As an entrepreneur, or an intending one, there are three questions you must ask yourself if you want to succeed in your business dealings and/or grow your business.
What is your target market?
Since you’re not the consumer of your product and/or services, it important to do a market survey for the product/service you want to roll out. This lets you know the viability of your business or its intended improvement. If your target market is small, you should consider putting out high value products that can yield profit with a minimal amount of sales. You should also target your sales to the intended market. If your target market is huge, you should identify the more important needs of the people within your market. Talk to some of those people; figure their likes and dislikes; know what intrigues them.
Is your business idea validated?
The only metric that matters, for validating a business idea is sales. If all you get are positive vibes from friends and family, it is good but not good enough. While your product or service idea may sound to many as exciting and you hear them tell you how profitable your business idea will be, the way to truly test the waters for your idea is actual sales. Will those friends and families patronize your business because they need what you offer or because they just want to support you? The former is what you need. Money is what determines the success of your business. If your product idea cannot guarantee the worst amount you project from sales, you may have to go back to the drawing table and have a rethink about your business.
How to validate your product without spending much on it, now becomes the question. Crowdfunding services like Kickstarter, is a good way to give a go at your product idea without dedicating much resources to it.
What are your action steps?
After conducting market surveys and validating your business idea with sales to confirm the viability of the business in entirety, the decisions you make is the next important things you need to clearly state out, in order to ensure smooth running of your business and consistent growth in cash flow and revenue generation. What business strategies are in sync with your kind of business and which of those strategies aligns with your big picture.
In the business world, you don’t build castles in the air. You need to have a clear picture of where you see your company in one year, five years, ten years, and so on. With this big picture in mind, develop action steps that gets you closer to the picture each year – effective decision making is what keeps any business alive. These include, but not limited to resources management, finance expertise, choice of network, etc. Your action steps should be built around delivering values to your customer while keeping the day-to-day operations of the business in cruise mode and in sync with the big picture.