successful business essay introduction

successful business essay introduction

Key Factors for Building a Successful Business

1. Introduction to Business Success

Of course, these essential characteristics are based primarily on native ability, but it is possible to acquire other qualities, which tend to promote success in self-employment by methods of apprenticeship and application. Where enthusiasm and good judgment meet their point of equilibrium will also congregate financial resources, and there can be no doubt that money matters in business. Banks and other sources of development capital do all possible to help entrepreneurs and managers who come to them with sound ideas for business venture accompanied by convincing plans and evidence of excellent managerial ability. However, there is usually some element of risk, and the entrepreneur may be asked to provide part of the finances required. This usually takes the form of his/her savings and at times personal family assets.

As the global economic crisis deepens, more and more people are realizing that running their own business may be the way to achieve prosperity. People are also realizing that the successful entrepreneur is not necessarily a genius with a unique ability or invention. Most have succeeded by being observant, by being outgoing, ruthlessly aggressive, adaptable and sometimes exploited situations that have unexpected turnouts. What was essential to these people was not prodigious intellect or profound knowledge, but the audacity to take great risks, the energy to carry into action an idea others may dismiss as impracticable, ‘bottle’ to the brim with unstoppable enthusiasm for the project and the exploitation and control of the talents of others.

2. Effective Leadership and Vision

An effective leader sets up a true democracy throughout the organization by asking for employees’ ideas and opinions, weighing them with respect, and helping to implement the best of the ideas. A true leader acts promptly to make the company’s mission clear, desirable, and winnable – something the small business owner, to whom the company’s strategy is almost second nature, must keep sight of, especially as new employees are engaged. Leaders must be good listeners and remain personally approachable for all employees. Small businesses have a profound advantage in this: ability to keep close to employees, suppliers, and customers, and this is the way to demonstrate that an organization’s leaders appreciate their people.

It’s been said that good leaders are created by opportunities and enthusiasm, and the best leaders are always seeking to learn, grow, and do something greater. A true leader empowers people, stimulating the innate desire in employees to be competent, successful, and to do meaningful work. In a small business, it’s easy to lead teams and regulate every process. However, to build capacity, a true leader empowers others. The business must also inspire an entire team with a vision of what it needs to become, continually remind employees of this vision, encourage risk-taking, and celebrate successes. In a thriving company, the mission and the employees’ role in fulfilling it become a rallying point, something to be proud of and eager to contribute to.

3. Innovative Strategies and Adaptability

Successful entrepreneurs pay attention to factors such as these in figuring out what problems stand in the way of meeting customers’ needs and in determining what tactics are most likely to be successful. That’s what makes them successful. They pay attention not only to changes in their industry—technological shifts, new ways of doing business, changes in government policy and changes in their customers’ lives—but also to changes in the world outside their industry—that is, characteristics of alternate industries that might have implications for the success of their own. That’s why entrepreneurs have to exercise creativity. If a product or service already exists, the entrepreneur would be racing to offer something new and different. Successful entrepreneurs know that to compete effectively they need to know how their offerings can be designed to resemble those of others in some respects and differ markedly in multiple others. Better yet, how their offerings can differ in ways that matter most to potential customers.

They say that there may not be a handbook for being a good parent, but if there were, its thickest chapter might begin, “Expect the unexpected.” If you’re an entrepreneur, you’d do well to take that same advice to heart. This isn’t to suggest you have to develop a split personality, but rather to develop a Plan B. In fact, two Plans B—in case it turns out that both your Plan Bs are trouble. That’s why astute entrepreneurs are people who are open to new ways of doing things, who challenge conventional thinking and create their own opportunities—regardless of how uncomfortable it might make those who are stuck in a particular way of doing business. Agility is the key. Be prepared to change quickly, as circumstances are always changing. More often than not, it seems that everything changes more quickly than an entrepreneur expects it to.

4. Building a Strong Company Culture

It is the highest-ranking brass of Kyberab who acknowledges the objective of flavored culture as an unbroken companion to demand top-flight pay and benefits. A policy of mutual respect and responsibility for the well-being of the close group is increasingly indelible. The group respects this responsibility and exercises the joy of giving to the less affluent, whether as support to the underprivileged, the very young, or the elderly. This sense of responsibility evidently contributes to the sense of belonging observed in our elite entrepreneurial companies. It is not uncommon within Kyberab to find a high performer effective, generous, and trustful at multiple levels. The collaboration of dedicated people, united to the mentioned MAD, provides an immeasurable governance value that perhaps justifies the noble claims of the authors of Good to Great, who gave this type of characteristic to the selected great companies.

For a business to be successful, it needs to have the right people aligned through a proper governance system and accountable by elegant financial models justifying the strategic plans. All of these are a stiff challenge that must be supported by an open management accessible to communication, both good and bad news alike. Failures are prevalent in small companies, and they are unavoidable, especially in entrepreneur-driven organizations. It is important to openly acknowledge opportunities to learn from these setbacks, make measured progress, and interconnect at all impacted individuals to most effectively deal with root causes. In organizations such as Kyberab, a layer of management should not expect that new governments have to establish a minimum of checks and balances, as achievements will be the common goal. These dynamics require a solid, consistent policy of integrity, ethics, and fairness, as well as the belief to leave the office till after the mission’s completion. On a formal level, Kyberab has successfully comprised quarterly steers to fully discuss their common credo, their vision, and the MAD with invited employees. The performance and judgment that emerged indicated that the mission was not simply exercised but properly understood at all. In addition, the implementation of divide contracts at all employees.

Naturally, a defining feature of entrepreneur-driven companies is a robust, distinctive, and encompassing culture. At Kyberab, all levels, there is a pervasive understanding that the culture of continuous improvement is not just a nice adage but a very real ethos. In fact, culture is so deeply ingrained in Kyberab that employees can enunciate it with ease. Culture at Kyberab is so entwined within the company that it extends to almost every facet of operations. It dictates interactions with customers, governs employee retention, affects the strategic development of new business lines, and influences the product development decision-making process. Each and every Kyberab employee, regardless of their official title, feels that they are directly responsible for outcomes and for the direction and prosperity of the firm, its group, and the brand. Kyberab’s collective sense of culture tends to transmit the passion and the intensity it contains whenever appropriate opportunities present themselves. In fact, a pronounced tolerance for risk and not wallowing in cautionary spirits. The people need a sensible chance to flourish in the prevailing entrepreneurial atmosphere.

5. Conclusion: Sustaining Success in a Competitive Environment

If a company is operating within the margins that assure profitability, it is also operating within margins that provide some level of cushion against contingencies such as bad weather, changes in market conditions, unexpected repair costs on equipment, casualty losses, and the potential consequences of less than optimum equipment purchase and selling decisions. Profit is the part of the purchase price paid by the customer that is available to meet obligations and management incentives to its highest and best use.

Successful business operations depend upon the margin between price and cost, and just as importantly, on the availability of funds. A less successful, but still profitable, competitor may require more margin on each transaction, but may have a supply of cash, while less profitable or losing money, a competitor with the same understanding may not have access to the needed cash. Keep in mind when negotiating with rental customers, the dealer, the bank, or suppliers that each of these capabilities affords the competitor different needs, but each also contributes to the cost of getting the cash.

The barriers to entry in the equipment rental business are relatively low, which will attract new entrants in good times and deter current participants in bad times. As a result, competition will remain intense. An efficient business, including a responsive, aggressive marketing program, is necessary to maintain or add to market share.