Common Mistakes That Start-Ups Should Avoid to Achieve Growthby Simon Hopes Author
As technology has become more accessible and the Information and Communication Technologies have advanced, the start-up scene has been thriving since the past decade. Fresh business and tech grads are now aspiring to start their ventures than hunting for employment. This has also helped in booming technology, and tertiary sector businesses and have created greater economic growth. Although promising startups today can find investors and incubation and facilities to help them grow, many start-ups still collapse due to a few basic mistakes.
Interestingly, most college grads who are taking up entrepreneurship rely much more on the age-old textbook knowledge that is barely relevant in this day and age. Corporate dynamics have changed dramatically over the years, and even the most veteran companies have overhauled their organizational structures to be able to compete and grow in the modern corporate eco-system. However, this change is something that most fresher are not aware of, and therefore they try to implement the conventional management theories that often fail. Here are a few most common mistakes that start0ups tend to make and should avoid at all costs.
Lack of Research
Most people who enter the start0up scene are college fresher or fresh grads. Since most of them are young blood, the excitement, and haste of launching their product or service only come naturally. However, it is this haste that makes them overlook loopholes in their business idea, and an otherwise amazing business idea ends up in failure because it is either not well-developed or well-executed or both. When you are coming up with a product or service, remember you are offering a solution to an existing problem.
For this reason, it is essential that you research the industry and the market very thoroughly to understand what kind of problem exists in the industry and what are the requirements that are needed to cater to the problem. If you feel you have a reliable solution to the problem or an idea that will be an instant hit, you should be clear on the monetization and scalability of your idea.
Making Effective Use of Limited Resources
As a start-up, your resources will be very limited, but a little bit of playing around with what you have smartly can take you a long way. For example, instead of having dedicated office premises for your entity, consider renting out a shared space or a co-working space, rely more on freelancers and remote workers to cut down costs. Make effective use of technology to bring in efficiency and cost-effectiveness.
Hesitate to Collaborate
No one can steal your ideas and strategies and outdo you because only you know what you plan to offer and how you plan to execute it. However, you might not be aware of your core competencies and weaknesses and might want to learn from other more experienced people that can help you identify your weak links. Do not hesitate to be a part of collaborative networks and communities such as tweakyourbiz.com as these platforms can teach you a lot of things that no business school can tea.
Created on Nov 19th 2018 07:56. Viewed 360 times.