Defining the Type and Style of Your New Business
There are many Types as well as Styles of small businesses. Types would include retail sales, consumer services, consultants, etc. Styles, on the other hand, define the way the business is operated. For example, a ‘bricks and mortar’ retail business (e.g., storefront on Main Street) is one Style while a retail business selling by mailed catalogs, or via the Internet, is another Style. If you don’t deal well in person with people, a ‘bricks and mortar’ store would be contra-indicated for you while sales via catalog or Internet would be more in keeping with your personality.
Importance of Intended Market
Type and Style of business is also determined by the intended market. If your market is tailoring custom wedding gowns for brides-to-be you would be expected to service your customers in person. If the market is selling manufactured gowns, without custom alterations, sales via catalog or Internet is a reasonable approach.
Power of Delegation
Employees can, if selected carefully, help determine the preferred Style of business. If a service business, and you are not fond of dealing directly with people, an employee, who is, would alleviate the situation leaving you free to manage your business.
Effect of Outsourcing
Another consideration which, unfortunately, is beyond your control, is the probability of having to compete with off-shore business which have significantly lower costs and, therefore, lower prices. Telephone ‘help desks’ (which customers telephone to get help with computer problems for example) have for the most part been outsourced to countries like the Philippines and India. Telephone and Internet sales also are frequently outsourced to off-shore companies. Services requiring in-person contact, on the other hand, obviously cannot be out sourced.
Inter-relationships Leading to Success
There is a strong interrelationship among personal niche, Type and Style of business and selected market. Each of these considerations is strongly influenced by the others. Our experience has shown that each should be defined in the sequence we have outlined them here: personal niche, Type and Style, then market. This is one of the many reasons experienced assistance significantly enhances the probability of success.