Tips for creating a Viable Business

In my career i have read many books on entrepreneurship and studied business models of many fortune 500 companies. I have studied business models of Google, Face Book, Zappos, Coca Cola, Wal-Mart and Macdonalds just to mention a few.

I was thrilled by Google's business model. Those of you who have been following the Google story will attest to the fact that this company is the fastest growing business at the moment. I am sure you will agree with me the company's performance is currently the envy of many executives and engineers around the world.

Google is a marvel of Web brilliance, and is also a case study in savvy management. The team at Google are filled with cutting-edge ideas, rigorous accountability, and relentless attention to detail, which has catapulted this company to unprecedented heights.

I will not dwell much on Google as this is not the essence of this post. There are five key lessons which i would like to share with you that i learnt from all the business models i have studied.

Create a product that will make people's lives easier

Everyday people surf the net to look for information which will make their lives easy. Nobody likes hassles, hence, as an entrepreneur, if you come up with a product that will make life easier for people, it will be a winner provided it is well thought out. Again there must be a need for your service/product in the market.

Choose a big Market

Mass markets are usually very profitable due to numbers. Again some people argue that mass markets are already flooded with goods/services, hence, there is no room for new comers. My take on this is, if you have done your research and you found a need that is not adequately addressed. Go in and swim in these murky waters. Be different, be original and offer value added services. Niche segments are very tricky due to their size. However, if your offer is unique, niche segments are high value markets.

Develop a business model that will make money

Like Google, you need to come up with a good business model that will allow you to make money. Google's business strategy never cease to amaze me. In your opinion whos is Google's customers? How do they make their money? All their services are free, isnt it? So how on earth do they make their money? Google's business model is based on a philosophy practiced by many successful online entrepreneurs. You provide a service first, then money will come later. Google never charges for any of their services, their revenue comes from advertisers, its as simply as that. They concentrate on creating unique services and then advertisers will patronize them to get to their target markets. What a better way to make money? You too can borrow this model provided you know what you are doing.

Dont pay to get customers

In order to make money, you need to contain costs. As a start up one of the most important tasks you have to do is to publicize your business. In my opinion, you dont have to pay in order to get customers. With the advent of social media, blogs and forums such as facebook, Tweeter, DIGG, Myspace and linkd, you can freely publicize your business without spending a dime.

Be strict about who you hire

A business's success or failure is dependent upon its employees. It is very important to hire good hands. In order to get this right, you need to have very strict fool proof recruiting procedures. I read about a company that screens up to 50 people when they are hiring for a single position. This ensures they get the best candidate for the job. There a technique called a technique called top grading which reveals people's pattern of behavior which most successful organisations use in hiring the best people. Google hires the best there is on the market, because they are now an employer of first choice.

Feel free to contact me with your comments and suggestions.

To Your Success!!!!!