Opinions expressed by Entrepreneur contributors are their own.
Many business leaders still see a pivot as a sign of failure. That mindset is not only outdated — it’s dangerous. In fast-moving markets driven by rapid technological change, staying the course can be riskier than changing direction. Persistence is admirable, but inflexibility is costly.
Think of the industry giants that missed their moment to adapt: Kodak, Blockbuster, Xerox, Tower Records. All were dominant in their time. All ignored shifts in consumer behavior and emerging competition. The result? Obsolescence.
Contrast that with companies like Toyota, which began as a loom manufacturer before becoming a global car brand. Or Nokia, which started as a paper mill. Some of today’s most iconic brands didn’t just survive change— they were born from it.
Related: Navigating Crucial Business Decisions — How to Know When to Pivot and When to Persevere
A pivot isn’t a setback — it’s a strategic move
A well-timed pivot can mean the difference between stagnation and long-term success. It may involve changing your product focus, redefining your mission, or overhauling your operations to meet a new opportunity.
Amazon is a textbook case. It launched as an online bookstore. Today, a significant portion of its profits comes not from retail, but from Amazon Web Services — its cloud computing business. Likewise, Facebook saw the writing on the wall and acquired Instagram, capturing a new generation of users and extending its dominance.
Pivots can be uncomfortable, even scary. But they’re often necessary for survival. The key is knowing when and how to do it right.
Step 1: Let customers tell you what they really need
The clearest signal it’s time to pivot? Customers want something you’re not offering.
My company, FORE Enterprise, started by helping businesses predict employee turnover. But we quickly realized our clients lacked the infrastructure to implement our insights. Over 90% asked for help building the data pipelines required for AI analysis. So, we expanded our mission and team to deliver full-service AI solutions — from infrastructure to insight. That shift opened new revenue streams and made our product significantly more valuable.
Listen to the market. Often, customers will ask for the pivot before you even realize you need one.
Step 2: Define the market — or it will define you
Large companies may have the weight to shape the market. Apple did this masterfully, evolving from the iPod to the iPhone and fundamentally changing how we interact with technology.
Startups don’t have that luxury. They need to discover their product-market fit through rapid iteration and customer feedback. Market research can point you in the right direction — but only real usage will reveal whether you’re truly solving a problem worth paying for.
Case in point: I launched Vella as a dating app based on personality matching. But we quickly saw that the market was saturated. What stood out was our profiling technology. So, we pivoted to focus on wellness and personal development, where the tech had more traction and a less crowded playing field.
The lesson? Pay attention to how your product is actually being used, not just how you imagined it would be.
Related: Knowing When — and How — to Pivot Is Key to Your Business’ Survival. Here’s What You Need to Do.
Step 3: Adapt or die
Entrepreneurship rewards speed, decisiveness and flexibility. The best founders move like sharks — always forward, always adjusting. They don’t fall in love with their first idea. They fall in love with solving real problems.
That doesn’t mean abandoning your core competency. The smartest pivots are evolutionary, not revolutionary. They take what you’re already good at and apply it in a more valuable, scalable, or sustainable direction.
So ask yourself:
- Are we still solving the right problem?
- Is our technology being used in the most valuable way?
- Is the market changing faster than we are?
If the answer to any of those raises a red flag, it might be time to pivot — before your competition forces you to.
Don’t fear the pivot — master it
A pivot isn’t an admission of failure. It’s a mark of strategic maturity. The best businesses aren’t the ones that get it right from day one. They’re the ones that learn, adapt and evolve ahead of the curve.
Don’t wait for declining sales or market irrelevance to force your hand. Listen to your customers. Watch the trends. Build for where the market is going — not where it’s been.
The pivot isn’t a detour. It’s the road to your company’s next stage of growth.
Many business leaders still see a pivot as a sign of failure. That mindset is not only outdated — it’s dangerous. In fast-moving markets driven by rapid technological change, staying the course can be riskier than changing direction. Persistence is admirable, but inflexibility is costly.
Think of the industry giants that missed their moment to adapt: Kodak, Blockbuster, Xerox, Tower Records. All were dominant in their time. All ignored shifts in consumer behavior and emerging competition. The result? Obsolescence.
Contrast that with companies like Toyota, which began as a loom manufacturer before becoming a global car brand. Or Nokia, which started as a paper mill. Some of today’s most iconic brands didn’t just survive change— they were born from it.
The rest of this article is locked.
Join Entrepreneur+ today for access.
This story originally appeared on Entrepreneur
