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Business and Economy


  • Questions to ask before Starting a Business

    Starting a business involves careful planning and understanding. There are many questions that need to be asked and responded when you start a business. When you provide answers for these questions you will have the confidence. It will show what resources are required to start a business. If you provide answers for the questions you will not be confused once the business is started.

    Following are the questions you need to ask before starting your business.

    Reasons for Starting a Business: What are your reasons to start a business? You need to briefly describe your motives or reasons to start a business. Describe why you want to be an entrepreneur. List your purposes to start a business.

    Business Idea: Do you have a clear business idea? Is there unfulfilled need in the market? Can the business idea be converted in to business plan and action? Which business are you going to start?

    Identify Customers: Who are your customers is one of the questions that you need to ask yourself.  Identify, select and target your customers to be successful.

    Identify products and services: What are your products and services?  Describe your products and services available for the market. 

    Business Plan: Do you have the ability to prepare the business plan? If not can you find someone who can prepare same for you? Does your business plan reflect business idea, products and services?

    Spend Time and Money:  Are you sure to spend time and money to start your business?

    Product /Service Uniqueness: What differentiate your product or service from others?  List down what makes your product or service unique from others. Express the unique features of products and services.

    Business Location: Where is your business location? Identify your business location based on market availability. 

    Employees or Workforce: What type and number of employees do you demand? Determine the number and type of professionals you require.

    Supplies: What types of supplies are you requiring?  Identify the supplies that you need to start your business.

    Raw Materials: Do you have the necessary raw materials? Where are the sources? Do you know the price of the raw materials? 

    Money: How much money do you need? Express the amount of money you need to start your business.

    Loan: Do you need loan and how much?  Describe if you need loan and the amount. Also describe the sources of loan.

    Time: How long will it take to market your products and services? Describe the time it takes to make your products and services available for the market. How long will it take to make profit? Describe the time it takes to generate profit.

    Profit: How much profit are you going to make? Describe the amount of profit you are going to make within a specific period of time.

    Competition: How is the competition in your business surrounding?   Asses your competition and identify your competitors. Offer better products and services than your competitors.

    Price: How do you set your price? Price your product based on the cost, competition,  etc

    Legal Structure: What type of legal structure will your business have? Get advice to determine the legal structure of your business.

    Taxes: What types of taxes do you pay? List the types and the amount of taxes you are going to pay.

    Insurance: What types of insurance do you require? List out your insurance requirements.

    Promotion: What types of promotional methods do you use? Describe the proper types of promotional methods for you business.

    Ability: Do you have the ability to accomplish your goal? Express capacities, talents, and gifts you have that assist to run the business.

    Interest: What are your interests with respect to the new business? Describe your desires explicitly. Describe your hope, expectation and what you want to attain.

    Vision: Do you have vision? State your vision. Describe where the business should be in the next one, three, five, ten years time. Also express the courses of actions to get there.

    Financial Goal: What is your financial goal?  State whether it is self employment, employment opportunity for others or to have financial freedom.

    Characteristics of Entrepreneurs: Do you have the basic qualities of entrepreneurs? You need to have the determination to take your dream to completion. Be ready to take calculated risk.

    Various Skills: Do you have the courage to have many skills at the start up of the business? When you start your business you may not have the required resource to employ skilled man power. Therefore you are forced to carryout various activities by yourself. You are supposed to be a Manager, Book Keeper, Sales Person, Secretary, Purchaser, Marketing Person, Cleaner etc.

    Working Alone and Long Hours: Are you ready to work alone and for long hours? At the start of your business you may not have the required assistance. You may not have people around to support you. So you need to prepare yourself to work without any help. You also need to prepare yourself to work for long hours and long days without rest.

    Flexibility: Are you flexible enough to adapt to the changing situations? You need to be flexible and ready to capture changes. Train yourself to respond to the changing situations of the market. Observe opportunities when others do not and snatch and apply it.

    Risk: Have you considered the risks associated with your business? Do you have escaping plan if the worst happen?                  

     

     

     

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  • Roles of Entrepreneurs as Employer

    Annually there are great numbers of tasks disappearing due to anticipated or unanticipated life of businesses. Generally business life consists of birth, growth, maturity and death at the end. The brand-new tasks that switch out the vanished ones are coming from:

    • Growth of existing small business

    • New business start-ups

    • And company move.

