If your business is having a tough time and you feel like it is your fault, this might make you feel better. Some bad decisions can cost a small business a few thousand dollars. Imagine how you would feel if your decision-making cost your business millions?
1 – The Record Company That Declined to Sign the Beetles
In 1962, Decca Records said to then Beetles manager, “Not to mince words, Mr. Epstein, but we don’t like your boys’ sound. Groups are out; four-piece groups with guitars particularly are finished…The Beatles have no future in show business.” This was after a 15-song recorded audition. The producers at Decca went on to sign Brian Poole and the Tremeloes. Needless to say, that was a swing and a miss. In 2012, the tape from the Beetles audition was sold for 35,000 Euros and is now believed to be owned by Apple. By 1964, the Beetles sold over $50 million in records in the United States alone.
2 – The Company That Passed on Google
It is estimated that Google is worth $132 billion. How would you like to be the guy who was too cheap to buy the company for $1million? Well, that guy is George Bell. He was the CEO of Excite when the founders of Google approached him with the offer. This may be the biggest missed opportunity in business history although we do not know if George Bell would have grown Google into the monster it is today.
3 – Blockbuster Thought Netflix Was a Fad
In the early 2000’s, the CEO of Netflix approached executives at Blockbuster to try to develop a mutually beneficial arrangement. Blockbuster would advertise Netflix in their brick and mortar stores and Netflix would advertise Blockbuster online. Executives at Blockbuster were not having it. It is estimated that Blockbuster would have gained $50 million in market share. 10 years later, Blockbuster filed for bankruptcy. Netflix is worth $13.5 billion.
4 – Ross Perot Says “No” to Buying Microsoft
When Bill Gates approached Perot to sell Microsoft, Perot was interested. Gates wanted around $60 million. This was in 1979 so that was no small chunk of change. Perot felt that the price was too high because Microsoft hadn’t reached its peak. Perot later admitted that was the worst business decision he ever made. Microsoft may be the next member of the $1 trillion club (market value).
5 – Western Union Passes on the Telephone
In 1876, Alexander Graham Bell tried to sell his invention to Western Union for $100,000. Western Union felt that the telephone would not take off and would fade. Western Union then hired Thomas Edison to devise a similar invention. Bell later sued Western Union and won. Bell communications was born and would remain the largest telecommunications company in the United states for the next century.
If you made a mistake and your business is paying for it, you may be facing bankruptcy, foreclosure, or even abusive creditors. If this is the case, take control of the situation. Elias Dsouza has been helping business owners stop the harassing phone calls from creditors and climb out of debt for over 15 years. Contact Elias for a free consultation.