Here’s a question I keep getting asked from university students who want to come up with new start-up ideas: I have got an idea for a business and what do you think about it?
The problem that I found with each one of these students ideas is that they have not done homework on their market. When people think of an online business, for example, they think that the entire Internet world is the market. This is too big. You need to narrow down your market to an easy identifiable group of people that you can serve.
Just think about how important local markets are. If you’re starting a website, blog or online service for customers in your local area it makes sense because you can meet with them and they can do business with you face-to-face. The further you are from your market the more quickly distance erodes communication and trust. Yes, of course you can bridge these deficiencies – such as providing strong guarantees and refunds for your products or services – but it’s a lot easier to do business with people in your town or city. Continue reading “Keys to your successful business idea”
