elon musk tesi · entrepreneurship is defined as the process of starting and running a business in...
TRANSCRIPT
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Enlightenedentrepreneurship:thesuccessof
ElonMusk
DepartmentofEconomics&Business
ChairofEntrepreneurship,TechnologyandInnovation
Supervisor:ProfessorAndreaPrencipe
Candidate:MathiasMair
ID180631
Academicyear2015/2016
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Tableofcontents:
Introduction
1-Whatisentrepreneurship?
1.1-Historyofentrepreneurship
1.2-Behaviouralpatternsinentrepreneurs
1.3-Communicationfundamentalsinentrepreneurs
1.4-Financing
2-HistoryofMusk’srise,hislifeandcareer
2.1-Earlylife
2.2-Careerbeginnings:Zip2andPayPal
2.3-SpaceX:themultiplanetarydream
2.4-Thetransportationadventure:TeslaMotors
2.5-Thetransportationadventure:Hyperloop
2.6-SolarCityandOpenAI
3-ListofMusk’skeystosuccess
3.1-Mainpointsofhisphilosophy
3.2-Family,philanthropyandawards
4-Conclusion
5-Bibliography
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Introduction
Thepurposeofthisthesisistoanalyseindepththestrategies,methodsandactions
thatallowedElonMusktoplacehimselfasatoptierentrepreneur.Startingfromthe
truemeaningofentrepreneurship,Imovedintotakingtoaccountthepointsin
commonbetweenMuskandwhatanowadaysentrepreneurneedstobecapableof.I
followedbyunderliningthefocalachievementsreachedinhiscareerandwhathe
mighthaveusedtogettoreachhisgoals,mostlyhispersonalitytraits.AtlastI
demonstratedhowheaffectedthecultureofthisdaysandhowherewrotethe
definitionofpathfinderintheentrepreneurialworld.
1Whatisentrepreneurship?
Entrepreneurshipisdefinedastheprocessofstartingandrunningabusinessina
strategicwayinordertomakeaprofitfromaproductorservice.Itrequirestheability
toidentifyopportunitiestoexploitamarket,usuallydonebyateam,sometimesonly
byone,entrepreneur.
Anentrepreneurisapersonthatcreates,managesanddevelopsaneconomicbased
enterprisetakingrisks,usuallyonhimselfwithhisownprivateassets,butalsowiththe
capacityofidentifyingandevaluateopportunities.Commonlyanentrepreneurisseen
asavisionary,aninnovatorandabusinessleaderandtheytypicallyareinchargeofa
commercialundertaking,controllinghuman,financialandmaterialresourcesrequired
toexploitabusinessopportunity.EconomistJosephSchumpeter(1883–1950)stated
thattheroleoftheentrepreneurintheeconomyis"creativedestruction"–launching
innovationsthatsimultaneouslydestroyoldindustrieswhileusheringinnewindustries
andapproaches.ForSchumpeter,thechangesand"dynamicdisequilibriumbrought
onbytheinnovatingentrepreneur...[are]thenormofahealthyeconomy."
Entrepreneursusuallyoperateinasystemwheregovernmentprogramsandservices
thatpromote,supportanmentorstart-upsareincluded.Typicallyagoodenvironment
canprovidefacilitiesandresources,sometimeseventrainingprograms.Thecurrently
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mostimportantclustersofleadingfirms,mostlyhigh-tech,arefoundintheSilicon
Valley,aroundNewYorkandBostonandalsoinSingaporeandHongKong.Sincethey
attractalotofpeopleeachandeveryyear,theyjustgrowexponentially,putting
themselvesatthetopofthechain,alsofuelledbytopresearchuniversities.
1.1Historyofterminologyandmeaning
Thetermentrepreneurwasfirstusedin1723,todaythetermentrepreneurimplies
qualitiesofleadership,initiative,andinnovationinnewventuredesign.
Entrepreneurwasdefinedasanindividualwhoorganizesandoperatesabusinessas
FrencheconomistJeanBaptisteSayspecified.HowevereconomistRichardCantillon
defineditfirstinhisEssaisurlaNatureduCommerceengeneral(1755),abook
consideredbyWilliamStanleyJevonsasthecradleofpoliticaleconomy,butwitha
slightdifferentmeaning.Saythoughtthatthefigureoftheentrepreneurwasmoreas
aplannerwhileCantillonmoreasarisktaker,asdefinedbyhimwiththosewords
“someonemakingdecisionsaboutobtainingandusingtheresourceswhile
consequentlyadmittingtheriskofenterprise”.
EconomistRobertReichhascalledteam-building,leadership,andmanagementability
essentialqualitiesfortheentrepreneur.Historicallythestudyofentrepreneurship
reachesbacktotheworkinthelate17thandearly18thcenturiesofRichard
CantillonandAdamSmith,fundamentaltoclassicaleconomics.
Cantillonwasthefirsttoattemptconsideringentrepreneurshipindepthasaconcept.
Hethoughtthat,evenifthereisacleardistinctionbetweenthefunctionoftheowner
andthefunctionoftheentrepreneur,heconsiderstheentrepreneurasarisktaker
withthefinalobjectiveofmaximizingthefinancialreturnbyallocatingtheresourcesin
suchawaytoexploitopportunities.
AnotherwaytotakeinconsiderationtheentrepreneurwasintroducedbyAlfred
Marshall,thatbelievedinamultitaskingcapitalisticentrepreneur.Heobservedthatin
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theequilibriumofacompletelycompetitivemarket,therewouldnotbeaplacefor
entrepreneursasaeconomicactivitycreators.
Inthe20thcentury,entrepreneurshipwasstudiedbyJosephSchumpeterinthe1930s
andotherAustrianeconomistssuchasCarlMenger,LudwigvonMisesandFriedrich
vonHayek.Theterm"entrepreneurship"wascoinedaroundthe1920s,whiletheloan
fromFrenchofthewordentrepreneurdatestothe1850s.
AccordingtoSchumpeter,anentrepreneuriswillingandabletoconvertanewidea
orinventionintoasuccessfulinnovation. EntrepreneurshipemployswhatSchumpeter
called"thegaleofcreativedestruction"toreplaceinwholeorinpartinferiorofferings
acrossmarketsandindustries,simultaneouslycreatingnewproductsandnewbusiness
models.Thus,creativedestructionislargelyresponsibleforlong-termeconomic
growth;thisideaisusuallyaninterpretationoftheendogenousgrowththeoryandthis
isstillapointdebatedinacademiceconomics.
ForSchumpeter,thenewindustriesandthenewcombinationofinputsexisting(for
examplehetakesinconsiderationtheadventofthe“car”sinceitwasacombination
ofahorselesscarriageandasteamengine)wereallresultsofentrepreneurship.Inthe
“car”example,theinnovationdidnotrequireanynewtechnologydevelopment,
insteaditwasjustasimpleideabehindthesparkthatgavebirthtothemodernauto
industry.Obviouslythisswitchbetweentechswasnotimmediate,butwithslow
improvementsandcostreductionmethods(seeFord'sassemblychainidea)thattook
time.
