Topic: Business failure among small-scale entrepreneurs - page 6. (Read 3236 times)

This is a sad truth that nobody wants to admit even those successful businesses. Luck comes into factor and connections as well. Unless your product or service is hella unique that it doesn't exist yet, you would struggle getting audiences and people wanting to buy your product.

Luck would come into place like you need to find a good place to build your business. If you were born in a desert, well it might be harder for you than other small scale entreps.

Yes, it's true, to build a small business or a large business you need to have basic knowledge about business. Building a business into a successful business that is resilient requires a big mindset, and must have a network (a network in business that is diligent). The key is in product innovation which is always being developed, such as the Nokia smartphone which is not developing, because a successful business takes a long time and of course it is a process, there is no giving up under any circumstances.

Apart from that, there are 5 other reasons why people fail in business

1. Mindset error, don't say building a small business. The truth is to build a big business.
2. Do business if you are not lazy
3. Not thinking seriously
4. Doing business is not serious
5. No reinvestment

I heard and read about businesses that closed due to mismanagement. It is also quite common when the succeeding heirs fail to maintain their ancestors' management skills. Long-running businesses continue to strive because their founders sent their children to school for proper education while also teaching them hands-on.

Experience gives us the best lessons which is why many people who are new to business fail in the beginning. The most important thing is we learn from our mistakes and from other people as well. Just last week I watched the story of a successful businessman. At first, he was surprised as to why he failed to make a profit and was losing from his restaurant when in fact it was always crowded. What he learned was his failure to manage it properly starting from its supplier of raw goods and materials down to accounting for all expenses incurred which will be the basis of its products pricing.

Managerial is not an easy matter, a business that grows well and continues to develop certainly does not happen by accident. therefore, even if you have large capital, if you are not able to
- manage cash flow
- employees
- have good relations with the government,
it will be difficult to make your business live and survive. you also have to be able to follow market developments and trends, don't go against the flow, during the pandemic maybe people like to use online but now people can meet face to face, large companies such as Google, Facebook or Apple still survive today because they have perfect management and are also able to direct people.

thats the thing business always need preparation, it also requires the businessman or someone who involved in building business to be highly realistic about the circumstance and condition of the market.
but the thing is preparation requires massive capital, in which in this case, not every business man is having, at best they'd just make some manuever and thats it, all money usually spent on the operation of the business regardless whether the business itself is already in profit, if its in state of developing which gonna burns a lot of money big fat chance, it will fail the first time it got hit by some problem.
though i'm no expert in business i think business is really complicated, no one knows the right amount of recipe in building business.

Without an experience you can led the foundation of a business but business success cannot be possible because if you have no idea that how to attract costumers, how to show your products to them and how to manage the rate with costumers then you will not get profit like other successful businessman gets.

Make discussions with those businessman who are profitable so you will be engaged with his planning and strategies which he use in his successful career and also you will have experience of working.

Any business that lack proper and adequate management will suffer loss, because if there's nothing wrong with the business then the people in charge will mismanaged it and ruined it down completely, when we are starting a business enterprise, we have to engage on business plan on both short and long term running, there should also be a proper means of advertisement for the business promotion and there must also be a good background study of the business location and prospects.

Although it is good to listen to other people's experience to learn from their mistakes and good decisions, having a hands-on experience and knowledge is still better when you are starting a business. You have to know everything there is to learn about the business you are starting in order to have a full control of everything. Moreover, I agree, having a plan is always the best way to go on with things as it prepares you to face any challenges your business may face and with a plan backing you up you'll have a detailed idea as to what decisions to make in order for your business to succeed.

There needs to be a lot of preparation that needs to be done before we start a business because if we don't prepare well then it would be better if we didn't have to start it because if we start by just listening to the words of other people who run a business well without understanding the risks of a business well. then of course the business we run will not run well. For those who understand business well and have sufficient capital, it will certainly be easier to build a business because without these two things it will be very difficult to build a business that will develop well.

Although courage is needed to take the first step in running a business. But courage is not the only thing needed in building a business. Because in the end courage is only needed when we have sufficient capital both financially and insightfully. Then we also need careful planning and many other things that are needed. And when all the preparations have been completed only then does one need more courage in taking the first step. And this courage is also needed in making breakthroughs or renewable innovations so as not to be unable to compete with large companies that have been around longer than our business, which has just started. In essence, courage is needed to take on a challenge in business.

It's just that the real challenge will be greater when our business is already running well and then other competitors appear and that's where we have to make a better strategy in running our business so that it can survive and avoid bankruptcy. Following market trends is a good thing. But it would be better if we created a trend starting from our business. A trend emerges because someone started it. And most companies just follow trends. But the most successful are usually those who start the trend themselves. Trends can be created because of how good the innovation is and then because of how good the marketing carried out by a company is. So it attracts the interest of many people and creates a trend.

First thing with business is the identification of the need. What is in need among the people, then the location need to be identified. Now we should think of the business which will meet the needs in the best way possible. Here we should be prepared enough with alternate plans, only then it is possible to keep the business on the right track even if things didn't work according to our plans.

Business failures were part of the success, I haven't researched about those mentioned firms. For some reason I strongly believe that these business firms have established their services in a better way on some other countries. With the failure they could've understood the real need and moved somewhere else and succeeded.

