Sinek discusses what happens when companies lose sight of their original “why.” Two prominent examples, Volkswagen and Walmart, serve as cautionary tales. Volkswagen, which literally means “car of the people,” built a brand image around reliable, affordable cars for everyone. The iconic VW Beetle represented freedom and a simple, carefree life. However, when Volkswagen introduced the super expensive VW Phaeton, it contradicted its own “why” and failed to resonate with consumers. Similarly, Walmart was founded to help people and communities by offering low-priced products but went through a transformation after its founder passed away. The company became fixated on low prices at the expense of its initial mission, and it began to operate as a cutthroat business, damaging its relationships with suppliers, employees, and the communities it served. Remaining committed to one’s cause or belief proves to be the true test of an organization’s integrity.

Sinek explores the lifecycle of a company, which typically starts with an idea fueled by passion. This passion often drives individuals to take risks and pursue their vision. However, for this passion to endure and succeed, it needs structures to support it. A company’s lasting success therefore relies on both “how” and “why.