Alibaba start to hire people

we could not hire people at all because

nobody want to join a company strange

name Alibaba right

and work in an apartment

and nobody believed e-commerce internet

so we hired anybody who can walk

we don't care right whether you are a

vast degree or bachelor degree as long

as you believe us so they join us

we settled from nothing it was true

for the first of 10 years was tough very

difficult days

because we cannot find customers we

cannot find good Engineers we cannot

find any any sort of resources we don't

we cannot get money from the from the

banks right so people say well you know

in Africa we cannot get loans from the

from the banks

everywhere in the world Banks do not

give small business money

right so we start to

be very careful for every every cent

that we spent

and the day the our first IPO years Year

2007 when Alibaba I appealed in Hong

Kong year 2007. we had a lot of

millionaires in the company

and I asked my friend my colleagues

alike we have like a 300 people become

Millionaires and I ask them hey now tell

me you become millionaires because you

are smarter than the others the people

said no no no no no no no we even cannot

find the jobs

right

because you're hard working

than us but they do not succeed one of

why they're not smart

all the smart people at that time they

went to Microsoft and IBN and head

hunting companies came to head hunt all

the best guy from us

and we are the people nobody come to

Heaven us

we have no place to go we believe in

ourselves we believe our dream we work

together

so I say we are the people because

nobody wants us I am the person over 30

companies don't want to make

right

so we are the people get used to be

rejected

we are the people get used to be say no

from the other people why people should

help you

people help you that is unusual people

do not help you that is very common

you should work to earn to be helped

right

so

in order to encourage my eight 17

Founders and all the people who join us

I said our competitors are very strong

at that time our competitor was eBay

a lot of the eBay guys from graduate

from Harvard we are people graduate from

no

I don't want to even measure about the

university names

well nobody but I say if we can win

if we can succeed

80 percent of the young people in China

in the world can be successful

because we believe we work a lot of our

dreams but they don't work hard a lot of

work hard but they don't have dreams

entrepreneurs should work plus dreams in

this way we can win in Africa don't

listen to those experts telling you

don't do this don't do that tell them

Africa needs a future the future has no

experts

right we

entrepreneurs someday we are the experts

right so this is what I think

and when you

when you're an entrepreneur get used to

failure

today is the Alibaba you succeed

well our company won't last 102 years

why 102 years because every Target every

goal we keep to our team should be very

accurate

we were born in 1999 last century we had

a one year we want to spend 100 years

and plus one year one or two across

three centuries

so very accurate we never see we are

successful because we are only 19 years

old there's 83 years to go

so we will never see we're successful we

just survived 19 years we are lucky

but in the past 19 years we have made

thousands of mistakes as an entrepreneur

don't learn from other people how they

succeed learn from how these people feel

because

a lot of MBS schools they teach you

success successful case studies when you

read too many successful you think you

can be successful no

there are a lot of things that you don't

know

because you know some

business school came to Alibaba and

write case studies they say ah no this

is Alibaba and they say no this is not

Alibaba they wanted me to sign after one

week

study they say this is case study

Alibaba he said no this is not me they

say Jack you don't know you

and I said all right I said

and next to five years every year there

is a case study in qinghua University I

was invited to sitting at the back

listening to the MBA schools talk

learning about our case study and they

always put a competitor competitor in

Alibaba who will succeed for five years

all they always agree Alibaba would die

the competitor will win but five years

all the competitors died

so how can you learn from the case study

like that

learn from the mistakes

because the mistake most of the

companies I I talk to entrepreneurs most

of the mistakes they made are the same

most of the success reasons you don't

know they're different reasons

so when you learn from the mistakes not

because you want to avoid mistakes

because when you see the mistakes when

you have these kind of problems you know

how to face it

an entrepreneur have a strong heart

towards the difficulties the mistakes

the troubles the failures but should it

be a warm and soft heart to your

colleagues or to the customers

and I think one of the things I want to

share with the values the the values

among the two values very unique in

Alibaba which I think the whole world

should think about we put custom number

one in probably number two sharehold

number three

most companies

in the Wall Street they put the

shareholder number one I said a customer

is the most important if you serve them

well they pay you the money

and the second important is colleagues

why the colleagues get together because

they want to serve the customers if they

do not cost serve the customers

together

right so if the customer happy in price

happy the shareholders will be happy

and the next Valley I'll share with you

is embrace the change

in this changeable work keep changing is

the best way to keep a step keep you

successful

there's no there's I remember year two

when I tried to raise my money

I went to a lot of uh Venture

capitalists they say Jack give me the

business plan I said I don't have a

business plan

but write something

and look at the others they have such a

thick business plan you I spent a whole

week right on one piece of paper and

this is this is the business plan a book

