In New Zealand the chances of succeeding in business are less than 20 percent five years after starting.
Of that 20 percent, more than 80 percent will disappear over the next five years.
There are many reasons some succeed and others don't. The way business owners think plays a big part. An open-minded business owner will seek help and the ability take advice is vital for success.
Too often people do what everyone else is doing. They advertise where others advertise and their ads just say, “this is what we do” and list the facts. Then they compete on price because that’s the only thing they know how to do.
Never compete on price! Good marketing is an investment and allows you to distinguish yourself from competition. If you value yourself, others will value you to and you’ll start to make more profit, employ more people and grow the business.
Of course, business is about way more than price. More than anything, it is about people – customers, staff, family, stakeholders in the community…Developing excellent communication skills is crucial if you want to grow and develop. The more you know about people – what motivates them, how they preferred to be led, their ‘bug bears’ - the better you will be at serving them. So, invest time and effort in getting to know who your market.
Businesses with structured, well-designed systems are 3-5 times more valuable than unstructured businesses without proper systems. So, to gain clarity and certainty and massively increase the value of your business, make sure your systems and process are accurate, of high quality and usable. Too many people try for perfection, rather than progress. Never sacrifice excellence on the sword of perfection! If you want to know more, have a look at this short video.
Many business owners work on the principle that it’s more important to get the perfect products or the best shop or the best equipment or to have the most technical knowledge about their business, when what’s really important is developing systems. Consider McDonald’s - Do you think you can make a better hamburger than the leading companies out there? Maybe. Can build a better business system than them? Highly unlikely. McDonald’s are so successful not because they are continually trying to improve their product, but because they have implemented many different systems that run the business, ensuring consistency in quality and delivery.
If you’d like to understand more and want access to the latest tools, tips and insights, head over to my Facebook business page (Centre of Business Excellence). Like and follow, comment and share!