Inhistheory,Schumpeterconsideredthecapitalisttheonebearingalltherisk,notthe
entrepreneur,buttheywerethepeopleabletoshifttheproductionpossibilitycurve
tohigherlevelsusingtheirskilfulmindsettoseektherightinnovation
EvenifSchumpeterhighlycontributedtoconsidertheentrepreneurinhistheoretical
framework,microeconomicsofthattimethoughtthatresourceswereabletobalance
andfindeachotherwithatraditionalideaofpricesystemandtheentrepreneurwould
justbetreatedasasmallpartinthegreaterschemeofself-balancingresources.In
thisideatheentrepreneurwasjustanagentofXefficiency,thatistheabilityofafirm
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togetmaximumoutputfromtheirinputsanditsimprovementleadstoasourceof
gainfromtrade(Leibenstein1966).
Inthe2000s,thetermentrepreneurshipcollectedamuchbroaderconceptofsocial
attitude,inwhichenvironment,humanitarianandpoliticalgoalsgoalongsidewith
business.Italsohasbeenextendedtospecifyanewkindofmindset,amindableto
lead,plan,organizeandimproveresultinginentrepreneurialinitiatives.
AccordingtothefounderofGlobalEntrepreneurshipMonitor,PaulReynolds,inthe
recentyearsitisbecomingacommonexperiencefordevelopedcountriescitizensto
becomeself-employed,becomingamajordriverofeconomicgrowth.Those
entrepreneurialactivities,thatcandiffersubstantiallydependingonthetypeof
businessinwhichtheyoperate,areallleadingtothesameobjective,growth.
1.2Behaviouralpatternsinentrepreneurs
Thebehaviouralpatternsthatdefineanentrepreneurnowadaysaremanyand
commonformosttheorists’definitions.Inthelastdecademanystudieshavetriedto
assessthepsychologyandtraitsofentrepreneursandsinceentrepreneurshipissucha
wideconcept,ithastobestudiedfromdifferentperspectives.Thefigureofthe
entrepreneuriswidelyobservedasaninnovatorwithstrongleadership,management
abilityandagreatteambuildingcapacity,usuallyenrichedwiththetalentofagood
useofnewtech;butoneaspectistheoneofbeingarisktaker.Anentrepreneur,if
askedtoputhiscareeronthelineforthecauseofanidea,ismostlikelytoaccept
thoseconditionsoffinancialinsecuritybecausehisbeliefsarestrongerthanthat.A
studyof2014heldattheETHZurichshowedthatentrepreneurs,comparedtotypical
managers,haveahigherdecisionmakingefficiencyandtakeusuallymorerisksthan
theircounterpart.Alsoamaintraitofentrepreneursisthattheyareopportunistic,in
thesensethattheycannoticewhatothersoverlookwithoutpayingattentiontosmall
detailsandareabletoprofitfromtheirrecognitioncapacity.
Theentrepreneurasaninnovatorcreatesa“waveofcreativedestruction”(as
Schumpetersaid)responsiblefor“thedoingofnewthingsorthedoingofthingsthat
arealreadybeingdoneinanewway”bystartingacycleofinnovation-hype-imitation-
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stability-innovationthatrepeatsitselfforeachnewproduct/service.Theirabilityto
innovate,introducingnewtech,newproductsorservices,increaseefficiencyin
workersproductivity,havestrongnegotiatingskillsandconsensus-formingabilityare
thecoretraitsforasuccessfulentrepreneur.Incontrasttothesaythateveryonecan
becomeanentrepreneur,manyacademicsthinkthatthepredispositioncouldbe
founddirectlyintheDNA,becomingamatterofgenesandaninnateability.
Ofcourse,alsotheenvironmentandthesocialcompositioninwhichanindividualis
formedinfluencessignificantlyitspersonality,sothatwhenfacedwithagiven
situationitcantriggeritsstrengthsandweaknesses.Personalityisasystemthatis
relatedtotheenvironmentanditseeksexplanationtothecomplextransaction
conductedbyboth,traitsandattitudes,adeeplyinvestigatedsubjectbypsychologists.
AccordingtoJesperSorensen,peersareoneofthegreatestinfluencevariable,they
stimulateentrepreneurialismbyshowingthatsuccessisachievable,inspiringthe
thought“Ifhecandoit,whycan’tI?”.Pastexperiencesdriveanentrepreneurtowhat
hehasbecomenow,sotosayhiseducation,ifhehasbeenunemployed,ifhehas
facedmanyproblemsandhowheovercamethoseproblems.
1.3Communicationfundamentalsinentrepreneurs
Nowadayssuccessfulentrepreneursneedtohaveafluentandeffective
communicationskillsetwithintheirfirmandmostimportantexternally,with
investors,customersandotherfirms.Theyneedtocommunicateavisiontotheir
followersinaproperwayforthemtoreallybelieveinit,tomakethemfeelasthe
projectisjusttherereadytogettaken,makingitachievableandgivingasenseof
purposeandencouragingcommitment.Sincethisiscriticalrequirementfora
favourableoutcomeinthebusinessworld,itisneededacharismaticleaderthatcan
inspirethemasses.JaysonDemers,founderandCEOofAudienceBloomstates“You
canbethebestatwhatyoudo,butifyou’renotcommunicatingeffectivelywith
clients,staffandthemarket,thenyou’remissingopportunities.”
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Andtodaymanyentrepreneurshavetocommunicateface-to-faceandmanyare
concernedfortheupcominggenerationsincemostofthecorrespondenceisdone
throughemailsandtextmessages.RichardBranson,headofVirgin,saysthatwhenit
comestobusiness“theabilitytoconductatelephonicandface-to-faceconversation
intelligentlyandpersonablyremainsanessentialassetandonlycomeswithpractice.
Beingcapableofconfidentlyholdingaconversationisasimportantasmakinga
confident,strongfirstimpressiononsomeoneyouwanttodobusinesswith.”
Nonverbalelementsinspeechsuchasthetoneofvoice,thelookinthesender'seyes,
bodylanguage,handgestures,andstateofemotionsarealsoimportant
communicationtools.FromastudyoftheUCLA,55%ofthemeaninginface-to-face
interactionsareconveyednon-verbally,sobodylanguageingeneralisaccountablefor
morethanhalfofanarticulation.Bodyawarenessisconsideredoneofthekeypoints
inpublicspeakingcourses,takinginconsiderationposture,expressionsandgestures
andit’snotasurprisethatthoselessonsarehavingaboomingincreaseindemand.
Developingthosesoftskillsareaneedforsuccessandforthecareeranentrepreneur
butnecessitatetimetodevelopinaproperway.
Thelastbutnotleastpartofcommunicationislistening.Beingabletounderstandthe
needs,theconcernsandthecritiquesfromthecounterpartcanbeacardinalrequisite
tohaveahighcustomersatisfaction.