Well, having a safety net is something that only large-scale businesses have the liberty of using. it's a basic truth in life so to speak. You'd never find small-scale businesses out there not duking it out as if it's the end of the world cause they need to make profits or else they would go bankrupt. I feel like that's also one thing that contributes to why these micro-businesses are more prone to failing. They don't have the luxury to afford contingencies and safety nets that would've prevented them from losing it all should their businesses sink under, so when they fail, they fail horribly. It's also worth noting that for most first time business owners, their first losses are the biggest and hardest to bear, with some even stepping out of entrepreneurship for good cause it's just that traumatizing to lose your money.

when business is still small anything needs to be efficient, one mistake and business will fail thats the thing with building business from scratch from the very bottom.
its unlike what majority of people said that building business only needs courage, its not just that, luck also have big role in having big business, like if you start a business thats very niche and few years later that niche becoming a big thing then your business will definitely grow really fast.
also, when the big companies starting to get into that field, you'd also need to face them in which they have advantage of having bigger capital for better marketing and promotions. that period would also be as difficult as the other.

And when a company achieves higher success, the company must also start to be wary of competitors from other companies who will always pay attention to companies that have achieved higher success. Because there is a saying which says that the higher a tree grows, the stronger the wind blows. This means that if a company gets bigger, the company must also strengthen the fundamentals of the company itself. Just like a tree must strengthen its roots, if the tree doesn't want it to be toppled by the wind.

Because the higher the achievement obtained, the less easy it will be for the exams that a company will face. Because out there, even companies and other companies can bring each other down in ways that we don't imagine. Promotion and innovation must not be stopped. And it must continue to be improved. Because this is one way to keep every customer from leaving.

Apart from marketing, promotion and innovation. Another important thing is to maintain quality and never reduce quality when the company's name has grown. Because just one mistake will make the reputation of even a large company collapse quickly. So being more careful and never showing gaps to competitors is an obligation in any business world.

When starting a business it must have double capital when the first fails we can certainly still overcome it with double capital that we can start again with operations as usual of course with a higher level of vigilance in the sense that we must fully understand the business sector that is being undertaken because in my opinion for the first and second will definitely experience failure.

Having experienced this difficult time when the business was just starting, of course we have to be more skillful with what is offered in the product, including in marketing with a more continuous reach, especially what is more important is that the financial management sector must be healthy.

Yes, you are right. I see many people making a portfolio, your mentor plays a vital role in your success. One work without mentor is difficult but when he explains all the facts and figures to us, our chances of success increases. There are big businessman that start from small business, now they are enjoying a successful life. When your father supports to stand a business, it gives happiness to person because in way he engaged his father very closely. More the strong relationship, more will be your success. If a person has a skills, he can work at any place of the world and can earn money. Business failure chances occur, this risk can be minimize. The people who take calculated risks in their life, they will be successful at the end.

You're right about that. But more often than not these large scale companies have safety features and contingencies that would keep them from drowning especially during precarious situations. Plus small companies are more prone to committing rookie mistakes in the business world so this post goes out to everyone who's trying to become an entrepreneur thinking it would all be rainbows and sunshines when the fact couldn't be any more different.

Small or Large business risks and problems come, but large companies has their safety nets to support them when shit hits the fan and they lose their footing. To small scale businesses these kinds of mistakes are something they just can't afford to commit, which makes this all the more important to them.

Business fails and not only with small scale enterprises, other big businesses failed as well and cease from operations, there are many reasons that could have led to having a business failure in what we do sometimes because we are not careful enough or not being vigilant to have sensed it coming, most of these occasions of business failure would have been giving signals to serve as indicators but when we don't make plans then having failure becomes an inevitable consequence.

Well to be fair, there's still a lot of people who have planned a lot of things even the back up capital things, location and target audience things still they haven't managed to success. Point is not all things are going according to the plan so it's either you have plan A and plan B, if its still doesn't work for sure it's either not in demand business where customer doesn't buy it. As you said businessman can be successful if he proceeds with the right experience, so those failures can be either work as a lesson or just experience for your business journey. If you take those failures as a lesson to growth for your business for sure you would point out the things that hinder your success. And I agree that if a businessman doesn't even have a goal and have a just go with the flow mindset will be having a hard time to succeed as they don't look at the brighter side and the potential of their business.

Yes, that's right, they came as people who didn't know anything about what they had to do and what they had to prepare for. That's right, in business planning it is very important because that is the only framework for us to run it, as you said a businessman must know his vision and mission, conduct market research and what opportunities will be taken under certain conditions, and of course they must also know the needs of the local community. Today's business competition is very tight, many other competitors have created many advantages in their products, they are doing very well because they have clear goals. So that's right, how to be successful in this field if you run it without any preparation or knowledge, at least you have to know some basic things in the business that you are going to run.

You see, many of them fail and stop halfway, because they only do it by relying on courage without any knowledge, it's very reckless and in vain, just a waste of money and time. So in essence, if you want to build a business, the first step you have to do is do market research, adapt to the environment, find out what society really needs and you can fill that void with the products you have, try to make it useful for society so that your business can last a long time. And besides that, I also emphasize that you must also have a warrior mentality, never give up because business competition is very tight.