Posts Tagged ‘market’
Every company will need to improve the efficiency in order to gain as much as possible profit. The use of modern technology like internet also creates new opportunities like the presence of global connection to create global market. Due to that reason, there are more companies that focus their business activities on online market. Some companies even only do their business activities on online market for more efficient business activities. As a matter of fact, creating online store and conducting e-commerce activities is simpler than creating conventional stores; the same things between the two types of stores is the need to have proper marketing activities and the need to have efficient business management.
Due to the simplicity of online stores and the practice of e-commerce activities made the staff can focus more on the selling and production activities. The warehouse management, the picking and packing of sold items can have the third party assistance from the fulfillment service company. Online stores may have less expenses due to the reduction of warehouse staff as well as warehouse rent cost. The AMS Fulfillment can be the perfect fulfillment solution for online companies in and around California to have warehousing solution as well as pick and pack services. It can be a smart move to improve the company’s profit with more efficient business activities.
Starting a business is a lot like starting a family. Once you take the plunge, you should be reasonably sure of sustaining it for a good period of time. Hence, before taking the plunge, it will be wise to plan a bit. Here are 5 important tips:
1. Do Your Own Research
Before deciding on the business you want to start, do some research. This should include the size of the market you are targeting, types of customers you will have, their tastes, and the extent and kind of competition.
In addition, a good study should also be done about the costs: rent, cost of raw materials, labour, and best location.
It is better that you do not rely on other agencies or friends for this. It is okay for big corporate organisations to hire research firms to do this, but you are not a big corporate.
Do not trust other people’s assessments before sinking your hard earned dollar on the business. Do your own digging, and planning.
2. Prepare a Business Model
A business model is a statement of your plan on how you intend to generate revenues, and how much profit are you aiming for. There are 5 main ingredients of a good business plan.
a) Size of the targeted market in terms of quantity and value
b) Cost of inputs and production
c) Expected revenues or total sales proceeds,
d) Rent, interest on capital, depreciation for furniture/machinery
e) Expected profits at the end of a quarter, or one year.
It is important that you prepare this business model with utmost honesty and accuracy, because the success of your venture will largely depend on the efficacy of your business model. Read the rest of this entry »
Business is not all about financing or profit making. A good businessman would always have the profit motive in his mind but he is always careful about the customers’ satisfaction. The customers can decide the fate of any business. A trading or manufacturing unit will be successful when the customers speak about the quality and mentality of the entrepreneurs. The promoters would at first target the local people to sell their product. Local advertising should be done in a manner so that the residents of that area can have a feeling about these products. And this feeling would help in the sales promotion strategy as these customers would promote all of these goods to their friends and relatives.
In this manner as discussed above the local business area would be expanded and the new market area would easily be located. The location of any trading unit would be such so that it would be easier to take the goods to the market area for sell. Strategy for local business marketing would be crystal clear among the staff members involved with the production, supply and delivery chains of any business unit. If the goods can be carried to the market within a very short span of time starting from their production then the warehouse or storage rent to keep these goods at any warehouse would be much less; at the same time the supply will remain uninterrupted and the customers will be pleased. In this manner the goodwill of the business unit will be higher than its competitors. Easy accessibility to the local market is very much important and the carrying cost should also be kept at a minimum level so that the main goal can be achieved. Local advertising is always done in a manner so that the existing customers would be the best media to promote the brand among the prospective and new consumers.
The fundamental business goal is to combine among different aspects such as raw materials, consumers, market, labour, sales strategy etc. Once the optimization of all these parameter would be possible then the trade would be called as successful one but this ideal situation would never be possible within a day. This is a constant process and a successful business personality would always try to combine among all the parameters. The ratio analysis can be a better option to judge the optimum situations among different parameters of trading or manufacturing. It can be debt-equity ratio, current ratio, liquid ratio, gross margin ratio etc. These financial parameters play important goals to decide the strategy or the goal.
As already discussed the sales promotional strategy would be very much clear and specific to the line of business. Now-a-day there may be different options available which can be used to advertise your brand. If the local business listing is published via any renowned web search engine then it would be very helpful for the existing customers to search any new product or manufacturer; also the new customers can get an idea about their requirements. In this way the interests of different parties are required to be satisfied.