by Larry Sharp
What is the opportunity?
By failing to prepare, you are preparing to fail.
– Benjamin Franklin
IBEC’s first consultant and later CEO, Ken Leahy drilled into me, “You do not have a business if you do not have a customer”. Since then the key question for me is to identify a meaningful business opportunity early on. Vision is important, but it cannot be the key component at the beginning. Do you have a customer? What is the problem to be solved? The answer can be derived from research and counsel, but it is important to determine the need for the product before moving too far toward planning and product development. Some call this the value proposition and it articulates why customers need the product or service. With no need, customers will not pay, and without sales, there is no business.
A couple planning to start a business in a large Asian country came to us with an idea. They planned to make wedding dresses in the country at a low cost and market them in the USA for considerable profit. The idea sounded good to everyone they discussed the idea with. Fortunately, they retained a consultant who pushed them in the direction of robust research and analytics. The day when everyone realized there was no ‘business opportunity’ here, there was sadness and tears – it seemed to be the death of a dream! Read more