Success of small business statistics 5th,outliers the story of success quotes with page numbers visio,how can i save up money for college - Easy Way

Author: admin, 10.10.2013. Category: Understanding The Law Of Attraction

Many factors play a role in the success or failure of a small business, but how can these factors be assessed across business types and how do we identify which ones are key?In previous articles we have addressed how businesses can compete relative to one another but here we will dig into the key factors that permit start-up and long-term success. Through the 80s, as the study of entrepreneurs and small businesses became more prevalent, it was recognized that a formal structure to describe venture creation would be helpful. Gartner’s first category the “individual” includes characteristics such as the need for achievement, locus or control, risk taking propensity, work experience, age, and education.
The “organization” is the entity that is created and consists of the product or service, the customer contracts, licensing, focus, and resource usage.
This framework provides a common ground to compare the primary factors at a venture’s creation to the factors that play a role in the overall success. The application of Gartner’s framework upon business startup was conducted by Marco Van Gelderen when he used the framework to assess the relative importance of factors in successfully getting a venture started. The first factor he found to be associated with startup success was the perceived risk of the market. The second factor associated with success at startup was found to be starting full time verses starting part time.
To summarize Van Gelderen’s findings in terms of Gartner’s framework, the primary success factors associated with getting a business started are (1) the perceived risk of the market, an environmental factor (2)starting full time verses starting part time, an organizational factor (3) the initial capital requirements, an environmental factor. Once a venture has started the dynamics change and the factors that played a role at startup are no longer the primary concern. Cressy defined the primary variables associated with life time failure probability to be managerial capital(Human Capital), financial capital, entrepreneurial risk aversion, and the decision on market positioning.
Applying Gartner’s framework to Cressy’s findings the primary factors can be categorized as follows (1) managerial capital, an individual factor (2) financial capital, and environmental factor(3) risk aversion, an individual factor (4) market positioning, a process factor. Comparing the results of Cressy’s study to the results of Van Gelderen’s shows the difference between the key factors in startup and long-term success. Long-term success is a function of four primary factors whereas startup success is a function of three.
The environment is the only factor that is considered in both startup and long-term success.
The specific environmental condition that existed in both cases was financial capital requirements. The environment is the single biggest contributing factor associated with starting a venture. The individual is the single biggest contributing factor associated with long-term success. This paints quite a picture, not only do the factors change from the startup to the long-term but long-term success is dependent on one more factor than startup. Could such a high small business mortality rate be due to the ease of getting a business started vs.
About SHYMy name is TJ and I started this site to give you the knowledge and resources required for small business success.
The goal of the site is to assist SHY Entrepreneurs in succeeding in life and the world of business through the use of the communities’ ever evolving skills, training, and experience. One of the key ways a small local business can both differentiate themselves and also gain a competitive advantage over bigger businesses is relatively simple—providing great customer service.
For the vast majority of respondents, all they really want is to have their questions answered.