1.4Financing
Entrepreneursareabletogatherresourcesnecessaryfortheirprojectsiftheyraise
capitalinaneffectivewayandthisismatterofentrepreneurialfinancing.After
assessinghowmuchisneededfortheirideatobereadytogo,togrowandto
generateapositivecashflow,howtoraisethiscapitalisthefundamentalquestion.
Theriskinessofstartingabusinessisveryhigh,actuallyonlyoneoutofsevenstart-ups
canbeconsideredsuccessful,sohavingasufficientmonetarybaseforeventual
expendituresduetoproblemsalongthepathtothefoundationofthebusinessiskey.
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Therearemanymethodstoraisethiscapital:bootstrapping,friendsandfamily,banks,
businessangels,venturecapitalists,hedgefundsandcrowdfunding.
Bootstrappinghappenswhenentrepreneursdecidetoincurinpersonalcreditdebtso
thattheydon’thavetosharetheirequitywithinvestors.Whilebootstrappinginvolves
increasedriskforentrepreneurs,theabsenceofanyotherstakeholdergivesthe
entrepreneurmorefreedomtodevelopthecompany.Manysuccessfulcompanies,for
exampleDellComputerandFacebook,startedbybootstrapping.
Friendsandfamilyusuallyarethefirsttowhomtheentrepreneurasksforhelp,butit
isjustadequateenoughforasmallbusiness,andalsoitisnotrecommendedbecause
moneyisconsideredthenumberonecauseforrelationshipsbreak-ups.
Banksasabovearenotreallyadequateforbiggerbusinesses,buttheyactuallycanbe
abigpartintheinvestingstrategyevenifusuallyrequireapositioninsidethecompany
forthedecisionmaking.
Businessangelsareaffluentindividualswhoprovidecapitalforabusinessstart-up,
usuallyinexchangeforconvertibledebtorownershipequity.Asmallbutincreasing
numberofangelinvestorsorganizethemselvesintoangelgroupsorangelnetworksto
shareresearchandpooltheirinvestmentcapital,aswellastoprovideadvicetotheir
portfoliocompanies.
Venturecapitalistsmakeaformoffinancingthatisprovidedbyfirmsorfundstosmall,
early-stage,emergingfirmsthataredeemedtohavehighgrowthpotential,orwhich
havedemonstratedhighgrowth.Venturecapitalfirmsorfundsinvestintheseearly-
stagecompaniesinexchangeforequity.
Hedgefundsareinvestmentsfundthatpoolscapitalfromalimitednumberof
accreditedindividualsorinstitutionalinvestorsandinvestsinavarietyofassets,often
withcomplexportfolio-constructionandrisk-managementtechniques.
Crowdfundingisaveryrecentwayofraisingcapitalandisanalternativewayfor
fundingstart-upsbygatheringalargenumberofindividualinvestors.
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2HistoryofMusk’srise,hislifeandcareer
Heisworthover12billiondollars,hascreatedgamechangingbusinesseslikePaypal,
TeslaMotorsandSpaceXandhasbeendefinedasthenowadaysreallifeIronMan,
ElonReeveMusk,theSouthAfricanbusinessmagnate,engineer,inventorand
visionary.
2.1Earlylife
ElonwasborninPretoria(RSA)in1971fromErrolMusk,aSouthAfrican
electromechanicalengineer,andfromMayeHaldeman,aCanadianmodelandnow
dietician.Bothhisparentsarecollegelaureate,ErrolinengineeringandMayein
dietetics,buttheyactuallymetinHighSchool.HispaternalgrandmotherwasBritish,
andhealsohasPennsylvaniaDutchancestry.Hisgrand-parents,JoshuaandWyn
Haldeman,wereadventurousandflewthefamilyaroundtheworldinapropplanein
1952.Afterhisparentsdivorcedin1980,Elonlivedmostlywithhisfatherinlocations
inSouthAfrica.
Olderbrotherofhistwosiblings,Kimbal(1972),andTosca(1974),hebeganattheage
of10tostudyvividlycomputerprogrammingandwhenhewasonly12yearsold,he
wasabletosellavideogamehecreated,Blastar,tothemagazine“PCandOffice
Technology”forabout500$.Alreadywellaheadforhisage,Elonwasoftenbullied
throughouthischildhoodbyhisschoolcompanions,infacthewasoncerecoveredin
thehospitalduetoseverebeatings.Initiallyheattendedprivateschools,butthenhe
graduatedfromthePretoriaBoysHighSchoolandimmediatelymovedtoCanadain
1989afterobtainingcitizenshipduetohismotherMaye,Canadianborn,thatfollowed
himwiththerestofhischildrenanyearlater.ThatyearaloneinCanada,evenif
backed-upbyhiswealthyfamily,gavehimastrongindependency,thatbuilduphis
self-esteem.HewasthenacceptedintoQueen’sUniversityinOntarioforhis
undergraduatestudies,butaftertwoyearshetransferredtotheUniversityof
PennsylvaniaandreceivedaBachelorofSciencedegreeinphysicsandaBachelorof
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Scienceineconomics.Whilethere,afterdecidingtostayonemoreyeartocontinue
studing,ElonandAdeoRessi,afellowstudent,rentedafraternityhouse,usingitasan
unofficialnightclub.Laterin1995,MuskmovedtoCaliforniatostudyatStanford
UniversityforhisPhDinappliedphysicsandmaterialscience,butleftafteronlytwo
daystopursuehisentrepreneurialaspiration.Hewasn’teven25yet.
2.2Careerbeginnings:Zip2andPayPal
ElonandhisbrotherKimbaldecidedtorentanofficewhichtheyusedasbothhouse
andworkingspacetostarttheirownsoftwarecompanyin1995.Zip2,thenameofthe
company,wasfoundedthankstothemoneygivenbytheirfatherErrolandbeganto
developquicklyinthoseyearsofcomputerrise.
Zip2primarilyprovidedandlicensedonlinecityguidesoftwaretonewspaperssuchas
TheNewYorkTimesandTheChicagoTribune.ElonMuskwasappointedtheChief
TechnologyOfficer.Zip2trademarked“WePowerthePress”asitsofficialsloganand
continuedtogrow.By1998,thecompanyhadpartneredwithabout160newspapers
todevelopguidestocities,eitherlocallyoratfullscale.In1999itwasacquiredby
Compaqfor307$million,Muskreceived7%ofthissale,earninghim22$million.
Inthespringof1999,Elondecidedtoreinvest10$millionbyco-fundinganonline
financialservicesandemailpaymentcompanynamedX.com.In2000,theymerged
withConfinity,acompanythatprovidedsimilarservices,anddecidedtochangethe
focusofthecompanytoonlythemoneytransferservice,callingthemselvesPayPal.
Itexpandedrapidlythroughouttheyeardrivenmainlybyviralmarketingcampaigns
untilcompanyexecutivesdecidedtotakePayPalpublicin2002.Paypal'sIPOlisted
underthetickerPYPLat$13pershareandendedupgeneratingover$61million.Later
thatyear,eBayacquireditfor1.5$billionandsinceMuskwasthecompany’sgreatest
shareholder,hereceived165$million.
