MISTAKES TO AVOID IN A NEW BUSINESS
“You cannot put all your eggs in one basket” is a famous quote followed as a business strategy by a lot of companies. Business ideas or investment ideas should be implemented cautiously. One should keep the box of mistakes at bay in order to attain success. Below mentioned are the most common mistake an entrepreneur does in his new business.
INADEQUATE MARKETING INVESTMENT:
As an entrepreneur, many newbies assume investment in marketing as a vain process. This leads to a loss in business due to the unawareness of the product. Business ideas should always prioritize the process of marketing. This is very important for a new business. The main reason to invest in marketing is to make people aware of the new product. Until and unless people are aware of the product, they will not decide to purchase. Thus, your main aim should be to focus on marketing rather than the product as a new business.
AIMING MAXIMISATION OF PROFIT:
As a new business, your main aim should be to gain customers rather than maximizing profit. The initial steps should involve the marketing of the product in different regions and places. So that people get to know about your product. If you aim at making a profit at the initial stage, you will lose on the potential customers who are likely to turn positive. At the initial stage, your primary focus should be on product and market building. Gaining a market share is essential rather than earning profit.
IGNORING THE COMPETITORS:
The most stupid thing to do is to ignore your competitors. You are not the only one in the market with products and services. There are thousands of them rendering the same benefits to customers. How will you make yourself different from your competitors so that people come towards you? Studying your competitor’s strategies is an essential step. By doing this, you can formulate strategies better than your competitors. Thus it’s vital not to neglect your competition and work on it.
IGNORING MARKET STUDY:
The worst thing an entrepreneur can do is to ignore the study of the market. Without understanding the market, how can someone jump into it? This will be the most insane step taken by a businessman. Without making a market study, it is impossible to pitch into one. Unawareness of things happening in the market can lead you to a considerable loss. You cannot start a business without knowing the pros and cons of a market. This will lead to tremendous loss.
Alternative investments include real estate, gold and other precious metals, natural resources, commodities, foreign investment, etc. One of the best investment ideas for managing a truly balanced investment portfolio is also to include this fourth asset class. The easiest way for the average investor to include this alternative in their portfolio is to use investment funds that specialize in this area or sector. My best investment idea is here: don’t work hard in one area and aim for sectors (like gold) just because it’s hot. Property and commodity funds will be my pick as two of the best investment ideas in the alternative investment class.
