5 Driving Factors for Entrepreneurs to Transform Their Business Idea into a Reality
It is imperative that an entrepreneur continuously monitors their competitors as this helps in not only in planning the strategy and approach but also the benchmark ourselves with the best in the market.
Our learning as an entrepreneur evolves with experience and becomes more practical. Here are some lessons based on my personal experience that I would like to share which will drive an entrepreneur to take the plunge to convert their idea into a reality.
Maintain close proximity to your customers and competitors: It is important that you maintain a close relationship with all your customers as this enables you to understand their requirements better. Only when the customer needs are known accurately, will innovation happen and we can keep pace with changing trends. The first step for any entrepreneur is to listen! Listening to the consumer is the entrepreneur should be responsive to customer demands and be flexible to adapt.
It is imperative that an entrepreneur continuously monitors their competitors as this helps in not only in planning the strategy and approach but also the benchmark ourselves with the best in the market. This ensures that you are one step ahead in the race. The current trends in the market are most crucial as they determine our future performance as well as existence. Every business needs to have a research laboratory and all team members should be encouraged to contribute new and innovative ideas. In short, decode the future trends.
Be Lean: Cash is similar to blood supply in our nervous system and its presence determines our existence. Being lean will prepare the company for the difficult times and it also becomes the culture to spend efficiently. Budgeting is most crucial to ensure that sufficient reserves are maintained by managing cash flows. The financial metrics have to monitored and measured regularly to be within the range ideal for the business.
Hire smart: A lot of what makes a company great are the people who work there. The smart hire brings on board phenomenal energy and creates a conducive environment for the team to work. As they say, the best way to lead is by example. But once you compromise, once you let a B-player onto your team, things typically go down B-players hire C-players; and A-players don’t want to be on teams with B/C/D/E/F-players.
Companies are built by teams; great companies are always built by outstanding teams. The highest performing companies regularly have the best people working for them. As an entrepreneur it is your responsibility to hire only the very best talent you can find.
Passion but with economics – Passionomics
It is a well-known fact that entrepreneurs are passionate about their business idea. The passion and commercials go hand in hand, as otherwise it will not sustain. It is crucial for any business be economically viable to have economics and scalable for it to be able to expand and grow. One of the basic requirements of an investor is to visualize the scalability of the product or service which showcases the future and the direction of the company. This validation needs to be done right the conceptualization stage to ensure that the efforts are channelized accordingly.
Focus on Core Competencies: The best entrepreneurs become laser focused on the things they do best and outsource the rest. Many a times we have noticed that we diversify into domains which are not expertise and dilute the focus business area. An entrepreneur should partner to domain specific partners to meet the various needs of their business be it technology, infrastructure, legal and regulatory compliance. This enables more scale, flexibility and rapid growth.
Disclaimer: The views expressed in the article above are those of the authors' and do not necessarily represent or reflect the views of this publishing house
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