Countries are prepping for an economic recovery.
Businesses are slowly bouncing back. The pandemic has brought about challenges that entrepreneurs have never faced before. However, astute entrepreneurs can sense the new opportunities brought about by the crisis and many MSMEs have taken advantage of it.
There is a grain of truth in a businessman friend’s observation. He says: “Francis, what helped the economy are entrepreneurial enterprises that emanated from the home and made possible by two essential tools:
1. Internet connection with digital tools.
2. Delivery platform and logistics.
For SME’s, acquiring the right knowledge is important in a world of changing needs and demands. I have been privileged to conduct classes and training on entrepreneurship organized and offered by Globe Business as we salute all the SMEs for their efforts to be able to adapt and move their business forward. The theme aptly titled: “Through the changing times, tuloy tayo!”
The lockdown also created a horde of “serial entrepreneurs” as they turned their craft into businesses. Think baked sushi. Think artisan ice cream. Think Basque-burnt cheesecake, cookies, and pastries, etc. Think how a retrenched chef from a five-star hotel started delivering gourmet food straight to the residences of clientele, etc. There are also the panicked few who quickly jumped into entrepreneurial endeavors but were not successful. They baked, cooked, and delivered stuff to friends and family, hoping to make a profit, but the products and services did not meet the customer’s expectations and standards. So, their ventures did not take off.
Many want go into business to make a profit. But making a profit or suffering a loss are mere outcomes of doing business. The purpose of doing business is to meet needs and provide solutions for problems. Done correctly with the right skills and tools, then profit can be realized. As we bounce back, continue or if you happen to venture into entrepreneurship for the first time, I hope these ideas may be of help to you.
1. Observe The Problem
Entrepreneurs ask two questions:
1. What do my customers want?
2. What is keeping customers from what they want?
In a pandemic economy, entrepreneurs ask additional questions:
1. What new problems has the pandemic created?
2. What are the gaps that resulted from the new problems and challenges?
3. Can I bridge those gaps and convert them into opportunities to create or grow the business?
2. Assess the problem and the capability to solve it
a. External assessment: What are the requirements for my business to solve the problem?
b. Internal assessment: Do I have the capacity, skills, and know-how to provide a solution to help customers solve their problems?
3. Evaluate your resources and visualize a benefit
Make calculations and consider two things:
a. Cost and benefits: What would it cost me to solve this problem and what are the benefits I can derive from it?
b. Rewards and risks: This enables you to decide whether it is a venture worth taking or not.
4. Devise a solution supported by a narrative
Craft a narrative to explain how your solution can address the problem. Tell a story and explain. Social media and digital touchpoints are crucial tools today for doing business.
5. Develop a prototype or a model
Present the model that is close to what you first envisioned. Do not be tempted to go off course. Get feedback from the real world to spot two things:
a. Areas of improvement.
b. Future needs and possibilities.
6. Conduct product experimentation
Test. Revise. Improve. There will be costs involved and mistakes to be made, but do not forget that success entails a process and failure is part of it.
7. Anticipate opportunities for iteration and scale
Once the product is released, improve, revise, consider customer feedback, and understand that all products and services evolve.
8. Reap the Benefits
Enjoy the rewards of your labor cautiously and carefully. It all depends on your level of ambition and satisfaction:
a. Some would ambition to scale, so they pour the benefits into growing the business. From M(micro) to S(small) to M(medium-sized) Enterprise, and this may be good for them.
b. For others, their reward is in the creativity of their products and services, so their focus is not size and scale, but quality and beauty.
Either way, the successful entrepreneurs know how to celebrate their wins with their teams and family. And this is what makes entrepreneurship meaningful. So, as you start, continue or bounce back your business, make sure you do not lose the fun. Enjoy your entrepreneurial journey.
(Francis Kong’s highly acclaimed Level Up Leadership Master Class online runs from Aug. 25 to 27. Develop your leadership skills that translate into personal, career, and business growth. For inquiries and reservations, contact April at +63928-559-1798 or and for more information, visit www.levelupleadership.ph)