Business is not going – what to do in order to start it
Business may or may not go. Why is this happening, why is the business not going? If the conversation went in a different context, then the words “why it's worth it" would cause joy rather than grief, because in some cases the word “it’s worth” just shows that everything is fine. However, when it comes to business, the word "worth" has a negative imprint, because a standing business does not bring its owner anything but headaches and nervous breakdowns.
Business should not stop, business should develop, because money is invested in business, and money should make money, which is impossible with a standing business. Only a developing, dynamic business brings money. In order for a standing business to start making money, it needs to be forced to go, it needs to be given momentum.
Before you give the business momentum, you need to find out the reason why the business is not going. Do you want to know this reason and give dynamics to your business? One option is to conduct brand analysis. As a result, a lot of valuable information will be obtained, if it is not enough, other actions can be taken, which are discussed below. Very often, this will even help to save the business.
In addition to problems with the brand, the stagnation of business is often associated with the fact that the state prevents it from developing. It is believed that business does not go only because the state puts spokes in its wheels, and if these sticks are removed, then business will go. This is a fairly common opinion, which is shared by 80-90% of businessmen who have problems in business.
Such a large percentage of believers in this opinion should indicate that it is true. To some extent, it is indeed true, but not 100%. States such as the United States, Germany, Japan not only do not interfere, but also provide whatever support they can to their manufacturers, for example, car manufacturers.
Very often business breeds corruption
However, in spite of everything, the business associated with the production of cars in them is actually standing, and sometimes even falling. From this we can conclude that the stagnation of business and government interference in business affairs are not always linked, since in developed countries even government assistance does not solve the problem. If so, then there must be some other reason.
Corruption is often cited as another factor that affects business development. It, of course, causes very great economic damage to cities, countries and businesses. However, again, despite the fact that in the developed countries of the world there is a very tough fight against corruption, many businesses actually stand there too.
This means that corruption is not suitable for the role of a real “stick in the wheel”. Of course, it can stagnate some specific businesses, sometimes even destroy them, but it is not a “stick in the wheel”, especially since very often the cause and source of corruption is the business itself. Very often business breeds corruption. Very often, some businessmen use corruption schemes in order to resist competitors, knocking out the most favorable working conditions for themselves.
In other words, corruption does not actually affect the industry as a whole, but affects only specific companies. It turns out that just like state intervention, corruption is not the main reason for the stagnation of business.
Also, a factor that, according to some, can lead to business stagnation, is often cited as the lack of a sufficient number of qualified personnel who can develop and produce quality products. Of course, the opinion is interesting and logically even seems to be correct, however, if you think carefully, it turns out that this factor, again, like corruption affects specific companies, and not industries.
What to do if business is not going
In other words, all companies that really want to find qualified personnel for themselves, if not in their own country, then abroad, since the borders are now actually open and, in case of urgent need, you can invite a specialist from any country. Thus, the qualification of personnel also cannot be considered as an anchor that does not allow the business to develop, which means that it is necessary to continue searching for the real reason why the business is not going.
Many attribute the stagnation of business to the fact that companies, due to rising prices for production factors, have to raise the price of their products and, as a result, they do not sell well. Of course, the price level affects whether a consumer will buy a given product or not, but if you try hard, you can find a way to set a price that is competitive. It is always possible to find ways to reduce costs, since there are more than enough measures for this.
For example, you can start producing goods in countries with low wages. You can also review the process and optimize it. You can find ways to use cheaper materials. In general, with a strong desire, you can always find a way to reduce the price, which means that its level is not decisive and does not lead to business stagnation, except for very, very rare cases.
Okay, I will not torment any more thoughts, but I will note that the stagnation of a business in 99% of cases is due to the lack of a sufficient number of consumers, as well as due to the fact that there is no corporate identity of the company. It seems to be a banal answer to a banal question. However, not everything is so simple, there are nuances. There are not enough consumers, because no one has created them, and this is the key point.
Business does not go when there is no one to buy goods or services. If you decide to go fishing and have chosen a lake where there are no fish, you can do anything, but you will not catch fish. It's the same in business: if there are no consumers, do whatever you want, even if you offer a product for free, but you won't be able to sell it. You can scold nature, competitors, the state, but this will not solve the issue.
It is clear that the state, of course, can establish some restrictive measures, for example, it can prohibit the circulation of narcotic substances, or limit the age of sale of alcoholic beverages or cigarettes, i.e. sometimes the number of consumers is regulated by the government. However, the lion's share of goods is in free circulation, which means that the lack of consumers is associated with other factors, which we will now try to find out.
It is known that the basis of any market is the idea
It is known that the basis of any market is an idea. It is introduced into the minds of a certain part of people who eventually become consumers of goods or services and form a market. It is clear that the number of people in whom this idea can be introduced is finite, and someday such a moment comes that the idea has already been introduced into each person and, moreover, is embodied.
It turns out that there comes a moment when the idea exhausts itself, which means that the market that is built on its basis exhausts itself, because everyone has already bought these goods or used these services and they no longer need them. They buy goods in such a market only if the previously purchased product fails. As a rule, for a certain period, let's say for a year, the market forms approximately the same level of demand, and hence the level of supply.
Thus, the company from year to year produces almost the same amount of goods and it begins to stagnate, as a result of which the business does not go. If you take by analogy, you can imagine a glass of water. There is no way to pour more water into it than it can hold; this can only be done if the water is poured out of the glass, i.e. if you free up space.
However, pouring water from a glass is not the only option. There is another option – take another glass and pour water into it. In the language of noomarketing, taking another glass means introducing a new idea to the market and building a new market on its basis. This option for business is the only acceptable one, because it is not possible to “drain water” from the market; It will not work to take away cars from consumers in order to offer new ones later.
You can only take a new glass and start pouring water into it. As a result, after the idea is introduced into a sufficient number of consumers, a new market will form around it and demand will be created for goods that correspond to this idea, which means that the business will come out of stagnation and become dynamic again. But this will continue until the idea exhausts itself again, which means that new ideas will have to be introduced again and again so that the business does not become stagnant.