Tidbits to first time Entrepreneurs from a first time Entrepreneuer.
My observations and realisations about starting and staying the business. Not in cronological order.- First published on
- The idea may not generate money.
- People does not straight away pay for the product. It takes a lot of mental struggle for them to pay for something. It is our job to convince them to buy through our marketing.
- For higher margins, we need to build for rich people and make it a luxury.
- Luxury creates a benchmark for people to achieve.
- People likes to show off no matter what they say. Not many like to keep a low profile.
- Great product with a great community will keep the business sustainable and profitable.
- It is all about people.
- Build for people. Not all people are same. We should know whom we are building for.
- The market size determines the upper limit a business can cater.
- The core business should be lean and agile.
- We should not add items to substitute the core business. It should be an another business.
- One business, one work.
- Multiple verticals at the start will not work.
- Every business is dependent on something, starting with Nature.
- The more dependencies a business has, it becomes more sensitive to changes.
- There are only two ways to become profitable.
- High volume, lower margins.
- Low volume, higher margins.
- Every business has its own dynamics. We should understand the dynamics sooner.
- The dependency list is the first dynamic to figure out.
- People we are dealing with does effect our business.
- Based on the people’s education background, we need to take care of marketing message.
- Sometimes it becomes too late to fix a business.
- Sometimes it is good to terminate the business and restart something.
- Without a community, it is hard to build a business.
- Community is people.
- Business is for the people.
- High margins should be added from the beginning. When there is a competition, we can add more add-ons instead of cutting down the margin and become more appealing.
- Services does not make us rich.
- Every hour we spend is costly. Spend wisely.