Scale
Categories: Marketing
Picture a squid eyeball from space. 50 miles away. Now picture a squid eyeball from our boat, The PescaSqiudaleous. A mile away. Now picture a squid eyeball from the view of our iPhone we juuust dropped in the water when it swam beneath the boat scaring the crap out of us, uh...literally. At one scale, we can barely see the ocean. At another scale, we saw waaaay too much eyeball.
Scale in business has the same kind of dramatic effect as operations come into play. That is…it’s one thing to serve lemonade drinks to 100 people a week. It takes one stand, a permit, and a grocery store’s visit of supplies. It’s completely another thing to serve a million drinks a week. For the latter, you need infrastructure, trucks, storage, and armies of servers to...serve.
So when a company scales, it means that they have gone from a modest few million dollars of sales...to sales of a hundred million...and then a few billion. The skill set for the former is a vastly different set than for the latter. And some people are able to do both. Howard Schultz, founder & CEO of Starbucks, we’re lookin’ at you. Starbucks started off as just one store in Seattle. And like...5 minutes later, there were a gazillion of them all over the world.
So yeah, that’s how a company scales. Incidentally, you may want to stay off the scale if you consume Venti caramel fraps with whip on a daily basis.
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Finance: What does it mean to "scale"?57 Views
Finance allah shmoop What does it mean to scale Well
here's a squid eyeball from space fifty miles away and
here's a squid eyeball from our boat the pesca squid
alia's from a mile away and here's a squid eyeball
from the view of our iphone we just dropped in
the water when the squids when right beneath the boat
scaring the crap out of us literally at one scale
we could barely see the ocean At another scale We
saw way too much eye ball scale and business has
the same kind of dramatic effect as operations come into
play That is it's One thing to serve lemonade drinks
to one hundred people a week It takes one stand
a permit grocery store visits worth of supplies it's completely
Another thing Toe serve a million drinks a week for
the latter You need infrastructure trucks storage and armies of
servers to you know serve Yeah that's what they do
someone's gotta get lemonades to the people So when a
company scales it means that they have gone from a
modest few million dollars of sales to sales of maybe
one hundred million and then a billion Some like that
The skill set for the former is a vastly different
set than for the ladder and some people are able
to do both Howard schultz founder and ceo of starbucks
We're looking at you well starbucks started off is just
one store in seattle in like five minutes later there
were a gazillion of them all over the world thinking
of coffee in any language So yeah that's How a
company scales from you little toe Big big Incidentally you'll
want to stay off the scale if you consume venti
caramel frappe with whip on a daily basis but on 00:01:44.897 --> [endTime] there so good