Have you ever thought about making your own money, being independent, and becoming a successful entrepreneur like I always do? After all, being your own boss can be a stimulating prospect, and turning passion into money could be an interesting phenomenon, but not everyone can actually own a business.
Oftentimes, we come across/develop a business opportunity or idea with lots of potentials, without considering the determining factors to a successful business opportunity -that could hinder business growth and effective productivity, leading to abandoned business ideas.
Although, according to entrepreneur.com, doing business or investing in a business idea requires adequate capital, passion, time, attitude, and planning. This is true, but without considering other factors and conditions, business ideas could become none profitable (this could be very frustrating).
Therefore, how does one determine the right business opportunity to invest in? Or what parameter should one consider before embarking on any business idea, despite having all the requirement to start? In this regards, the following 9 conditions would be helpful in making the right choices, considering realistic ideas, and getting a satisfactory result. These include:
- The product/service: According to businessdictionary “products/services are methods used to transfer intangible inputs such as ideas, and tangible inputs such as raw materials, into outputs that are suitable for use or has exchange value. Therefore, it is profitable to have an in-depth understanding on the type of product/service, before putting efforts into it.
- Realistic market demand: Demand is one of the determining factors that decide the prospect of any business (the audience determines the demand). So, it is important to strategize for how to capture the right audience that could stimulate a realistic market demand -and enhance effective business outputs.
- Management: Management is a key factor for business operation. According to managementinnovations.com “planning, controlling, organizing, and influencing is the basic strategies that determine effective management”. Which means, to achieve a realistic business opportunity, it is important to determine management strategies in order to achieve the desired goal.
- A realistic ‘Return On Investment’ (ROI): ROI according to investopedia is “a performance measure used to evaluate the efficiency of an investment, to ascertain the amount of return on an investment relative to its cost.” This suggests that to invest in any business, one needs to calculate the investment return, peradventure if the business crumbled.
- Business plans: According to Susan Ward, “business plan is the blueprint of any business operation used to test the feasibility of the business idea, chances of success, enable effective management, and secure funding.” It doesn’t matter whether your business idea is limited to micro business, a business plan would boost it to a successful business enterprise.
- The competition: Competition is a strategy to a realistic business opportunity. If your business opportunity/idea is not competitive, it will never stand the test of time. Except your business idea is entirely new, but according to Marie Antoinette, “there is nothing new except what has been forgotten.”
- Realistic objectives: Objectives are set goals, aims, purpose, and intent based on facts. In considering any business opportunity/idea, it is paramount to set realistic objectives; targets that are easily met aims that are achievable, and not impossible goals… and if your business idea has not objective, don’t invest in it otherwise you will run at lost.
- Competency: Competence is a vital condition that determines the success of any business opportunity. It tests the investor, management team, and other related conditions that determine a realistic business enterprise.
- Awareness strategy: Awareness refers to the way products/services are presented to attract customers among the audience. It is an important strategy that should be considered when planning business, bearing the appropriate types, form, and channel at which it will be carried out.
Thank you for reading/learning… Please, come for more!