A common misconception about entrepreneurship is that either you have the skills or you don’t. In reality, entrepreneurial skills are something that can be learned and cultivated just like any other skill.A growth mindset sees intelligence, talents, and abilities as something that can be learned and improved through effort. Someone with a fixed mindset sees the same traits as unchangeable and inherently stable.

Fixed Vs Growth Mindset

A common misconception about entrepreneurship is that either you have the skills or you don’t. In reality, entrepreneurial skills are something that can be learned and cultivated just like any other skill.

People ask me all the time, “Do you need to be creative genius to succeed?” To be an entrepreneur, do you need to be young, technical, a college dropout or risk-seeking? The answer is no. Each person has the ability to find opportunities, recruit necessary resources and build teams to deliver successful products and services.

This mindset, which demonstrates that entrepreneurial skills can be achieved by persistent effort, is called a growth mindset and it is a valuable asset in every industry.

This article will explain the differences between fixed and growth mindsets. It will also discuss why and how to achieve and sustain a growth mindset.

THE DIFFERENCE BETWEEN A FIXED MINDSET & A GROWTH MINDSET

A growth mindset sees intelligence, talents, and abilities as something that can be learned and improved through effort. Someone with a fixed mindset sees the same traits as unchangeable and inherently stable.

As an example, an aspiring entrepreneur will need to  research and survey their markets, prepare financial statements, create a budget and invest in marketing. A person with a fixed mindset  may believe that they are not good at math or financial statements and won’t be able to learn how todo them. They may also think “I don’t have the skills to start my own business”.

Imagine that you approach this situation with a growth mindset. Perhaps you think that although I don’t have any financial background, I can still learn and practice these skills until I feel competent.

Carol Dweck, psychologist and author of Mindset: New Psychology of Success (2006), introduced the concept of growth and fixed mindsets.

Dweck says that difficult situations can prove to be disastrous for people with fixed mindsets. This is because they believe that if someone doesn’t have the intelligence or skills to do a task well, then there is no way to improve.

If you believe that you can learn the skills and knowledge necessary to succeed, then you have a growth mindset. Every challenge is an opportunity for learning. A growth mindset is a powerful tool to help you succeed in your venture, given the many challenges entrepreneurs face.

5 REASONS WHY ENTREPRENEURS NEED A GROWTH MINDSET

A growth mindset is beneficial for anyone, but it’s especially important for entrepreneurs. These are the five (5) benefits of a growth mindset for entrepreneurs as they launch and scale their business.

1. It allows you to define your future

Your past does not define your future if you have a growth mindset. If you are an expert in a particular field and wish to become entrepreneur, this can be a great asset.

2. It builds resilience

Entrepreneurial life requires resilience. This is the ability to bounce back from difficult situations and make it through them. Your business’ survival is dependent on your ability and willingness to learn from failures and face challenges.

Fixed mindsets can prevent you from learning from your mistakes. A growth mindset will empower you to see mistakes as learning opportunities.

3. Attract new opportunities

You will find opportunities in situations where others see obstacles if you have a growth mindset. This does not mean you ignore the challenges, but that you can consider all factors that could make or break the challenge. If you are fixed-minded, you will be more likely to give up than consider other options.

4. An iterative approach

Entrepreneurship in an iterative process. It’s a way that involves continuously searching for a winning combination of opportunity, resources and impact.

A growth mindset is essential for this continual cycle of testing ideas, learning from them, and refining products, services, process and systems.

A fixed mindset can lead to an entrepreneur seeing negative feedback as a sign that they aren’t capable of making a product. Fear of rejection, untested products, and poor product-market fit can lead to a tendency to avoid feedback or even give up on a venture.

A growth-minded entrepreneur, on the contrary, takes constructive criticism and receives negative feedback to help improve their product offerings. A growth mindset doesn’t mean that you can’t find weaknesses in your product. Instead, it allows you to make the best product for your market.

5. It keeps you grounded

A growth mindset reminds you that you have so much to learn. A growth mindset will help you remain humble as you embark on your entrepreneurial journey.

This is especially helpful in combating stagnation. People’s attitudes, needs, and motivations change over the course of time. Therefore, it is important to periodically review your product-market fit. You could be too comfortable with your first knowledge and miss opportunities to connect with your target audience. 

Key Learning Points:

• Believe that you can do it. You can use a daily mantra, or another similar device. Believe in yourself that you can make all the changes you want. Although it may take some effort to instill this belief in yourself, you can achieve it by reminding yourself of the rewards — growth and accomplishment.
• Do not blame others or circumstances for your failures. Recognise that you are responsible for your future and your ability to make the most of your natural talents and abilities. Next time you find yourself blaming someone or something, stop and take a step back. Then, learn from your mistakes and move forward.
• People who seek change must be curious. Be amazed at the amount of information you don’t have. This is a normal feeling. It is okay to not know. This is a sign of excitement, and not fear. Ask questions to get more information.
• Accept failure. It doesn’t matter how uncomfortable it is, you must try again and fail. Every failure can be a step on the way to success. You don’t need me to remind you about the many people who failed first and went on to be leaders, influencers, and role models.
• Get out of your comfort zone and make yourself at home outside it. Many people consider the comfort zone a refuge. It is a place where they can escape from any challenges. But, “free of challenges” does not necessarily mean “free from growth.” So push yourself to grow.
• Do not place too much emphasis on the results. While it is often the results that matter, don’t forget about rewarding yourself for your efforts. Self-praising yourself for your efforts can help you last the long-term. It is important to keep going when things get tough.
• Envy is a green-eyed monster. If you are confronted with someone’s success, you should think “I’ll use their example as a guide for my own success” and not “Boy, am I jealous of what they have achieved.” The former will motivate you, the latter will limit you. Admiration can be a guide to your success.
• Don’t let your ego stop you from making the positive changes that will make you happier and more successful.You will feel more comfortable in areas that you are less accomplished, afraid and less confident if you have a growth mindset. This is what the ego hates, but it will lead to mediocrity. You must be willing to challenge your ego and any limiting beliefs or preconceived limitations if you want to excel.