7 evergreen strategies all entrepreneurs should implement
Walt Disney once said, “If you can dream it, you can do it.” Walt Disney was spot on. However, there are millions on entrepreneurs who dream big and go out of their comfort zones to live that dream. But the path less traveled is the path ridden with obstacles.
An entrepreneur is not someone who only comes with a set of traits and qualities. An entrepreneur is someone who hones their skills and listens to his intuition at difficult times. Here are some key strategies used by successful entrepreneurs and proven formulae which can be useful in making your venture successful.
7 key strategies all entrepreneurs must follow
Effective Market Research
This may sound like a page out of your marketing text book, but trust me; this step is extremely crucial for setting up a successful venture.
The following points must be given a lot of importance while conducting an effective market research. This step determines the feasibility of the idea, sustainability of the product and the future of your endeavor.
The venture must address the pain point of the people and be a solution to make their living easy. For example, Flipkart and Amazon ensure your products are delivered home and enable convenient shopping. Hotstar allows you to watch your television soaps at a convenient time without long breaks, implying that your convenience is given utmost priority.
10 checklists you must be careful about before you begin your entrepreneurial venture
- Determine the market size – more is not always better
- Thoroughly analyze entry barriers
- Check if there are any government regulations and legal conformities
- Understand market saturation
- Price sensitivity of the market
- Assess if the market is technology savvy
- Opportunity of operating in other markets
- List of competitors or probable list of competitors
- Check if you have the first mover advantage
- Check for compliances if you are in a relevant business (example: food)
It’s all about being in the right place at the right time. Imagine, if PAYTM wanted to make themselves big 10 years ago in India. Do you think it would have been possible?
The answer is a plain and vanilla NO.
Internet was not so easily accessible at that time, and not everybody had a smart phone. However, PAYTM managed to seize the day when the digital payment system stirred the country and the rest as they say, is history.
Just like the kings of yore had a plan A and a plan B in the battlefields and surge of weapons to shield themselves against the soldiers of the opponent kingdom, you need to optimize your resources to defend your company when in turbid waters. You must keep tab of the strengths and weakness of your competitors. If you have the first mover advantage, know what sets you apart from the crowd and how you can combat new kids on the block. You should also create entry barriers to capture the market.
Example: Reliance Jio sim. Most people own this sim card in India to utilize the unlimited free local and STD calls facility in India. It would be difficult for a telecommunication player to build a similar network in a jiffy. Instead and more realistically, they can only come up with inexpensive offers to match the rates of the competitor.
How easy is it to replicate your model? To scale up and make your venture grow, replication is a must. If you were to create a greeting card and sell it, and you get a bulk order of 1000 greeting cards to be sold in a day – will you be able to come up with 1000 replicas of the same card in terms of quality and design? If you were to start the same business in another city or another country – can you do the same without too much of effort? If yes, then you are on the right track. If not, you will meet the same fate as Walmart did in India.
Does your venture stand a chance in volatile markets? Can it sustain the dynamics of the changing market and unpredictable scenarios? If not, then you are in deep trouble. Being an entrepreneur is not easy. You are walking in a tunnel with no source of light and you do not know which is the way out. And yes, you cannot be stuck in the mud either, you have to keep moving. Just like the typewriter gave way to the computer and disappeared into thin air, the telephone booths got converted into a handy mobile phone with the user and bulky desktops got wiped away with sleek laptops – you need to find a sustainable solution for your product and service which can keep up with time.
Well, the heading says it all! If innovation is not continuous, you will be lagging behind. A lot of time and money needs to be invested in innovating new ideas and improving your product. An entrepreneur must have the vision to see and meet the future requirements of the customer.
A leading example is Nokia. A brand leader of yore, this company was not one of the most popular mobile phone brands but rather the only mobile brand which ruled the market. A competitor, Samsung, spent more on innovation and usurped the market in no time with the advent of technology. Thus your product improvement is as crucial as new product development.
You must be wondering why this is my last point in the list of strategies. Well, you are an entrepreneur and the end goal is to make profits. However, running behind money will not fetch you money. You must get a hold of the game you are playing before earning those brownie points.
The aim is to look at long term profitability. The costs incurred must be minimal to ensure high profitability. Automation is an answer to your profitability concerns. A small and effective team would also cut down on additional costs, so never say never to ideas that may appear too simplistic.