Tuesday, December 1st, 2009 11:09 am | by admin
Step 2. Become an Expert
Before beginning a new business, there is no substitute for research. Your goal should be to fully understand the business space you are thinking of entering. To do this, you have to become an expert so that you can assess the positive and negatives aspect of your idea. As you move forward on your research, you want to examine both qualitative and quantitative aspects. There is no such thing as doing too much research. If you imagine that you are on a discovery mission and that your role is to uncover both obvious and hidden information, you will explore all avenues related to your business idea—and, hopefully, carefully document the information and where you found it.
To begin, you should identify all of the competition you will face in your new business. For each competitor, you want to identify relative market share, production cost(s), distribution, consumer price(s), product reviews and consumer feedback, search rankings, and possible vulnerabilities. You want to think deeply about the competition and if and how your business can successfully vie for market share.
Research can also assist you in identifying what your business will require in terms of resources and material sources. You can develop a flowchart for creating a new product or service and insert real costs based on real sources. Research may lead you to manufacturers of components or similar products or suggest alternative ways to create a product. As you carry out your research, you will have the opportunity to talk with other business owners or vendors—this can be invaluable as you develop an understanding of your prospective business.
At the end of your research, you should have developed a robust understanding of the nitty, gritty details of your new business. You should be able to confidently estimate the costs associated with your business as well as the potential income. As an expert on your idea, you will know the potential benefits and liabilities of launching your new business.
[...] Please come back tomorrow to read Step 2. Category: Small Business Strategies Tags:Business, cash flows, expectations, goals, san diego business consulting, san diego consulting, small business, small business consulting, starting a new business, startup capital Comments: 3 Comments » Rss: RSS 2.0 [...]
[...] Part 2 of To Launch or Not to Launch Category: Small Business Strategies Tags:Business, Competition, Consulting, Consumer, Information, Market Research, Market share, Marketing and Advertising, new businesses, product launch, Research, san diego, san diego consulting, small business, startup guides Comments: No Comments » Rss: RSS 2.0 [...]