Modern Business Magazine October 2016 | Page 11

MODERN ENTREPRENEUR 17 Encourage failures/success alike Everyone is bound to fail. Mistakes are part and parcel of the job. Never discourage a person for failing. Risks, experimentation and repeated efforts pave the way for the success of a company. 18 Sense of urgency The clock is ticking every second. For an entrepreneur, it gets tougher to sustain momentum with passing time. One can never take anything for granted. Each moment lost in a useless activity is a moment taken away from building the company. Everything adds up and matters in the long run. 19 Understand the legal ramifications Sort out the legal issues in the planning phase itself. Know what is needed and when it is needed. 20 It takes time Even the genius of Edison took more than 25 years to make an electric bulb. It took 20 years to develop the Xerox machine. The greatest of ideas are not always magic. It takes time to build great stuff. It needs a real big effort to build something that can create an impact. Give sufficient time to try things out. However, sustaining a start-up becomes tougher with time. Ultimately, one must find the time to try new things. 21 Creating a brand Even start-ups need to create brands. There are four stages included in the process: • Brand awareness, which means people begin to recognise your existence. • Brand quality is when they trust the quality. • Brand association is the attitude or feeling towards a brand, call it affinity. • Brand loyalty is when they begin to recommend your brand to family and friends. 22 Power distance Communication is the greatest asset of a start-up. When teams communicate and collaborate, great things are possible, but when there is a communication gap, things are messed up. How accessible is the senior management? If the distance is large, it means that there are lot of people involved in the process and at times, this may take a longer time for decision making. The need is to enable communication between groups and allow the best ideas to find their way through the ranks into the products and services. 23 Know when to step back One needs a good structure to be in place to make people replaceable. It is important to have a system wherein others can take charge when the founder members step aside. A company is never scalable when it is heavily dependent on particular people. about living on the edge. It is a very tough job. Most of them work hard, yet the majority of start-ups fail. All is not rosy. Be honest and assess hard before jumping into entrepreneurship. One needs to be prepared to work tirelessly, even without results. Research shows that most business ideas fail. Most companies start with one idea but succeed with some other idea. They gradually find their way to a better idea or sometimes even refine the initial idea. They take a proactive approach, expect problems and find solutions in advance. Be open, be adaptive and don’t hang on for too long with the same approach when things are not working. “When you try long and hard for anything, eventually, a moment comes, when it happens. The important thing is to keep trying until that moment comes.” 24 The right pricing strategy Deciding the cost for a product/ service can be