When asked if they wanted answers to questions or for companies “to know my mood and respond accordingly,” an overwhelming eight in 10 agreed that answers were more important. Almost half (47 percent) said that the one thing that most created a favorable impression was a quick response. When it comes to customer service, there is an ongoing struggle for companies trying to find the right balance between privacy and personalization. For young Americans, the balance was more in favor of personalization at 59 percent, compared to just 46 percent for those over the age of 35. For “high relationship” sectors such as banking, dissatisfaction with service most often came from mistakes or an uninterested staff.
The results of the study suggest that providing good customer service is essentially a simple process, with speed and convenience being the top priorities important for your customers.
Delivering on that means having well-trained first contact and frontline staff, ensuring that they have real-time information available to answer customer queries, and empowering your team with the authority to quickly and effectively resolve customer issues. In addition, it means employing keyword alerts and other tools that allow you to listen and monitor the social media space, and being smart when it comes to proactive reputation management strategies. Great customer service invariably leads to happy customers, even if that stemmed from a mistake or complaint.
You can find out more about the Verint study and Infographics summarizing the results at Customer-Centricity: The Rules of Engagement (registration required). Environmental factors include the available capital, skilled labor force, market accessibility, living conditions, and availability of supplies. Examples of process would be finding a business opportunity, gathering resources, making the product, or marketing. In other words Individuals may or may not start a business given their perception of the risk associate with the venture. Van Gelderen noted that starting part time is less risky but is also a sign of lower commitment. Van Gelderen noted that those who lower their capital requirements increase their chances of getting started while those who intend to use more startup capital have a lower probability of getting their business running.
The study entitled ‘Why do Most Firms Die Young?’ by Robert Cressy develops a model to address the factors that contribute to success and failure in the first few years of operation and illustrates the exposure to risk through the life of a business. Using these factors Cressy created a theoretical model to illustrate the risk distribution over the lifetime of a venture. Additionally the individual is considered to be a large part of what makes a venture succeed but is not a primary factor at startup. We seek to educate entrepreneurs on measures that assist in minimizing risk, maximizing profitability, maintaining integrity, and increasing enjoyment. The study, The New Rules of Customer Engagement, questioned more than 18,000 adults worldwide to find out more about their customer service expectations and experiences. Despite the clamoring from brands and marketers for “engagement” and “relationship building,” from the customer perspective, they see customer service as more of a transaction. To further complicate matters, that balance—and the reasons for not liking the service provided—can lie in different places depending on the sector. On the other hand, for supermarkets and other retailers, price was said to be key in driving a preference of personalization.
The research found that, when compared to a similar study completed in 2012, the proportion of consumers that maintained a relationship with a provider for three years or more had dropped from 85 percent to 60 percent.


It means building systems throughout the organization and (hopefully) maintaining an up-to-date CRM system. Most importantly it means staying in touch with your customers after the sale, and communicating with customers regularly as part of your email marketing efforts. Gartner in his 1985 work ‘A Conceptual Framework for Describing the Phenomenon of New Venture Creation’ set out to establish such a structure.
The empirical study followed 512 entrepreneurs over the course of three years and determined that there were three primary contributing variables in the startup phase.
Van Gelderen points out that the actual risk may not be the same as the perceived risk but argues that a lower perceived risk will result in an earlier start to a venture.  Risk or perceived risk of the market would be considered by Gartner to be an environmental condition. His resulting distribution indicated that the peak of risk exposure exists within the first 18-24 months and then tapers off through the remaining life of the venture. This discontinuity between primary startup factors and long-term factors along with the high failure rate together imply that it may be easier to get a business started than it is to make a business successful. What we do know is that the largest factor involved in long-term success is not required at startup and that the individual and financial capital requirements will always be a concern.
The reality is that what customers want is pretty simple: They want to be heard, they want their issues understood, and they want their questions answered quickly, preferably on first contact.
That way, the same information is available to all members of your team on a moment’s notice, and a consistent approach is adopted, whether contact is made by phone, face-to-face, by email, online, chat, or by way of social media channels. Take a look at this graphic emarketer produced from the Verint research that summarizes what respondents are likely to do if a company goes that extra mile.
That’s powerful fuel for any business, but for a small local business, it’s a way to level the playing field. Individuals who started full time with a greater commitment are more likely to get their venture off the ground. The study also suggested that the appropriate initial startup capital, both financial and managerial, will delay and minimize the overall exposure a venture will face. Longevity of relationships varied significantly between sectors, with banking, supermarkets, grocery, and clothing earning the most loyalty. It’s not easy to compete against big brands, but when you can win at customer service, you’re on the right path. Within the scope of Gartner’s frame work this would fall under the banner of an organizational factor. At the other end of the scale, phone and broadband providers, as well as online retailers showed the most churn amongst customers.
Just remember, your customers want speed, convenience, and an understanding of who they are and what they need. The business that has the tools, people, and processes in place to give them just that will be the most likely to succeed.
Going above and beyond to not only deliver great customer service at the time of sale, but strategically putting systems in place that allow you to stay connected to, and serving, your customer base can go a long way toward building relationships that endure.



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