Starting A Business: 2 Ingredients for Success
Before you start your own business, you have to consider first the two important factors-the two basic ingredients, which can make or unmake your business.
1. Internal Factors, the most important of which is your ability, experience, hobby, passion, interest. Ask yourself this question: What is it that I like and enjoy doing and of which I am capable of? The answer to this question will provide you with business ideas to anchor the type and nature of your business, and the products or services that you will provide to make money and generate a profit.
2. External Factors, the most important of which is the market. Ask yourself this question: Who will be my market niche, my customers, clientele, or buyers? The answer to this question will provide you with the data on the needs and wants of your target market, so that you can meet their needs and wants by providing them with products or services that they will buy. This is the only way to make your business grow, expand and becomes profitable. It is basic that without a market, there is no business. As the saying goes: Find a need and fill it.
Once you know the two important factors, the rest of the requirements for starting a business will be added to you. These include the size of your business, location, capitalization, promotion, advertising, and pricing. Your business plan must follow the two basic ingredients and implement it. In addition, once you know the two basic ingredients, choosing the kind of business organization that you will implement, whether single proprietorship, partnership or corporation, and its nature, whether it be marketing, production, manufacturing or services, will become easy. And management will just follow as a matter of course.
In a capsule, in starting a business, it is important first to know the basics, the foundation, the base, without which the venture will just collapse, just like the other 80% of the new businesses implemented every year which meet untimely demise as soon as they are started.
For a business, just like any other human activity and endeavor, must be started on a solid foundation. Without knowing the two basic ingredients as discussed above, it is hard for the owner or entrepreneur to make his business a success. Business growth, expansion, diversification, money and profit are just the end-results, the rewards of starting a business with the two basis ingredients, without which no business will succeed.