I have done research on this issue personally, talked to business gurus, and observed businesses. I realize one biggest reason of business failure, which is “Market Research”.
Did you really have need analysis for your business? Is there any gap still exist in the market? Or you just thought that this business is looking profitable, let’s start it. No, don’t put yourself blindly on the way you don’t know the end. First do research that is there any gap exist in the market? Any need still unfulfilled? When you have exact data in your pocket, you will be able to take more correct decisions.
Who Are Your Customers?
You have decided to start new business, that’s good. Even you have chosen industry and particular business type. Fantastic! Now it is time to search and define your target customers. Let me give you an example. You have decided to open a burger point.
You have to finalize your recipe too. How could you final your recipe without knowing what your target customers want? Who are your target customers? Young or old? Everyone has different taste. Each age class and gender desire different taste. It is you who will decide that which segment is served. A deep research will explain you different choices and will allow you to take decisions.
Who Are Your Competitors?
Business successfully grows with competitive advantage. A business gains competitive advantage when it knows about market, customers’ needs, and competitors.
You need to collect all information regarding import and export duties and regulations. Economic trends also effect business. Market trends change with time to time. If technology involves in your industry, then you must have to consider technological changes and advancement too. In short overall environment research also takes important role in business decisions.