    Entrepreneurs play vital roles in small business in generating job opportunities. Let us look at some of the roles played by entrepreneurs as employer:

    • Represent major part of all employer businesses

    • Employ almost half of all private-sector employees

    • Generate new jobs annually in various fields

    • Employees from daily laborer to professional one

    • Could be done as home-based business

    The above roles are carried out by entrepreneurs. Entrepreneurs play vital roles in overall job creation and economic development. Entrepreneurs are business leader that promote financial growth and advancement of businesses via looking ideas and placing them in to action. Entrepreneurship is one of the most vital devices in the progress of a person or a nation. Entrepreneurial capacity of entrepreneurs performs an impressive means to ignite the overall business missions.

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  • Communication Skills of Entrepreneurs

    All human being interactions are a form of communication. Business is all about dealing with people about products, services, and so on.  Communication or interpersonal skill is vital to sell your business successfully. Whether you are dealing with your customers, suppliers or employees strong communication skills are essential. Communication skills are the keys to make relationship successful and in turn leads business to success. Successful entrepreneurs have strong communication skills.

    Understanding Communication Skills

    You have to note the following points about entrepreneurs communication skills.

    Communication skills are:

    • Influencing  people through discussion
    • Making persons to think  and act your way
    • The ability to convince people
    • The ability to understand and express ideas
    • The art of well-versed  speaking
    • The capability of careful listening
    • Using  full communication potential
    • Using proper channel of communication
    • Making  convincing arguments
    • Offering clear explanations of difficult issues
    • Presenting ideas in a rational and integrated way
    • To have strong and pleasing voice
    • The ability to manage questions well
    • To read and hold attention of others
    • The ability to show  honesty characters

    By understanding the above entrepreneurs communication skills you can develop the ability to express yourself and your business. It assists you to understand others so that ideas can be shared among your business partners. As an entrepreneur you are expected to develop your overall communication skills.

    Developing  Communication Skills

    As an entrepreneur you can develop communication skills like successful entrepreneurs . You can develop communication skills if you:

    • Are able to have convincing ability
    • Carefully listen to what others say
    • Clearly explain difficult subject
    • Develop ability to listen and hear
    • Develop pleasing and strong voice
    • Develop the ability to read others
    • Handle questions carefully
    • Hold the  attention of others
    • Influence others while you are talking
    • Speak  with clear accent
    • Take advantage of all available tools
    • Understand and express your ideas clearly

    Therefore, using the above key points  you can develop  communication skills.

    Tips on Communication skills:

    • Communication is the art and process of making and sharing ideas. Effective communication depends on the richness of those ideas.
    • Communication skills are the devices that we use to eliminate blockages to effective communication.
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  • Creativity Skills of Entrepreneurs

    Creativity is the capacity to utilize your ability and come up with new solutions to problems. If you believe it can be done then you will find a means to find solution to problems. Creativity also enables to create new things. Creativity skill is very essential to be successful in any task. Creative ideas are useful to produce new products, new marketing methods, and new business decisions.

    Successful entrepreneurs have creativity skill which is the ability to use their insights and come up with latest solutions to their problems. They also get things done in a special way or discover an entirely exceptional approach for common things. They also develop new methods, procedures and rules rather than using the existing standards.

    Creativity

    The ability to use imagination to generate new ideas or produce new things or to come up with better solutions to existing problems.

    Understanding Entrepreneurs Creativity

    As an entrepreneur you can take the following key points concerning creativity.
    Creativity is concerned with:

    • Coming up with new product development

    • Discovering new ways of doing things

    • Exposing yourself with intelligent ideas

    • Finding varied approaches for usual things

    • Generating new and original ideas

    • Getting things done in a different way

    • Listening and concentrating while discussing

    • Marketing new products to new areas

    • Receiving new and good ideas

    • Talking to others to get new ideas

    • The ability to be full of inventiveness

    • The ability to be clever enough

    • The ability to do your tasks better

    Therefore, by realizing the above creativity points you can better understand creativity and then increase your entrepreneurial skill.

    Developing Entrepreneurs Creativity

    As an entrepreneur you can develop creativity skill by:

    • Coming up with solutions to problems

    • Connecting related and unrelated ideas

    • Developing clear mental pictures

    • Developing new methods

    • Having great visualization skill

    • Improving what you do every time

    • Inventing and searching original resources

    • Performing more of what you do

    • Widening your imaginative ability

    • Writing your ideas before it disappear

    Therefore, by using the above and other related methods you can develop creativity skill and then increase your entrepreneurial skill.

    Quote on Creativity

    As competition intensifies the need for creative thinking increases. It is no longer enough to do the same thing better... no longer enough to be efficient and solve problems. Far more is needed. Now business has to keep up with changes... And that requires creativity. That means creativity both at a strategic level and also on the front line, to accompany the shift that competitive business demands... from administration to true entrepreneurship. Edward de Bono

     

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