In business, everyone is susceptible to poor decision-making. The learning curve can be a sharp one and can cost you financially as well as waste valuable time. Many a wise businessperson will state: "Time is money and money is time."
The solution here is to learn from pitfalls along the way and move on. So, here are five common mistakes people make and the best solutions to overcome them.
Women by nature do tend to over commit. They have been so well socialized that being there for everyone and making promises to anyone is second nature. In a way, a woman has to think like the "stereotypical" male. Men focus on one thing at a time. As women in business, it important to get smart about being over-committed! Men delegate and feel very little guilt about it.
Considering the Job is Done After the Sale
To assume the business deal is done once it closes is poor thinking. A client that has bought into you or your ideas and systems, is like a gold nugget, so it is in your best interest to treat them as such. Remember, your client today can bring in your client for tomorrow.
Make that your mantra. "A client today spells more clients for tomorrow". If you are in sales or motivational type management then create a mantra around this concept. The more ingrained this idea is, the better your prospective sales will be in the future.
Not Understanding Your Market
It would be silly to sell fur coats in Africa, unless of course you had seasonal goods all year round, but even then you have miscalculated your market since fur is one of the warmest materials you can wear. Here, of course status could work and so could luxury. Why corner and limit your market, when you can instead understand it and conquer it?
If you are still determined to sell fur coats in Africa, then get to understand your market well. In this case, this would be a very small and niche market. When one coat sells for $10, 000, then a small niche can be a good idea.
Not Having a Business Plan
If ever you go for a personal loan to start up your own small business, the first thing the bank will ask you for is a business plan. Any good strategist hell-bent on success has a business plan. The business plan must be interchangeable and also be per year and per quarter. If you have no idea on how to draw up a business plan, then get some advice. Most business plans will have concepts like current goals; start up finances, customer base and financial projections.
Don't Rely On One Single Source of Income
Our grandparents had a good saying, "Don't put all your eggs in one basket." Today, people know that they do not get the gold watch once they retire from a company. Instead, people are finding multiple ways to make income, so that if one falls away another kicks in. There are many ways to spread your expertise and many people have more than one area of education or ability to share. Perhaps you are great at giving advice regards financial matters? Then try and find a column to write.
As you can see, mistakes are common in business. The key is to catch it early and correct it. What was the biggest mistake you’ve made and how did you rectify it?