Home Business Tips – Why Brilliant Ideas Can Be Poor Businesses

There are business ideas that seem brilliant at the first glance. But as you start analyzing them, you can discover that the idea is not going everywhere: it either needs massive funding, or there is a big competitor already, or the idea doesn’t solve any problem, it is just a way of doing something slightly differently. There are ideas that can make revolution in an entire industry, or represents an industry in itself, but these are incredibly complex and rare, well beyond the reach of ordinary people.
What people usually don’t understand is that customers only buy thing that can solve a problem. Problems may be huge, such as shelter, food or warmth, or small, like the impulse of buying a chocolate. The needs can be also intangible, such as the joy of having a luxury watch.
A viable business can be created only if it is very clear what problem or need the product or service addresses. This is the most important question to answer. Once settled, everything else: the way he prices, charges, distributes, supports, extends and augments can be used to support the solution. Keep in mind that if you can’t explain quickly and easily what your offer is, there is no way a customer can be convinced to buy from you.
Another issue to clarify is who is your ideal customer? Customers are vital for any business, no matter how it is set up, how it sells its products, or how it delivers its product or service. This may seem simplistic, but there are business owners who emphasize on design, on flawless and efficient supply chain, or on building every conceivable feature into the product, and never think about who will buy the product?
The key activity of a business at all stages of its existence is to ask its customers what they like, prefer, need and want? If you know the answer precisely, you can make plans of your operation, communication and recruiting to satisfy the targeted customers. You can decide to target one or more customer profiles. The best thing is to write a paragraph about the characteristics of each kind of customer you target.
Once you finished the profiles, you should start to imagine about them as people: where they like to buy things? What are they buying? Why are they buying? How can you make them happy? Can you make the process simpler, faster, cheaper?

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