There are no surefire playbooks that can provide an entrepreneur the winning game plan of running a business. Entrepreneurs sometimes screw up from time to time by taking a wrong decision with regards to running their startup or implementing a wrong marketing strategy which hampers the company’s growth. It is not obvious that your entrepreneurial journey will contain success stories all the time. A common journey consists of few phases like testing a product, failure, retest and finally improve.
Below are some common mistakes that entrepreneurs make while starting a new business.
- Improper validation of business idea: As an entrepreneur, you might have a strong gut feeling that your business idea will be a game-changer in the market. However, without proper validation, it can be a big failure. Before taking any decision or investing any money in your idea, spend some time in testing, consult with experts, collect feedback from potential customers, etc.
- Considering direct competitors as indirect: Sometimes, the excitement of formulating a business idea may compel you to think that you might have no direct competitors. But in reality there are.
- Taking enough time for launching your business idea: There are many businesses that fail due to a slow launch. However, a strategic and stealthy launch of your idea is considered to be beneficial. You must not spend ages while building your business idea. Rather, spend some time in gaining your customer’s reaction towards your idea and just go for it without any hesitation.
- Not setting SMART goals: In most of the cases, entrepreneurs are enraptured by their business idea without having SMART goals. To taste success, you must create long term and short-term goals that are specific, measurable, attainable, realistic and time bound.
- Not having a proper margin: Having a healthy profitable margin is a crucial part for your business to be successful. If the set profit margin is low, problems will arise with respect to the company’s growth which may lead to the failure of your product along with the business.
- Putting your customers last and your product first: While formulating your business model, customer insights is a must as it decides your product’s future. Developing your product by keeping your target audience in mind guarantees success.
- Giving low priority to networking: Networking is the success crux in your entrepreneurial journey. Poor networking will lead to lower visibility of your startup both in offline and online marketplace. You must include networking in your to-do list. Through networking you can increase your visibility as a thought leader.
- Making poor marketing decisions: Spreading awareness of your business idea through marketing skills is necessary to gain prominence in the market. As an entrepreneur you cannot focus on only one marketing activity. Poor marketing decisions leads to your market reputation being hampered and it will also cause wastage of financial resources and halt your growth rate.