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2.3SpaceX:themultiplanetarydream
Afterhiscash-outfromPayPal,ElonMuskwasalreadythinkingonwhathewasgoing
todonext.Hehadvariousideasinmind,manyproblemsthathewantedtosolvenot
forhimself,butratherforthewholehumankind.Hewantedtodosomethingdifferent
andnotdirectlyrelatedtotheinternet,hismainfield,anddecidetobegintoexplore
newprojects.AshesaidinarecentinterviewforKhanAcademy,hewasinAmerica,
thelandofexplorersandthisgavehimthesparktoreachoutofhiscomfortzone.
Hehadthreemainideasinmind:firsthewantedtomakepeoplecaremoreforthe
environment,makethemawareandgivethemtheinstrumentstopolluteless;second
pointisrelatedtotheenvironmentbutinadifferentway.Muskwantedtoimprove
thetransportationsystems,makethemmoreefficient,notdependentfromfossilfuel,
andsopointingtoelectricenergy.Thirdpoint,hefirmlybelievedthathumans,
proceedingatthistechimprovementrate,wouldnecessarilyneedtobecomea
multiplanetaryspecies,asanimportantstepinexpanding,ifnotpreserving,the
consciousnessofhumanlifeandtodosohewantedtoreignitespaceexploration.
Soin2001,Muskconceptualized“MarsOasis”,aprojecttolandanexperimental
greenhouseonthesurfaceofMarsinanattempttoregainpublicinterestinspace
explorationandtoincreasethebudgetofNASA.HedecidedthentotraveltoRussia
withAdeoRessi,hiscollegepartner,andanaerospaceexperttobeginaseriesof
meetingstobuyrocketthatwouldbringthepayloadtoMars.Muskwasn’treally
consideredbythecompaniesforhislackofrocketknowledgeandsothefirstmeetingended
withoutanyprogress.Muskfeltthatitwashisrighttobepartofthisidea,sohereadand
studiedvariousbooksonthesubject.
In2002thegroupmetagainwithKosmotras,andwereofferedonerocketfor8$
million,however,thiswasseenbyMuskastooexpensive;Muskconsequentlystormed
outofthemeeting.OntheflightbackfromMoscow,Muskrealizedthathecouldstart
acompanythatcouldbuildtheaffordablerocketsheneeded.
Usingapproximately100$millionfromhisPayPalcash-out,MuskfoundedSpace
ExplorationTechnologiesorsimplySpaceXinJune2002.ThenewlyCEOandCTO
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calculatedthattherawmaterialsforbuildingarocketactuallywereonly3percentof
thesalespriceofarocketatthetime.Byapplyingverticalintegrationandthemodular
approachfromsoftwareengineering,SpaceXcouldcutlaunchpricebyafactoroften
andstillenjoya70-percentgrossmargin,andverticalintegration’sreasonwasMusk's
beliefthatreusablerocketscouldn'tbebuiltwithcomponentsfrompre-existing
aerospacesuppliers.ThefirstlaunchoftheFalcon1,namegiventorememberthe
MillenniumFalconfromStarWars,costedjust6$million,whileusuallytheaverage
costatthattimewasabout25$million.Muskhadbeenabletolowertoaquarterof
itsactualcostthelaunchbybuildingthesmallestusefulorbitalrocketinsteadof
riskingbankruptcyforhiscompanywithamorecomplexrocketthatmighthavefailed.
Evenifthepathwasnoteasyandnearlyledthecompanytofailure,in2006,after
Falcon9,anewlydevelopedrocket,hadasuccessfullaunch,SpaceXwasawardeda
contractfromNASAtocontinuethedevelopmentandtestoftheSpaceXFalcon9
vehicleandDragonspacecraftinordertotransportcargototheInternationalSpace
Station.In2008,1.6$billionswastherewardNASACommercialResupplyServices
programgavetoSpaceXfor12flightsofitsFalcon9rocketandDragonspacecraftto
theSpaceStation.Muskwaslivingingreatdistress,workingdayandnighttosolvehis
company’sproblems,untilwiththefundsofNASAhewasabletofocusagainofhis
longtermscope,thehumancolonizationofMars.
On22December2015,SpaceXsuccessfullylandedthefirststageofitsFalconrocket
backatthelaunchpad.Itwasthefirsttimeinhistorythatsuchafeathadbeen
achievedbyanorbitalrocketanditwasasignificantsteptowardsrocketreusability,
loweringthecostsofaccesstospace.Thisfirststagerecoverywasreplicatedseveral
timesin2016bylandingonanautonomousspaceportdroneship,anoceanbased
recoveryplatform.Inlate2016SpaceXintendstolaunchitsFalconHeavyrocket,
whichwillbethemostpowerfuloperationalrocketintheworld.
In2015,thecompanyaskedpermissiontothefederalgovernmenttobegintestingfor
aprojectthataimstobuildaconstellationof4000satellitescapableofbeamingthe
Internettotheentireglobe,includingremoteregionswhichcurrentlyhavenot
internetaccess.
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MuskstatedinJune2016thatthefirstunmannedflightofthelargerMarsColonial
Transporter(MCT)spacecraftisaimedfordeparturetotheredplanetin2022,tobe
followedbythefirstmannedMCTMarsflightdepartingin2024.Hehasexpressedhis
interestinsomedaytravelingtotheplanet,stating"I'dliketodieonMars,justnoton
impact."Toachieveit,MuskplanstoestablishcargoflightstoMars,gettingthefirst
deliverythereby2018.Arocketeverytwoyearsorsoafterthatcouldprovideabase
forthepeoplearrivingin2025afteralaunchin2024.Muskbelievesthatby2035at
thelatest,therewillbethousandsofrocketsflyingamillionpeopletoMars,inorder
toenableaself-sustaininghumancolony.
Figure1:RocketlaunchesperyearoperatedbySpaceX
Source:WikipediaarticleonSpaceXlaunches
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2.4Thetransportationadventure:TeslaMotors
TeslaMotorswasfoundedin2003byMartinEberhardandMarcTarpenning.The
nameisofcourseinspiredbyNikolaTesla,aSerbianinventorthatwantedtochange
theworldatthebeginningoftheXXcentury.
ElonMuskwasthecontrollinginvestorinthefirstfinancingroundin2004andbecame
achairmanintheboardofdirectorsaswellasanfundamentalactorintheoperations
thankstothe7.5$millionspentintheproject.HetrulybelievedinTeslaandwantedto
changethepublicopinionoverelectriccars.Theprimarygoalwastostartwitha
premium,high-endvehicle,tocatalysetheattentionandattractaffluentinvestors,as
toemulatetypicaltechnological-productlifecyclesandinitiallyentertheautomotive
marketwithanexpensive.Asthecompany,itsproducts,andconsumeracceptance
matured,ithadtomoveintolarger,morecompetitivemarketsatlowerpricepoints.
