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If I Started A Business in 2026, I'd Do This

| 8 products mentioned
Ali Abdaal Ali Abdaal host
Watch on YouTube business ideation entrepreneurship niche selection problem-solution fit premium market positioning customer research solopreneur businesses

Ali Abdaal outlines a systematic framework for generating profitable business ideas, emphasizing the "holy trinity" of identifying a specific person, their problem, and a solution product that solves it. Rather than starting with a product idea, Abdaal advocates for beginning with person and problem identification, then using a diverge-converge-emerge process to narrow down possibilities. The episode provides practical tools and journaling prompts to help aspiring entrepreneurs move from brainstorming to actionable niche selection.

Key takeaways
  • All profitable businesses require identifying three core elements: a person with money, a problem they have, and a product/service that solves it—not just one or two of these.
  • Start the ideation process by listing your craft skills (expertise from personal or professional experience), passions, and skills you'd like to learn, rather than beginning with a product idea.
  • Use a divergence-convergence-emergence framework: generate many rough ideas (diverge), rate them on three criteria—do you like the people, can you help them, will they pay (converge)—then narrow to top candidates (emerge).
  • Avoid targeting the mass market (90% of buyers) early on; instead target the premium market where customers willingly pay higher prices for quality and are less price-sensitive.
  • The person you're solving for matters more than the problem itself—wealthy parents in mainland China will pay $5,000-$15,000 for med school tutoring, while UK families won't, even for identical solutions.
  • Generate business ideas by talking to people you know who own businesses or are self-employed, as they're most likely to articulate real, painful problems worth paying to solve.

Recommendations (6)

Zapier
Zapier uses

"They've built like Zapier and Make and recently n8n automations at work or in side projects."

Ali Abdaal · ▶ 6:18

N8N
N8N uses

"I've used Zapier. I've used Make. I've used n8n before. I kind of get the theory around how to automate stuff."

Ali Abdaal · ▶ 18:18

Claude
Claude recommends

"Alternatively, you could do that with like Claude or ChatGPT."

Ali Abdaal · ▶ 24:27

ChatGPT
ChatGPT recommends

"Alternatively, you could do that with like Claude or ChatGPT."

Ali Abdaal · ▶ 24:27

Figma
Figma uses

"If it's on a Zoom call, we get out a Figma board and put Post-it notes on the thing and we just do this as a messy, divergent, creative process."

Ali Abdaal · ▶ 14:39

Make.com
Make.com uses

"I've used Zapier. I've used Make. I've used n8n before. I kind of get the theory around how to automate stuff."

Ali Abdaal · ▶ 18:18

Mentioned (2)

Atomic Habits
Atomic Habits "I was at a writer's retreat where James Clear, the author of Atomic Habits, happened to be there ..." ▶ 9:36
GoDaddy
GoDaddy "Yeah, he's got a website, but it's just like a GoDaddy sort of landing page." ▶ 13:33