Learn how to make a better business decision by understanding the 3 important stages of a marketing decision process. A marketing decision is essentially a business decision. We ,here on this page, believe that marketing is the beginning of a business.
How do you start a small business successfully? How & why do you make the decision? How do you think clearly? In this article, you will learn how you can start a small business by making the right decisions.
There are no easy answers to these questions. There are also no short-cuts to escape from the situation.
The best one can do it is to train the mind, and experience the difficult or uncertain situation. For the purpose, I’m trying to give you a broad framework to help you think the problems through.
I can think of three steps that you can take as a framework to approach the issues in a small business:
- Review the situation
- Review the opportunity
- Train your mind
1: Review the Situation
This includes the business or economic situation at the time of startup and your personal financial situation. Sometimes, you decide to do business because you aspire to have a certain lifestyle.
This might include your hatred for a regular job under a boss or work that has got nothing to do with your interest.
Whatever is your motivation behind the entrepreneurial act, you need to think it through well.
The ideal Situation
Probably, the ideal situation is when you have got some extra cash and you would like to invest it. This is the safest bet to take. Often, a decision in such a situation should be easy, at least, in terms of how much you can afford to burn.
The difficult situation
The real challenge is when you don’t have the money. Or you have got barely a budget for 3 months, and you have to decide on a business idea to execute.
It is indeed a very stressful process to go through because no matter what you do, your neck is going to be on the line.
Although, alternatives might overlap in both cases, the real challenge is how to listen to the idealistic you when the difficulties have got the best of you.
I will explain how one should select or decide on an opportunity in the last section below.
2: Review the Opportunity
A good opportunity is influence by timing and the skills set required to take advantage of it. I don’t reject the idea of just getting lucky sometimes, but often you should actively hunt for opportunities.
That’s how things are in life. You need to work for it.
Only proactive people can find business opportunities and make a good use of them.
In a small business, an opportunity analysis can often be one of the hardest things to do in business. You need to find the right fit between you (the business), the opportunity at hand, and the situation (the market forces).
An opportunity analysis is characterized by a set of alternatives demanding your attention. It is a cognitively intense activity. It is going to keep you on the toes in the planning room of your business.
You know, it can be really hard to manage competing alternatives and settle for one, especially when you can’t delay the decision. However, your values would decide which opportunity to take on. There is no 100% wrong or right decision, it is mostly about what drives you forward.
For example, if you value freedom you might decide to do an online business that can generate a passive income. If not a passive income, at least, it should have a flexible schedule.
Now, the world of internet is huge. What business do you do online? It is going to take some time for you to realize what you can or should do. You will be simply overwhelmed by endless options and free advice.
Again, how do you decide what business to go for?
You see, raising a business from a zero is really hard. You can’t sustain it if you don’t like the work. You need to enjoy it. Your likes and dislikes are significant when carrying an opportunity analysis. The values that are linked to your interests should help you decide on the business opportunity.
You can also make use of this simple framework based on Situation, Mindset, and Opportunity if you are already running a small business. All you can do is to refine the opportunity and your mindset by analyzing the situations.
Hope, this brief article was helpful. Please, do let me know if you have feedback for me. You can also connect with on social media.
3: Train your Mindset
This is about your goals for the future business as well as your personal dreams. In fact, the personal dream is the beginning.
To start a business, you should be ready for both failure & success. In fact, there are more chances of you failing than succeeding. If you have never experienced a failure, it would be quite hard for you to face business problems and rejection.
Once you fail then that means not just a closure of business. It means you are most likely to lose everything i.e. your lifestyle.
It’s better you prepare yourself mentally for the worst.
For more operational issues, you can read these 6 easy steps of marketing planning