Afterhavingconsultedonthestrategy,therehadbeenotherroundsofinvestment
wereMuskcontributedsubstantially,alwaysleadinginthecapitalinvestedandableto
attractfriendsinthetechcommunityasSergeyBrinandLarryPage,buttheactualfirst
modelwasn’tyetinproduction.In2008,followingthefinancialcrisis,Muskassumed
leadershipandbecameCEO,avoidingbankruptcybyfiring25%ofTeslaemployees.
TheTeslaRoadstercameoutin2006,butjustasaprototype,andfinallyin2008the
productionbeganandMuskhaddecisionmakingfortheproductdesignatadetailed
level.
TheRoadsterisanall-electricsportscarthatwasabletoraise187$million,butwasn’t
soldasmuchaswanted,just147cars.Theawarenessinthemarketwasspread.Many
peoplewerefinallyunderstandingthatelectriccarswerenotjustslowandboringcars,
butcouldalsoattachtotheirenvironment-friendlyetiquettetheemotionthatcould
givearealsportscar.Lateronin2009,thenextmodelofTeslawasannounced,the
ModelS,bringingahugewaveofhypeforTesla,somuchthatDaimlerAGdecidedto
acquire10%ofTesla,givingthemtheboostneededcontinuedevelopthemodelS.
InJune2009,Teslahadisturnaround.Firstitwasapprovedthereceivingofalow
interestloanof465$millionbytheUnitedStatesgovernmentasanincentiveto
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producenon-pollutingvehiclesandtofurtherdevelopthebatterytechnology.Then,at
theendofthemonth,the29th,TeslaMotorslauncheditsinitialpublicoffering(IPO)
raising226$millionforthecompany.AfterFordMotorCompanyin1956,Teslawas
thefirstAmericancarmakertogopublic.
ItwastimeforthecompanyofPaloAltotoproceedtothenextmodelinitsbusiness
strategy.Afterthelow-volumehigh-priceRoadster,itwastheModelStimewithits
mid-volumemid-price.Finallythedeliveringofcarsbeganin2012.
ModelSwasahugesuccessforTesla,somuchthatcarmarketcompetitorsbeganfeel
thepressureandbegantoenterinthealternative-fuelmarket.Theywereamazedon
howasmallCalifornianstart-up,runbypeoplewhoknewnothingaboutcarbusiness,
hadsuchsuccess.InordertoallowquickchargeforthenewModelS,Teslabeganto
buildanetworkoffastchargingstations,thathadtobespreadallovertoallow
costumersaquickandefficientwaytochargeincaseoflongjourneys.
Thebusinesswasrunninggood,Teslahadmanycollaborationswithothercarmakers
(Mercedes,Smart,Toyota)anddecidedtomakeavailabletoeveryonetheirpatents.
Thereasonsexpressedforthisstanceincludedattractingandmotivatingtalented
employees,aswellastoacceleratethemassmarketadvancementofelectriccarsfor
sustainabletransport.Inthesameyear,Muskreducedhissalarytoonedollar.And,
similartoSteveJobsandothers,theremainderofhiscompensationwasintheformof
stockandperformance-basedbonuses.
In2015itwastheturnoftheModelXtobeputinproduction.Stillbeingamid-volume
mid-pricevehicle,butaimingattheSUVmarket.Wellacceptedafterhisfirstdays,
Teslawantedtobecomeacompanywithalmost100%ofverticalintegration,
controllingallthesuppliesneededfortheircars.That’swhytheydecidedtoestablish
inNevada,theGigaFactory,animmenseindustrialsitecompletelyfocusedinthe
productionofbatteries.Theplant,withthecostofabout5$billion,wouldemploy
6,500peopleandreduceTeslaBatterycostsbyalmost30%.ThestateofNevada
helpedtomakethiscometruethrougha1.3$billiontaxincentive.
17
InMarch2016,Teslarevealedhislatestmodel,Model3,thehigh-volumelow-pricecar
thatMuskwantedtobenamedModelE,butwasnegatedbythefactthatFordalready
ownedthatcopyright.MuskwantedthefirstthreemodelstospellS-E-Xbutsettled
with"S3X”.However,thedigit"3"willbestylizedlikethreehorizontalbars,makingit
indistinguishablefromthe"E"inTesla'slogo.
ApartfromMusk’sstrangenamingcriteria,Model3hasbeenthebiggestoneweek
launchofanyproductever.Tensofthousandsofpeoplewerereportedwaitinginlines
toreservetheirspot.DuringtheModel3unveilingevent,itwasrevealedthatover
115,000peoplehadreservedtheModel3priortotheevent.AsofApril7,2016,one
weekaftertheunveiling,TeslaMotorsreportedover325,000reservations,morethan
triplethe107,000ModelScarssoldbytheendof2015.
Thecashinofthecompanyhasunprecedentedrecords.Muskannouncedplansfor
otherprojects,eveninothervehiclecategories;heiscontinuouslyimprovingthe
autonomousdrivingexperienceandenlarginghispartnershipdealswithother
companies.UptonowMuskowns22%ofTeslaanditistheprojectthatoccupieshim
themost.
2.5Thetransportationadventure:Hyperloop
InAugust2013,ElonMuskrevealedaconcepthehadidealizedforsometime.His
projectwasaboutahighspeedtransportationsystemthatwouldusepressurized
capsulestravellinginsidetubeswithreducedpressurepoweredbyaircompressors,
similartotheoldpostofficesortingsystem.Themechanismforreleasingtheconcept
wasanalpha-designdocumentthat,inadditiontoscopingoutthetechnology,
outlinedanotionalroutewheresuchatransportsystemmightbebuilt:betweenthe
GreaterLosAngelesAreaandtheSanFranciscoBayArea.Muskdecidedtoestablish
thefoundationsofhisconceptandcreatedesigncompetitionsforstudentsandothers
tobuildHyperloop.Thisproposalwouldmaketravelcheaperthananyother
transportationsystemforlongdistances.Thealphadesignwasproposedtousea
partialvacuumtoreduceaerodynamicdrag,whichitistheorizedwouldallowforhigh-
18
speedtravelwithrelativelylowpower,withcertainotherfeatureslikeair-bearingskis
andaninletcompressortoreduceairdrag.Thealphadesigndocumentestimatedthe
totalcostofanLA-to-SFHyperloopsystematabout6$billion.Withthehelpof
engineersofTeslaandSpaceX,thetrackfortestingisunderconstruction.
Developmentsinhigh-speedrailhavehistoricallybeenimpededbythedifficultiesin
managingfrictionandairresistance,bothofwhichbecomesubstantialwhenvehicles
approachhighspeeds.TheHyperloopconceptwouldeliminatetheseobstaclesby
employingmagneticallylevitatingtrainsinevacuatedorpartlyevacuatedtubes,
allowingforspeedsofthousandsofmilesperhour.Nowadaystherearemany
proposedroutesfortheHyperloopsystemandMuskisworkingincollaborationwith
manycountriestoachievethisgoal.Also,asifhedidn’tknewit,ifHyperloopwouldbe
asuccessifwouldalsobetheperfecttransportationsystemforafutureMarscolony.
