According to research there are 10 common mistakes business owners make. How many of them are you making?
1. No Clear Marketing Strategy
You never know where, when, or how a new prospect is going to hear of your business. If there’s a mix of messages there’ll be unclear expectations of what your business can offer. Your company should present a consistent, clear message on all fronts. Every new prospect who sees your business should receive the same, consistent message. You will never get a second chance to make a first impression.
2. Not Being Up-Front
The days of cover-ups are gone. We’ve got the internet. People share anything with anyone at anytime. If your business tries to cover up a mistake, it is only a matter of time before word leaks out. They’ll label you a liar. That’s not good for business. If you’re the one to break your own bad news, people will perceive you as honest and trustworthy.
3. Assuming You Have No Competition
Don’t assume you have no competition. Even if you have the latest, greatest, never-been-done-before approach to something. Competition is more than the direct, obvious competitors. Competition is also all the available alternatives. What else could the consumer do instead of using your product or service? Could they do nothing? Sure they could – the customer almost always has the option of walking away. That alone is a serious competitive threat.
4. Being A Weak Leader
The success of your company is dependent on you being a strong, effective leader. This does not mean you need to be dictatorial, but you also shouldn’t be everyone’s buddy. A great leader sets the course for the company, communicates it, and inspires the team to get to the next level.
5. Being All Business (All The Time)
Many business owners put their personal lives on hold to focus only on their businesses. In the end, both suffer. There is no question your business needs your full attention and effort, but only in short spurts. Much like a top athlete in training, you need to have a proper, healthy diet, get enough rest, and take breaks. Balance your personal and business life, and you will do better in both
6. Trying To Get Rich Quick
Overnight success usually takes 15 to 20 years to achieve. If you’re expecting to get rich overnight, you may become discouraged early on and give up your dream. Success takes time, perseverance, and a little bit of luck. Give your business the time to grow. But if your company has been stagnant for a long time it could be a sign that you need to try something new.
7. Setting Unrealistic Financial Goals
If all business plans came true, being a billionaire would be nothing extraordinary. Many entrepreneurs go into new ventures planning enormous returns. Yet most never even get the business off the ground. Unrealistic goals not only hurt your credibility, but can also be an emotional drain. Set specific, measurable, accountable, realistic goals. Make them time specific (“by when”). This will ensure continual progress. If you do this, your chances of being an overnight success (in 15 to 20 years) are much greater.
8. Having No ‘Purpose’
There is a reason why employees leave high-paying corporate jobs to go to start-ups, and it’s not for the money. Besides earning money, people want to serve an important purpose. Many businesses never define their real purpose. They attract a mix of employees who are seeking success in different ways. Clarify the purpose of your company beyond making money. This will set the stage for attracting like-minded employees. A team focused on the same goal is a powerful force.
9. Cutting Prices
When business is tough one of the first resorts can be discounting price. Cheaper prices mean more customers, right? Wrong. Most customers will pay more because of greater quality or added convenience. Consider a increase in price coupled with improvements in quality or convenience. This can drive customers to your door. Price slashing is a dangerous game. It can lead to slashing employees or salaries to keep costs down.
10. Trying To Do It All
The greatest mistake business owners make is to believe they can do it all by themselves. While an entrepreneur can do almost everything, they don’t do it well. Like any other person, an entrepreneur has one or two natural talents. As a business owner, it is your job to identify those talents and focus on them to your fullest. Surround yourself with people who are strong where your talents are weakest. Great companies build on the foundation of exploiting a few strengths. They don’t try to be masters of everything.
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