The 3 Most Powerful Business Questions

And how to use them to transform your business and your life

Have you ever wondered why some businesses or some people are so much more successful than others?  I went to dinner with my daughter the other night and we were walking down the “Restaurant Row” of the town.  There had to be 50 restaurants and bars located on a short stretch of a few blocks.

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Courtesy of freeimages.com

What amazed me was that some restaurants were so packed with people that they were waiting outside for a table to become available.  And right next store the restaurant was virtually empty.  Why is that?

They are both in the same location, have very similar menus, they’re about the same size, and the market conditions are the same for both.  They are presumably the same in all aspects.  Yet one is overflowing with customers and the other is empty.  How frustrating must it be for the owner of the empty store?!

The first thing that came out of my mouth when seeing that was “Wow!  They really figured out the secret formula there didn’t they?”

I’ve become so fascinated with what makes some businesses successful and others not that I started to look into it.   I found that when it comes to communicating what they do, successful businesses and people think differently than most others.

You see there are three questions you must answer when describing your business to others.  They are:

  1. Why?
  2. How?
  3. What?

Let’s define these Questions:

“What” describes what you do.  For example, you are a plumber or you are an insurance representative.

“How” describes how you do what you do.  It’s your processes, your business model, and your operations.  It describes how you accomplish what you do.

“Why” describes why you do what you do.  Why are you in business? What do you value and what are your beliefs?

Most people think like this:  What…How…Why.  Successful people think like this:  Why…How…What.  Successful people start with Why first.  Everyone else starts with What.

Simon Sinek in his book “Start With Why” describes the three questions as The Golden Circle.  He says that the order in which you ask these questions can drive success or hinder it.

The Golden Circle

Sinek uses Apple as an example.  They essentially are a computer company.   So why are they so innovative, so recognized, and one of the most valued companies in the world?  It’s because of the way they communicate.  It’s because they start with Why.

If they communicated just like everyone else they would say,

We make cool computers. 

They are designed beautifully and are user friendly. 

Want to buy one?

This is not very inspiring.  If we were to rewrite the message starting with Why, it would sound like this:

In everything that we do, we believe in challenging the status quo.  We believe in thinking differently.  The way we challenge the status quo is by designing products differently.  They are user friendly and designed beautifully.  We make the best computers.  Want to buy one?

You see, people don’t buy what you do, they buy why you do it.

When you ask someone “tell me about yourself” how does the conversation go?  Generally they will say something like this:

“I am an insurance rep for ABC Insurance Company.  I sell casualty and health insurance.”

They start off with the “What”: I am an insurance Rep.  And then they talk about the “How”: I sell casualty and health insurance”, but they never get to the “Why”.

When starting with Why it would sound like this:

“I help individuals and their families obtain security and protection by advising them on the best insurance products they can buy.  As an insurance rep of ABC Company I provide health and casualty insurance at affordable prices.”

Why is it so important to start with Why?  “It’s Biology”, Sinek says.  It’s in our DNA to be social animals.  Human beings need to feel they belong to a group and belong to a tribe.  When we lived in a tribal world we accomplished this by being part of small social societies.

Today, we satisfy this need by belonging to different groups with similar interests.  To be a successful business you need to create your own tribe.  That is done by telling others of your beliefs and values.  That is, Why you are in business.  When you do this you attract those that believe the same way you do.

People don’t buy what you do, they buy why you do it.  Once they are connected to the why, only then are they interested in how and what you do.

Start with Why and you will reach the success you desire.

Question: What is your ‘Why’? Why are you in business? You can share your answer on Facebook, Twitter, or LinkedIn.