2.6SolarCityandOpenAI
SolarCitywasfoundedin2006bytwobrothers,PeterandLyndonRive,onthe
suggestionofaconceptbyElonMusk,theircousin,nowchairmanandlargest
shareholder.Theyideawassimple:installingsolarpanelswoulddecreasetheeffects
ofglobalwarming,aconceptstresseddeeplybyMusk.Thecompanygrewenormously
alreadyinthefirstyearthankstoamarketingcampaignwithoutequalandtothe
manyadvantagesofferedtothecostumer.In2007itwasalreadythemarketleaderin
Californiaandin2013thesecondlargestsolarinstallationcompanyintheUnited
States.Sincehisthreecompaniesweredoingsogood,Tesla,SpaceXandSolarCity,
Elonwantedtoputthemunderasaveroofwitheachonecoveringtheshouldersof
theother.Soin2016,SpaceXacquires90$millionofSolarCitystockwhileTesla
formallysubmittedamergingcontractwiththereasonthatintegratingTeslabatteries
andsolarpowerwouldbeaperfectcomposition.AsofnowMuskowns22%ofSolar
City.
OpenAIisaresearchcompanycreatedbyElonMuskin2015specializedinthe
developmentofartificialintelligence.ThereisagreatconcernofMuskaboutAI
19
becausehethinksthatitwouldbecomeaverypowerfultoolthatthehumanswould
probablynotbeabletocounteractunlesswithspecificrulessetintheprogrammingof
thesystem.Hisideaistomakeitavailabletoeveryoneinasafeandbeneficialway,
withoutlettingprivatesorgovernmentsbeabletouseitpowerforillicittasks.Ina
famousinterviewof2015withBillGates,thetwomagnateswereaskedtheiropinion
onAIrisksbyBaiduCEORobinLi.
Li:Recently,you(Musk)havesaidthatartificialintelligence’sadvancesarelike
summoningademon.Thatgeneratedalotofhotdebate.BaiduchiefscientistAndrew
NgrecentlysaidduringaninterviewthatworryingaboutthedarksideofAIislike
worryingaboutoverpopulationonMars.Howwouldyouaddressthat?
Musk:FirstIthinkthatisasortofradicallyinaccurateanalogyandIknowabitabout
Mars.TheriskswithdigitalAI,Iwantyoutounderstandthatitwouldn’tbeathuman
levelbutsuperhumanalmostimmediately,waybeyondanythingwecouldimagine.A
morecorrectanalogywouldbeifyoucompareittonuclearresearchwithitspotential
ofaverydangerousweapon.Yousee,releasingtheenergyiseasy,containingitsafely
isverydifficult.SotherightemphasisshouldbeputonAIsafety.Weshouldputvastly
moreeffortinAIsafetytheninadvancingAIinthefirstplace,becauseitmaybegood
ormaybebad,andifitiscatastrophicallybad,itcouldbetheequivalentofanuclear
meltdown.SoI’mnotagainstadvancementinAI,butIthinkweshouldbeextremely
careful.Ifthatmeanstakingabitlongertodevelopit,thenIthinkitwouldbetheright
trail.Weshouldn’tberushingheadlongintosomethingwedon’tunderstand.
Li:Bill(Gates),IknowyousharesimilarviewswithElon,butistheresomedifference
betweenyouandhim?
Gates:Idon’tthinkso.Imeanheactuallyputsomemoney(referringtoOpenAI)to
getgoingonthis,andIthinksit’sabsolutelyfantastic.ThebasicpointthatElonhas
madeisthatwehaveageneralpurposelearningthealgorithmthatevolutionhas
endoweduswithanditisrunninginanextremelyslowcomputer(referringtoour
brain)withaverysmallmemorysize.Sobelieveme,assoonasthisalgorithm,taking
experienceandturningitintoknowledge,isimplanteditwillnotbeclearwhenitwill
20
beathumanlevel,becauseitwillbeatthesuperhumanlevelalmostimmediately,
becausewiththatlearningalgorithmhejustgoesontheinternetandreadsallthe
magazinesandbookandthingslikethat.Wehaveessentiallybeenbuildingthe
contentbaseforsuperintelligence.Sotryingtosaythatitisnotaproblem,thatreally
makesmedisagree.Howcanpeoplenotseehowhugeofachallengethisis?
InthisinterviewalltheconcernforAIisdepictedinsimplewordswithpowerful
meaning.Somescientists,suchasStephenHawkingandStuartRussell,believethatif
advancedAIsomedaygainstheabilitytore-designitselfatanever-increasingrate,an
unstoppableintelligenceexplosioncouldleadtohumanextinctionandthisisexactly
whatElonMuskisafraidof.
CurrentlyOpenAIisbeingbackedupbyvariousentrepreneursofbigcompaniessuch
asAmazon,LinkedInandPayPalandoperatedbyhighprofilestaffrecruitedbymajor
companiessuchasGoogle,MicrosoftandFacebook.Itaimstocarefullypromoteand
developopen-sourcefriendlyAIinsuchawayastobenefit,ratherthanharm,
humanityasawhole.
21
3ListofMusk’skeystosuccess
Therearemanyindicatorsthatcanhelppredicttherateofsuccessofanentrepreneur
excludinghispersonalitytraitsthatwealreadydiscussed.Manystudieshaveshown
thatapatterninthoseindicatorscanbefound.Ofcourse,thepossessionofthis
characteristicsisnotadeterminanttobeanentrepreneurreadyforsuccess,butwe
knowforsurethattheyhelptoachievesuchscope.
Thewayanentrepreneurapproachestotheexternalandinternalsettingsofhis
companyrevealthemethodsandstrategiesheiscapableofusing.Forexample,the
methodbywhichheaimstoestablishgrowthandsurvivalstrategiescanallowusto
considerhisriskawareness.Ifheinvestsalotinhumanresources,byrecruiting
talentedemployeesandteachingthemtoallaimtothesamerangeofgoalsandnotto
justthinkaboutprofit,hewillhaveamind-setmoreappropriatetoworkinteamand
exercisehisleadership.Alsoheshouldsurroundhimselfofcontradistinctpeople,
differentiatingbygender,race,beliefs,sotodiversifythewayofthinkingofhisteamin
thebroadestwaypossible.
Theentrepreneurisrequiredtorelateinaperfectharmoniouswaywiththemarket,
targetinguntappedmarketswithapossibilityofhighgrowth,tryingtoimpactasmuch
aspossibletheindustrybyusingoneormorecompetitiveadvantagesthatthefirms
has.
Exploitingthemarketisadifficulttask,butwithahighcapitalintensity,asmall
averageincumbentfirmsizeandthecapabilityofensuringtheavailabilityofrequired
materials,thefundamentalindicatorsarethere.
Alsohavingaclearideaofwhattypeofclientsoneisaimingat,ifbusiness-to-business
orbusiness-to-consumer,andseekingacongruencywiththecultureofthesociety,
lookingforthedefectlessdesignorganizationthatthepubliciswillingtoaccept
throughastrongmarketingresearch.
