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Golden Circle

Strategy

A framework by Simon Sinek that explains why some organizations inspire action by starting with "why" instead of "what".

What is the Golden Circle?

The Golden Circle is a framework developed by Simon Sinek that explains how great leaders and organizations inspire action. It consists of three concentric circles:

  1. Why: Your purpose, cause, or belief—why your organization exists
  2. How: Your unique value proposition or process—how you do what you do
  3. What: Your products or services—what you actually sell

The Golden Circle Principle

Most organizations communicate from the outside in (What → How → Why), but inspiring leaders and brands communicate from the inside out (Why → How → What).

Traditional Approach (Outside-In)

  • What: We make computers
  • How: They're beautifully designed and user-friendly
  • Why: (Often unclear or generic)

Inspiring Approach (Inside-Out)

  • Why: We believe in challenging the status quo
  • How: By making beautifully designed, user-friendly products
  • What: We make computers

Why the Golden Circle Works

  • Appeals to emotion: People don't buy what you do, they buy why you do it
  • Differentiates: Your "why" is unique and harder to copy than your "what"
  • Builds loyalty: Customers who share your "why" become advocates
  • Guides decisions: Your "why" helps make consistent choices
  • Attracts talent: Employees want to work for organizations with purpose

How to Apply the Golden Circle

1. Define Your Why

  • What is your purpose beyond making money?
  • What cause or belief drives your organization?
  • Why does your company exist?

2. Clarify Your How

  • What makes your approach unique?
  • What are your guiding principles?
  • How do you deliver value differently?

3. Communicate Your What

  • What products or services do you offer?
  • How do they support your why and how?

Examples of Golden Circle in Action

Apple:

  • Why: Challenge the status quo, think differently
  • How: Beautiful design, simplicity, user experience
  • What: Computers, phones, tablets

Tesla:

  • Why: Accelerate the world's transition to sustainable energy
  • How: Innovative technology, superior performance
  • What: Electric vehicles, solar panels, energy storage

Using the Golden Circle in Marketing

  • Website copy: Lead with your why on your homepage
  • About page: Tell your story starting with purpose
  • Marketing campaigns: Connect products to your mission
  • Sales presentations: Start with why customers should care
  • Content marketing: Create content that reflects your values

  • Brand Voice

    The distinct personality and tone your brand uses in all communications, ensuring consistent messaging across all touchpoints.

  • Positioning Statement

    An internal statement that defines how you want your brand to be perceived in the market relative to competitors.

  • Value Proposition

    A clear statement that explains the unique value your product or service provides to customers and why they should choose you over competitors.