Don’t Call It a Pivot. These Executives Are ‘Refounding’ Their Start-Ups. – The New York Times

Executives Embrace ‘Refounding’ Rather Than Pivoting Their Start-Ups

In the fast-evolving world of start-ups, some leaders are choosing to “refound” their companies instead of simply pivoting. This approach involves fundamentally rethinking and rebuilding their businesses from the ground up, rather than making incremental changes.

Unlike a traditional pivot, which often implies a shift in strategy or product focus, refounding represents a deeper transformation. Executives undertaking this process are essentially restarting their ventures with a new vision, structure, and sometimes a different market focus.

Key Characteristics of Refounding

• Reevaluating the core mission and values of the company
• Rebuilding the organizational framework and team dynamics
• Reassessing target markets and customer needs
• Implementing new business models or technologies

This trend reflects the challenges and opportunities start-ups face in dynamic industries, where adaptability requires more than surface-level adjustments.

For more insights, see the original report by The New York Times.