22
3.1Mainpointsofhisphilosophy
Duringhismanyinterviews,ElonMuskhasslowlyshowedhisuniquewayofthinking
andhisapproachtoproblems.
Thefirstofhiskeypointsisthathenevergivesup,andevenifitsoundslikea
commercializedadvertisement,heisnotwillingtoleaveaprojectuntilhehasreached
aprecisegoalthatheself-imposedhimself.Inaninterviewregardinghisfirstthree
consecutiverocketexploding,almostbringingSpaceXtoimmediatefailure,the
journalistaskedifheeverthoughtaboutgivingup.Musksimplyrepliedwithano,he
shouldhavebeendeadorcompletelyincapacitatedtodoso.
ThesimpleyetfundamentaladviceElongavetoanaudienceofgraduatedstudents
wastogetinvolvedinworkwithapositiveattitude,tryingtoreallylikewhatyoudo,
because,evenifyouarethebestofthebest,thereisalwaysachanceoffailure.Itis
importanttobelikingwhatyoudo,becauseifyoudon’t,lifeistooshort.Ifpeopleare
driventothinkabouttheirjobevenwhennotactuallyworking,youknowyoureally
likeit.
ManytimesMuskhasencounteredpeoplethattriedtodiscouragehimfromstarting
hisowncompany.HeoncetoldananecdotewhenhewasstartingSpaceXabouthow
oneofhisgoodfriendscollectedawholeseriesofvideosofrocketsblowingupand
madehimwatchthose,hejustdidn’twantMusktoloseallofhismoney.Peopleare
doingthosethingsthatseemunlikelytosucceed,butifheactuallylistenedto
discouragingcomments,Elonwouldn’thaveachievedanythingafterhisPayPal
adventure.
Inanotherencounterwithahighschooldiplomaaudience,soprevalentlystudents,
Muskmadethisinspiringspeech:“Nowisthetimetotakerisk,youdon’thavekids,as
yougetolderyourobligationsincrease,onceyougetafamily,youaretakingrisknot
onlyforyourself,butalsoforyourfamilyaswell.Itgetsmuchhardertodothingsthat
mightnotworkout,sonowisthetime,beforehavingtodealwiththoseobligations,
soIencourageyoutotakerisksnow,dosomethingbold,youwillnotregretit.”
23
“Dosomethingimportant”thosewordsarethemantraofElonMusk,healwayshadin
mind,sincehewasahighschoolstudentthathewantedtochangetheworld.A
journalistinaninterviewaboutTeslaMotorsasked:“Howdidyouthinkyouwere
goingtostartacarcompanyandbesuccessfulatit?”Muskreply:“WellIdidn’treally
thinkTeslawouldbesuccessful,Ithoughtwewouldmostlikelyfail,butwecould
addressthefalseperceptionofpeoplethatanelectriccarhadtobeuglyandslowand
boringlikeagolfcart”Journalist:“Ifyoudidn’tthinkthecompanywouldbeasuccess,
whydidyoutry?”Musk:“Ifsomethingisimportantenough,youshouldtry,evenifthe
probableoutcomeisfailure.”Thisstatementclarifiesthatpeoplehavetoreallybelieve
inwhattheydotosucceedintheirlife.
Thephrase“Focusonsignalovernoise”hasmanyimplicationinMusk’sworld.Hesays
thattomanycompaniesgetconfused,theyspendmoneyonthingsthatdon’tactually
maketheproductbetter.ForexampleatTesla,Muskhasneverspentanymoneyon
advertising,theyputallthemoneyinR&D,manufacturinganddesignareasgoodas
possible,andElonthinksthat’sthewaytogo.“Foranygivencompany,justkeep
thinking:arethisefforts,thatpeopleareexpecting,makingabetterproductorservice,
andiftheyarenot,stopthoseefforts.”Simplerulesthatnowadaysareappliedbya
smallpercentageoffirmsandafactoroverlookedbythemost.Alsohavingagreat
product/serviceiskey.Musk:“Besurethatwhateveryouaredoingit’sagreatproduct
orservice,ithastobebecauseifyouareanewcompany,unlessyouareinanew
industryoranuntouchedmarket,andenterinanexistingandlargemarketplace
againstbigcompetitors,thenyourproductorserviceneedstobemuchbetterthan
theirs,itcan’tbealittlebitbetter,becausethenifyouputyourselfintheshoesofthe
consumer,youhavetoaskyourself,whywouldIbuythisinsteadofatrustedbrand
unlessitmakesabigdifference.Solotoftimesanentrepreneurwillcomeupwith
somethingthatisjustslightlybetteranditcan’tbelikethat,ithastobealotbetter.”
Thepathhastobefoundandithastobeamuchmoreefficientone,it’stheonlyway
towinoverbigcompetitors.
24
Fortheteammanagement,Muskwantstosurroundhimselfofthemosttalented
people.HisHumanResourcesrecruitmentsystemisverystrict.Heisalwaysonthe
searchforproblemsolvers.Hestated:“Whenweinterviewsomeonetoworkinmy
companies,Iaskhimtellmeaboutproblemsyouhaveworkedonandhowyouhave
solvedthem,andifsomeonewasreallythepersonthatsolvedit,theywillbeableto
answermultiplelevel,theywillbeabletogodowntodetails,iftheyweren’ttheywill
getstuckandyouunderstandthatitisn’treallythepersonwhosolvedit,because
anyonewhohasstruggledhardfortheproblemneverforgetsit.”Thistreatmentof
courseattractsevenmoretalents,becausetheyseeitaschallenge,andattracting
greatpeopleisthemostimportantthingsince,dependingonhowtalentedandhard
workingthegroupofworkersis,howtheyarefocusedcohesivelyinagooddirectionis
thedeterminantofthesuccessofthecompany.Sotobuildagreatteam,
entrepreneurshavetodoeverythingpossibletogetthosepeopleandkeepoutthe
non-productiveones.
ThelastadvicethatcanbeextrapolatedfromElonMusk’sphilosophyisthatpeople
needtoworkhard.Nothingisgivenandatalentwithouthardworkisjustawasted
one.Muskwordsaboutthissubjectare:“Dependingonwhatyouwanttodo,
especiallyifyouarestartingacompanyyouhavetoworksuperhard,sowhatdoes
superhardmean?WhenmybrotherKimbalandIwerestartingourfirstcompany,
insteadofgettinganapartment,wejustrentedasmallofficeandwesleptonthe
couch,weshoweredattheYMCA,andwehadonecomputer,sothewebsitewasup
duringtheday,andIwascodingitatnight,sevendaysaweek,allthetime.Ibriefly
hadagirlfriendthatperiod,andinordertobewithme,shehadtosleepintheoffice.
Soworkhardlikeeverywakinghour,that’sthethingIwouldrecommendifyouare
startingacompany.Soifyoudosimplemath,ifsomeoneelseisworking50hoursand
youareworking100,youwillgettwiceadoneinthecourseofthetimeoftheother
company.”
