Survival V/ S Growth Business Traits
The results that we get in our day-to-day life are only when we finish something not what we have started.
Table of Content
1. Introduction
2. The Survival Business
3. Growth Business
4. Conclusion
Introduction
There are so many businesses in this world, whether it's a Manufacturing business or a service business. Whether it's a physical or virtual business in its nature the traits of a survival business and growth business will make a difference in the entrepreneur's life.
Sometimes we unknowingly do things we do as per our gained knowledge over a while. In the survival business, work-life balance is always a challenge.
The Survival Business
- Focuses on monthly survival
The Survival Business focuses on monthly survival.
What does it mean?
The entrepreneur or the owner of the business focuses on how he or she can meet the business expenses and make some profit for themselves.
Examples may be like this pay the interest EMI, employee salaries, credit card bills (All the business Expenses whether fixed or variable in nature) on time including applicable taxes, and how they get some profit at home.
Celebrates the survival of the business on month on month basis.
2. The survival business entrepreneurs have expertise in products or services but are poor in income-generating skills like marketing and selling of their products or services.
The thought process is as under:-
A. Customers will come to us because of our great products or services.
B. They have allergies to the marketing and selling process. I don’t like marketing and sells.
C. My work will speak, and good products will automatically sell.
D. Customers will come to us. etc.
3. Reactive in Marketing and sales
Reactive in Marketing and sales, dependent on word-of-mouth referrals, and more than 90% of business revenue comes from existing Customers only.
If the business is dependent only on a handful of Customers. then these customers hijack their business by providing long payment cycles.
Suppose the Customers are given the 90-day payment cycle even though they are making the delayed payments.
They struggle with an Inconsistent income cycle.
They do not focus on a systematic marketing activity.
4. Survival business is an owner-driven business.
The bottleneck of the survival business is the business owner himself.
Fear driven psychology.
What if I train the employees and they leave the company?
The owner wants to be super superhero.
Relating all the above traits of Survival Business, it will come to mind what is next or what best we can do to excel in this journey to make a bigger or a long-lasting business.
It's a journey from a struggling business to a scalable business.
In this post, we are not discussing the scalable business but we are going to discuss the traits of Growth Business.
One step at a time.
Growth Business
1. Focus on scale and expansion
The focus of business owners is on the scale and expansion of their business from the current level to the next higher level.
The questions are as under:-
How we can reach our set goals?
How can we create a good team?
How can we evolve as a business?
How can we build powerful systems? etc.
2. Good at marketing and selling
Entrepreneurs of a Growth mindset have great products and services as well as good in marketing and selling.
3. Marketing is a value addition game to the target audience or the Customers.
They make an 80% effort in value addition during marketing activity.
They make a 20% effort in selling products and service promotion.
They believe that only sales will fail. but Adding value to the Customer’s life will put them in business forever.
It is a powerful, effective, and ethical way to grab the customer when we do 80% value addition and 20% sales.
4. Growth business is a system-driven business
When we develop excellent systems in our business and create a good team to handle these systems then these systems will drive the business to the next level as per set goals.
They follow GPS It is not a global positioning system but it's a Goal, Process, and System for the business.
If you do not have money hire at least one person.
Because without the team we will become the bottleneck for our own business.
Conclusion
The journey from survival to growth will start with setting a Vision Mission, and Goals for the long term, and creating a team and leadership to implement the set goals at the shortest time with all odds in the journey.
The results that we get in our day-to-day life are only when we finish something not what we have started. Hence always try to finish what you have already started.
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