Starting one's own business is a dream come true for any individual with an entrepreneurial spirit. However, what new entrepreneurs realise soon after starting a business is that there is no blueprint that guarantees the prosperity of a business. One needs to toil hard and work smart to ensure that they make a name for themselves and their company in the competitive marketplace that exists today. Having the passion, confidence and a great idea is just the start. The next step is to undertake a SWOT analysis to determine potential threats that might bring your new-found business to its knees and come up with a strategy to overcome those obstacles. We've compiled a list of the three golden rules that entrepreneurs need to keep in mind before starting out.
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Figure out your competition
One of the biggest mistakes that new entrepreneurs make is ignoring their biggest competition. Yes, your company needs all your focus to become a success. However, not knowing what your competitors are up to can prove to be your greatest downfall in the long run. Before starting out, narrow down on who your adversaries are and analyse their strengths and weaknesses. Use their strengths as a learning reference and make sure their weaknesses don't turn into your vulnerabilities too. It's a well-known trade secret that going up against tough competition can make you better at what you do.
Understand your target audience
Do your homework before building a product. Be it mobile applications or high-end cars, determine if a target audience exists for your product and whether that audience will be willing to shell out money to buy your product. You might be excited about creating something new, but your potential customers need to share your excitement too otherwise your product is going to fall flat on its face. If a product like yours doesn't exist in the market up until now, it's because people haven't felt the need for it. If you're not skilled enough to create a need in the market for a certain commodity and then build products to meet that need, it's best not to venture in that territory.
Provide excellent service no matter what
Don't create a bad reputation for your budding business by cutting corners on service right from the beginning. Would you visit a store or restaurant where you received poor service? Would you recommend that store or restaurant to your near and dear ones? If you, as a customer wouldn't tolerate poor service, why should you expect your customers to? Put together a great team that will provide excellent service to your customers. Nothing works wonders quite like word of mouth for an entrepreneur who is still finding his footing in the business world.
While the three points mentioned above are the golden rules for entrepreneurs who are starting out, it doesn't hurt to have good investors backing your every move. Enjoy running your own venture and you'll be closer to your dream with each passing day.