The Lean Startup is a Methodology for Developing Businesses and Products

The Lean Startup is a methodology for creating and managing startups and for developing new products in a way that is both capital-efficient and effective. It is based on the idea that startups can be managed, and that the process of entrepreneurship can be learned.

The core principles of the Lean Startup are:

• Entrepreneurs are everywhere: The Lean Startup approach can be applied in any organization that is creating a new product or service under conditions of extreme uncertainty. This is the definition of A Startup is a Human Institution Designed to Create New Products and Services Under Conditions of Extreme Uncertainty.
• Entrepreneurship is management: A startup is an institution that needs to be managed, not just a product that needs to be built. This requires a new kind of management that is specifically designed for the context of extreme uncertainty.
• Validated learning: The primary goal of a startup is to learn how to build a sustainable business. This is achieved through a process of continuous experimentation and Validated Learning is the Process of Demonstrating Progress in a Startup.
• Build-Measure-Learn: The fundamental activity of a startup is to turn ideas into products, measure how customers respond, and then learn whether to pivot or persevere. This is the The Build-Measure-Learn Feedback Loop is the Core of the Lean Startup Methodology.
• Innovation accounting: To track progress and hold innovators accountable, startups need a new kind of accounting that is designed for their unique context. This is Innovation Accounting is a System for Tracking Progress in a Startup.

By applying these principles, startups can reduce waste, increase their chances of success, and build products that customers actually want.