25
3.2Family,philanthropyandawards
Hetriesasmuchashecantobeapillarforhisfamily.Muskmethisfirstwifeat
Queen’sUniversity,JustineWilson,andhadsixsons(Nevada,Griffin,Xavier,Damian,
SaxonandKai),unfortunatelythefirstborndiedstillababy.Hedivorcedin2008and
in2010remarriedwithTalulahRiley,Englishactress.Aftermanybreakupsand
rejunctions,in2016Muskbecameofficiallydivorced.
ElonMuskhasdemonstratedhimselftobeanamazingentrepreneuraswellasakind
heartedperson.Evenifheisinvolvedinmanyactivitiesandhasacquiredagreat
fortuneovertheyears,placinghiminthe100richestpeopleonEarth,hedeeply
focusesinphilanthropy.
HeischairmanoftheMuskFoundation,whichgoalistoprovidesolarpowerenergy
systemsindisasterareas.HeobviouslyinvolvedSolarCitytodonateenergytoCoden,
Alabama,acitydestructedbyahurricane.In2011,thefoundationwasabletodonate
250.000$towardthecityofSoma,Japan,devastatedbyatsunami.In2014hedonated
1$milliontotheTeslaScienceCenter,amuseumdedicatedtoNikolaTesla,whilein
2015hegave10$milliontotheFutureofLifeInstitutetorunaglobalresearch
programaimedatkeepingartificialintelligencebeneficialtohumanity.
ElonMuskwonnumerousawardsinhiscareerandherearethemostrelevant:
-In2006heservedasamemberoftheUnitedStatesNationalAcademyofSciences
AeronauticsandSpaceEngineeringBoard
-R&DMagazineInnovatoroftheYearfor2007forSpaceX,TeslaandSolarCity
-Inc.MagazineEntrepreneuroftheYearawardfor2007forhisworkonTeslaand
SpaceX
-2007IndexDesignawardforhisdesignoftheTeslaRoadster
26
-AmericanInstituteofAeronauticsandAstronauticsGeorgeLowawardforthemost
outstandingcontributioninthefieldofspacetransportationin2007/2008forhis
designoftheFalcon1,thefirstprivatelydevelopedliquid-fuelrockettoreachorbit
-NationalWildlifeFederation2008NationalConservationAchievementawardfor
TeslaMotorsandSolarCity
-TheAviationWeek2008Laureateforthemostsignificantachievementworldwidein
thespaceindustry
-NationalSpaceSociety'sVonBraunTrophyin2008/2009,givenforleadershipofthe
mostsignificantachievementinspace
-AutomotiveExecutiveoftheYearin2010fordemonstratingtechnologyleadership
andinnovationviaTeslaMotors(youngestever)
-ElectedbyTimeMagazineasoneofthe100peoplewhomostaffectedtheworldin
2010
-Theworldgoverningbodyforaerospacerecords,FédérationAéronautique
Internationale,presentedMuskin2010withthehighestawardinairandspace,the
FAIGoldSpaceMedal,fordesigningthefirstprivatelydevelopedrockettoreachorbit
-Namedasoneofthe75mostinfluentialpeopleofthe21stcenturybyEsquire
magazine
-RecognizedasaLivingLegendofAviationin2010bytheKittyHawkFoundationfor
creatingthesuccessortotheSpaceShuttle
-In2010,electedtotheboardoftrusteesoftheCaliforniaInstituteofTechnology
-Elected10thmostpopularspaceherobytheSpaceFoundation
-Forbesputhiminthe20AmericanmostpowerfulCEOsunder40years
-InJune2011,awardedwiththeHeinleinPrizeforAdvancesinSpace
Commercializationwith250.000$
27
-In2011,honouredasaLegendaryLeaderattheChurchillClubAward
-In2012,awardedwiththeRoyalAeronauticalSociety'shighestaward:aGoldMedal
-2012recipientofSmithsonianmagazine'sAmericanIngenuityAwardinthe
Technologycategory
-2013winnerofFortune’sbusinesspersonoftheyearforSpaceX,SolarCity,andTesla
-In2015hewasawardedIEEEHonoraryMembership
-Asof2015,MuskservesontheboardofadvisorsofSocialConcepts,Inc.
-In2016,TheDrive,adivisionofTime,namedMuskthemostinfluentialpersoninthe
carbusinessandasthesecondmostinfluentialpersonintheautomotivetechsector
ElonMuskwasalsonamedhonorarydoctorinDesignfromtheArtCenterCollegeof
Design,inAerospaceEngineeringfromtheUniversityofSurreyandinEngineeringand
TechnologyfromYaleUniversity.
Apartfromhisseriousside,ElonMuskisalsodeeplyconsideredbythepopularmedia
forhishumourandwillingnesstogetinvolvedeveninseeminglybizarreprojects.
Hemadeseveralcameosinmovies(Thankyouforsmoking,IronMan2),TVseries(The
BigBangtheory,DClegendsoftomorrow)andanimatedseries(TheSimpsons,South
Park)mostlyinterpretinghimself,butthisdemonstratestheloveheisgettingbythe
media,aswellastheidolizationthatheisgettingbyhisfanbase.Muskhasbeen
nowadaysrenamed“ThereallifeIronMan”andheisofcoursenotrejectingthis
denomination.
28
4Conclusion
ElonMuskhasshowntoeveryonehisrealcapacitiesasentrepreneurthroughoutall
hiscareer.Hehasbroughthisprojectstoshineeachandeverytime,butofcoursehe
isnottheonlyonetohavedoneso.Thegroupwereheactuallystartedhasbeen
renownedthePayPalmafia,thatisthegroupoffoundersandformeremployeesofthe
companywhohavesincefoundedanddevelopedadditionaltechnologycompanies
(TeslaMotors,LinkedIn,Matterport,PalantirTechnologies,SpaceX,YouTube,Yelp,and
Yammer)andthatseemsabitstrangetakingalsointoaccountthatthreeofthemare
nowbillionaires(Muskincluded).Sothequestioncanbe:howisitpossiblethatsucha
restrictednumberofpeoplehavebeenabletoobtainfameandfortunestartingall
fromthesamepoint?Aninstantaneousreplycanbethat,afterthesellingofPayPal,
everyonereceivedanenormouscashinflow,perfecttostartanewcompany.Second
pointthatcanbemade,isthetiming.InthatperiodtheInternethadbeguntogrowat
afastandsteadypace.Everyoneinvolvedintotechnologyingeneralreceivedmany
gratifications.Anotherpointincommonisthat,allthisentrepreneurs,beforehaving
workedtogetherandsharedideasandthoughts,havehadaverygoodeducationand
startedwithabasicfundamentalofknowledgeoftheITbusinesses.Thosecouldallbe
validexplanations,butthereissomethingwecan’tevaluate:themind-set.
ThepersonalitytraitsofElonMuskaresomethingthatdistinguisheshimfromthe
massesand,aswealreadydiscusseddeeply,hisstrongwillpushedhimfurtherand
furthersotoriseandbecomewhatheistoday,asuccessful,hardworkingand
enlightenedentrepreneur.
29
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