the book is about a how to be successful

you know doing their business in

e-commerce International I say how can

they write a book China was not even

connected to the internet

we never change our dreams but we change

ourself

we learn from the mistakes from the

others and ourselves and change and

become successful this is how we did so

and also encouraging all the

entrepreneurs in Africa do not think

about your own country

think about a whole Africa think about

the whole world

if you only think about your own country

there's no difference between thinking

your own country and your own village

the Internet connect everywhere

and this continent is very simple people

say very company I think it's a very

simple if you have been to Europe you

know how complicated it is

they worry too much

you know security privacy this and that

before the business is done they start

to put a lot of rules and laws

here

you have nothing to destroy

right

so

this will the most difficult thing is to

convincing a successful people

successful people is telling you I don't

do this don't do that you know we have

experience with this and that

we are the people we want to be

successful we want to create the future

we want to do something that we believed

in so

I think the very important for Africa is

to create jobs

the best way to create jobs is to

encouraging small business

the best way to create jobs is to trust

young people

and I talked to the President yesterday

evening

we should every country in this this

world this Century should encourage give

good conditions tax conditions to the

startups not big companies

right it's and he I'm very happy to hear

that he agreed

because those big companies they don't

need that we start up need that

if you take

tiny texts from those tiny startups it's

just like taking the meat of the

mosquito legs

you're killing the others you did not

survived

so I there are this world there are so

many great conditions for big companies

it is time let's get policies for

startups for young companies

and also I'll encouraging all the

entrepreneurs if you want to start a

business don't think you will be

successful next month or next year think

about at least the five years

because if something can be successful

next month why you

you have a rich father you don't have to

be a startup

right

and by the way don't be discouraged

because you have a poor diploma or

you know graduate from our poor

University or low education don't worry

about that if

if ever you would never be a premiere

right they can only be the white collar

guys

so as an entrepreneur

you should have this what is the

strategy for entrepreneurs

strategy is time 10 years you compete

with the other people the vision

the water will be there will be there

what kind of customers they need how we

can build it up if you prepare for five

years and 10 years if you have a good

team

and always do before the government do

if you're waiting for government you

have no chance

right

When government will say there is an

opportunity there go that direction

because it will be too crowded in there

right this is always so as entrepreneur

always ask yourself three questions

what do you have what do you want and

what will you give up

what do you have we have nothing

right the only things we have dreamed we

believe we have a team

and I believe we have the word time to

work hard

and what do you want

and what do you want you have to ask

what the customer want

what's the problem of the society what's

the problem with your customers

and what their team want

to think about what do you have we want

and what we give up if you don't want to

give up everything

you will get nothing

a lot of business people

they never learn to focus if your

startup learned to be focused on one

thing

because learn to be focused just like

there are nine rabbits on the ground if

you want to catch the rabbit don't

change the rabbit change yourself if you

want to catch this one finally got

nothing

so for nine rabbits

don't change the rabbit change yourself

to catch that rabbit until you've got it

a lot of things we have to learn

it's a great experience to be an

entrepreneur

life is so cool when you become

entrepreneur

in my life

the day

I never write a book for myself I think

those people write books are getting too

old

my life just the beginning the day when

everyone Rabbi I want to write a book

Alibaba 10001 mistakes

and I won't tell my kids how many tough

days I have grown through

silly mistakes I've made

and this is the best experience this is

because it's easy to be good but it's

tough to be bad

so

the other thing is I think Africa has a

two great opportunities lie before us

first is digital Africa

you don't have such a complicated I.T

infrastructure today it is very

difficult to move in Europe and America

because they have such a perfect I.T

infrastructure you know one of the

reasons why e-commerce in China grows so

fast is China infrastructure of of

retail is too bad

suddenly e-commerce come we jump up

Africa I think it's almost same like

China 90 years ago opportunity

and you don't have a payment I

encouraging all the the government in

Africa to launch the payment for

everybody have the chance to reach the

money

it is not that difficult

the technology is there as and don't

worry about you know there's uh there's

a security this I tell you

alipay Alibaba payment in the past of 15

years we've been going such a tremendous

amount every day now we have five more

than 500 million transactions we are

bigger than Visa Global Master global

we have a trillions of trillion more

than 10 trillion dollars transaction

last year we don't have even one cent

mistake

any Bank tell me that you don't have one

cent mistake in one year we don't for 15

years

the technology is there the only things

you want your people to be rich you want

your small business to reach the money

because if you don't dream if you don't

start to work this thing will never

happen but if you start to do it you

have a chance if not 500 billion 50

billion is okay

thank you

[Music]