5 Tips for Recognizing a Meaningful Business Opportunity When You See One - Entrepreneur

5 Tips for Recognizing a Meaningful Business Opportunity When You See One - Entrepreneur


5 Tips for Recognizing a Meaningful Business Opportunity When You See One - Entrepreneur

Posted: 11 May 2020 09:09 AM PDT

5 min read

Opinions expressed by Entrepreneur contributors are their own.

According to the Small Association, roughly 50 percent of businesses survive to reach their fifth year. What is interesting, however, is that the SBA's analysis found that these survival rates generally remain consistent regardless of the overall state of the . In other words, lasting is largely dependent on choosing the right business opportunity.

While understanding the basics of running a business is certainly important, your ability to recognize meaningful opportunities will play a major role in whether you author a lasting success story.

Idenitfying these opportunities isn't an exact science, but there are still telltale signs to look out for, beginning with the following five.

1. You've found a noteworthy market inefficiency

Not surprisingly, the best ideas come when you find a meaningful problem to solve. As I've written previously, some of the easiest ways to identify these opportunities come by looking at problems within your own community or drawing from things you've experienced firsthand.

A big part of why these methods are so valuable is because they help you identify issues that you are going to be more passionate about. As a result, your business endeavors are more likely to be warmly received and create a meaningful impact.

2. Identify successful in similar markets

I recently had the chance to speak with Alex Cruder, CEO of Curbie. During our conversation, he advised, "Pay close attention to business models and products that work well in similar markets to your own, but aren't currently available in your area. Look for ways to bring these concepts to your local market, as they will have much lower risk than more novel ideas. For example, I saw the success of online car dealerships in the United States, a that had not yet been introduced in . Bringing an already-successful to a new market led to incredible growth."

Even in our digital-centric age, many successful businesses are still confined to a particular country or region. This gives you the opportunity to establish your own similar business in your own area. The basic business model and product line have already been proven. Using this model to launch your own is an easy course to success.

Related: 5 Simple Ways to Identify Business Ideas That Could (Really) Change the World

3. A new approach to a tried-and-true idea

In a 2009 on-campus podcast interview, Raffi Amit, professor of at Wharton, gave this example of how digital entrepreneurs develop winning ideas: "You could go back to the beginning of , where they saw an opportunity to connect people through launching a virtual flea market. It offered a platform that connected buyers and sellers directly."

This description of eBay as a "virtual flea market" doesn't make it sound too unique, but that's a big part of what helped make it so successful. It took a concept that people already knew and understood and brought it to the digital world. This same idea has worked for countless other brands. Finding ways to digitize or otherwise streamline an in-demand concept will fuel rapid growth.

4. It's something people are asking for

Regardless of whether you currently run your own business or are working in a 9-to-5 job, your gives you ample opportunity to hear from customers. Direct customer feedback, buying trends and other requests give you greater insight into what the market wants and needs. 

Sometimes, your customers will ask for something that isn't currently being offered. Other times, they'll want something similar to what is already available, but better. Whether the opportunity lies in a new product or improved , paying close attention to what customers are saying is key for identifying business models that will be well-received by your local market.

5. There is an opportunity to act quickly

While market research and other preparatory steps are certainly important, many of the most meaningful business opportunities are those which allow for a fast launch and an agile, iterative approach. This allows you to respond quickly to market disruptions and pivot so you can better serve customers with your winning idea.

Being the first in your market with a particular idea also gives you the opportunity to establish yourself as the market leader. As one example, an evaluation of pharmaceutical launches by McKinsey found that on average, the first product to market maintained 40 percent of the market 10 years after its launch. Those that were fifth to market or later only achieved 10 percent of the total market share.

The advantage was even greater for drugs that had a longer lead time before other competitors entered the market. The ability to get into the market first has played a big role in the successes of brands ranging from Amazon to Kellogg.

Related: 7 Ways to Identify Real, Money-Making Business Opportunities

At the end of the day, you'll never know if a business opportunity delivers meaningful results until you test the market. However, by using these principles to help you better identify and evaluate ideas, you will be better poised for successful market entry.

Don't delay when you have a winning business idea in hand. The sooner you act, the greater your impact on the marketplace will be.

These are the low cost business ideas you can start as a solopreneur (infographic) - Digital Information World

Posted: 29 Apr 2020 02:16 PM PDT

Many people strive to start their businesses. It is one of the most rewarding processes, from the beginning to the end. However, it can be just as hard. A lot of people find it hard to choose the right business to start with. One of the most important things to consider when you are developing your business is to consider what industry you are interested in and whether you have sufficient knowledge about the industry's workings. While many businesses are demanding, you don't have to necessarily quit your job before you have a stable hand in your trade, you just have to structure your workload and set a timeline for easy work to be done.

So, if you're just starting, read through this article to get your feet wet in the business market and get your work started! To start, you can browse through the top low-cost business industries, which make work extremely manageable, especially if you are new to the industry and work ethics.

eCommerce:

The world is getting dependent on technology day by day. More people have started buying products and services online than ever before. Hence, it is the best time to start in the eCommerce industry. By partnering with different brands, you can work to sell your products without any shipping or inventory through dropshipping and makeup upto $5K a month. Or you can rebrand already existing products and services through introducing new and innovative trends. There is not a lot of experience need for a startup here, so if you have the strive and patience for it, your business will be a huge success.


Business Services:

Services, such as a development force, a virtual assistant, and a good marketing agency is always required by other businesses. You can easily sell new research and developed products to existing businesses or help them with their marketing through social media pages and online campaigns. These day to day tasks can help you generate $1-5K a month.

Consultation Services:

The consultation industry makes billions of dollars annually, this means there is a lot of money-making potential in this industry. The consulting market offers very diverse employment, from automation and management operations to life coach consultations, to career and leadership consulting services and other similar jobs. The variety means that you can easily find your path in this industry by marketing to a big audience who can relate to you and rely on you for effective consultation tips. In this industry you can easily make up to $2K a month.

Creative Services:

Fun and creative, yet a busy industry is one where everyone wants to work. Less pressure and quite a load of work, through which you can easily make up to a whopping $10K a month is everyone's dream business. Learn and polish the popular skills of graphic designing, content writing, event planning and design to find your place in the creative services industry. Once you start in this industry, you automatically start to polish your skills and get better at what you do.


Trade Labor:

A very technical industry that requires hard work and consistent results are what the trade labor market is all about. There is a high demand for household services, such as maid services, through which you can make up to $5K a month. If that doesn't suit you, you can get into the car detailing and washing part of this industry and can even start your furniture and product restoration business, where you can study the recent trends and transform old junk into beautiful new pieces.

Now that you have a few ideas for potential businesses, its time to start researching and planning your next big break!

Take a peek at this infographic for more business ideas.

Low Cost Business Ideas for the Aspiring Solo Entrepreneur
These are Most Profitable Businesses and Industries this year
Infographic courtesy of: Wikibuy.

Read next: Visualizing the best companies and industries to work for (infographic)

Comments

Popular posts from this blog

10 Best New Age Business Ideas - CT Post

Florida unemployment system set up to discourage benefit-seekers: governor - Business Insider - Business Insider

COVID-19: New business ideas emerge as people work from home - The Jakarta Post - Jakarta Post