As with anything that pertains to life, there will always be some assumptions related to it. Some have some bit of truth to them, while some, oh well, are nowhere near the truth. Woe unto us if we choose to take them up and apply them.
This is not any different when it comes to business. Here are some very common false assumptions to look out for when it comes to entrepreneurship;
If you build it, they will come.
No, they will not. Just because you thought it and set it up does not mean that they will show up from nowhere. Not if they are not aware of it. Some really good services and products have ended up failing due to a lack of awareness creation. In short, invest in marketing your service and products effectively.
The lowest pricing usually wins
This is not often true in most cases, especially for startups. Knowing your market audience, invest in high-value products and services. The high-value high-price options are regularly the best strategy to go with. This makes it easier to sell to a client given the assured quality you are offering them.
Having the lowest price doesn’t always generate volume/numbers. It also ends up taking a lot of capital. Always remember that price is the strongest marketing message there is.
Profitability means having cash in the bank
This is one of the biggest false assumptions there is in regards to money. Cash(revenue) refers to the amount of money currently or soon to be available that serves to pay expenses. Profit is the money left over after all expenses are paid.
If the cash coming into the business is the same as what is necessary to pay for expenses, then you are merely surviving. It is important to note that a successful business needs both cash and profit to grow.
The first to the market always wins
Not at all or rarely does this assumption count. You may start first but end up losing due to a similar business due to several reasons. If you are not willing to put in the work, resources, positioning, capital, strategies, and all other such factors into play, it doesn’t matter if you started it. You’re going to lose it to your competition, and you’ll lose very fast.
The more the hours, the more you win
It’s a matter of being able to work smarter, not about working harder. People that work more hours in a week may probably get a very small margin percentage rate of additional productivity compared to those who work less by half the hours per week.
To generate productivity in a group, you need to acknowledge that people have lives, families, and need regular downtime for their things for them to be effective. Work smart.
You can’t do it if someone else is already at it.
Let go of that assumption now. As discussed in the previous pointer, it is not about who showed up to the game first, instead, it’s about being able to do it differently or even better, possibly with a different market audience and different strategies. Businesses are always copying other businesses. You just need to curve your niche effectively for it to stand out.
Mark Twain once said, “What gets us in trouble is not what we don’t know. Its what we know for sure that just isn’t so.” Be sure to check on the false assumptions you might be holding on to and work on them.