Entrepreneurship has become the mainstream economic buzzword. It is supported b
y political leaders, championed by non-governmental organisations, reinforced by growing infrastructure of tertiary education and venture capitalists. As a result, entrepreneurs are now emerging from almost anywhere, in any shape and go any direction.The rise of entrepreneurship, which has been gathering speed over the past years, reflects profound changes in attitudes to everything from individual careers to the social contract. It signals the birth of an entrepreneurial society.
Against this backdrop, it is estimated that over 65% of the businesses in Zambia fail in their first year of trading. While there are several reasons for this worrying low success rate, one of the key reasons is that entrepreneurs often fail to develop and implement a comprehensive commercialisation strategy. They fail to make a roadmap that sets-out the detailed action plan on how a business will get to where it wants to go.
A sound commercialisation strategy also paves the way for access to funding, which is often vital to unlocking the potential of the business. Whether it is venture capital or debt funding, those providing the financing will want to know how it will be applied at every stage of the path to support the business growth strategy.
This is one of the key criteria most project or business financiers look at as part of their search for feasible enterprises even in their early stages. According to the business expert; Professor Gillian Marcelle of Wits Business School, there are three basic steps that need to be followed in implementing a successful commercialisation strategy:
Where are we now? –The first step in developing any strategy is identifying where the business is right now. This can be done through a (Strengths, Weaknesses, Opportunities and Threats – SWOT) analysis. It is important to identify the business’ resources, capabilities and distinctive competencies as well defining your actual business itself.
At each stage of the commercialisation strategy, it helps to confront some tough questions in order to develop solutions. You should be able to answer questions such as: what do we do, why do we it and how do we do it better.
Where do we want to go? – After identifying where your business is, clarify where you want your business to go. This includes identifying a clear target market and customer profile. It is necessary at this stage to set long term business objectives, outline key goals and targets and ascertain the kind of competitive advantages the business will need to achieve its ambitions.
When identifying where you want the business to go, you need to be able to answer questions such as: what is our unique differentiating position, how do we maintain this and how can we beat or avoid competition, and what type of pricing do we use to penetrate the market and remain competitive?
How will we get there? – The final step in a commercialisation strategy understanding how you will go about getting your business to where you want it to be. Set strategic actions and implementation strategies for each functional and business division. A detailed financial plan is critical, and how you allocate your resources is paramount in getting where you want your business to go.
At this stage you need to link your business to customers and their needs. Make customers aware of your product or service. Tell them WHY your product or service is better than others. Likewise, you should also understand what the customers’ needs in terms of the look and feel of the product or service.
Above all, Persistence is a very important attribute of a good entrepreneur. Whereas business owners can set clear-cut roadmaps: know where they are, where they want to go, and set ways of implementing their roadmaps; they need persistence.
Persistence is about holding on in pursuing a course of action
in spite of difficulties, obstacles, or discouragements. It is about single-mindedness; determination; drive; the quality of being unchanging or unwavering. It is about firmness of mind and faithfulness. It is an earnest and unrelenting application to an undertaking. That is what persistence is - sticking it out - not giving up - trying just one more time! Keep trying just ONE MORE TIME!!!
Budding entrepreneurs almost always face many obstacles: lack of experience, lack of funding, and lack of unconditional support from family and friends. Nevertheless, experienced entrepreneurs are mentally accustomed to those obstacles and find ways to overcome them. Indeed, over a period of time, one can overcome obstacles and one may even enjoy obstacles. However, this is not necessarily the case with budding or new entrepreneurs.
Entrepreneurs that normally start their businesses from scratch would be facing most challenging situations. Unless one has a family support, or already have a family running business. Otherwise upcoming entrepreneurs would have to navigate through toughest terrains of business mostly alone.
Entrepreneurs should develop mental skills to overcome any situations and able to think clearly. Especially, when under stress one should be able to take appropriate decisions keeping both short and long term needs of the business. Being persistent is an essential attribute of an entrepreneur. Without this attitude, one can hardly survive in the tough world.
One thing is common for all business startups: “it is always hard to take a business from startup to self sustainable venture.” By the time a business breaks even let alone profitable, the business owner could have tried to abort their mission and shut down the business. Frustrations and obstacles are common things in a new business. Many bow down to the pressure of a new venture and GIVE UP!
This is where persistent entrepreneurs standout as successful business builders. They get hardened by business bombardments. Such business owners are essentially resource hungry and they invest a lot of attention to capital, personnel, personal time, marketing, materials, management structure and systems, among other enterprise acumens.
To be successful one should develop right mental attitude of persistence and perseverance. It is easier said than done! Nevertheless, one can develop those qualities and become successful in building a successful business venture. Unfortunately, there is no magic bullet that can instantly change you into tough, confident entrepreneurs. Rather, one must begin a journey of self exploration and by creating self awareness that creates a strong character base upon which a new belief system can be built by replacing obsolete, dysfunctional belief system.
Life is like that. Just as you think your dream is not going to work out, just as you think it's time to quit - that's the time to increase your efforts. Whatever it takes to start and sustain your business – DO IT! It is really darkest just before the dawn, and if you don't stick around just a little bit longer you'll never see the sunrise. See the race through to the end and never give up on your dreams. Develop the habits of persistence and patience. And they ARE habits that can be developed and nurtured or allowed to wither and die. It's all up to you!
Optimism is also a very important quality of a good entrepreneur. For example, entrepreneurs like Donald Trump, Steve Jobs, Bill Gates or Yuri Mintskovsky were optimistic, ambitious, hard-working and so they achieved success in their business. They are great role models for us!
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