5 Reasons Why Businesses Fail
| ← Management: Casinos | Business and Economics → |
Statistics show that only in the U.S. more than half of newly created small businesses cease to exist in the first few years. Of course, these data are quite capable to scare even the most confident. However, it should not be forgotten that the majority of such failures are very similar (Shelly, n.d.). Therefore, this paper is aimed to discuss five major reasons of businesses failures, because it is rather necessary to understand them in order to avoid similar hindrances while conducting their own business.
The first one is related to the ignorance of the competition. In recent years, the degree of customer loyalty was significantly reduced. Now the buyer goes to places where he/she would be given the best products at the best prices, therefore, they easily break the previous long-term business relationship for better and more interesting offer. Business owners should not lose sight of competitors and hesitate to learn from their most successful ideas; he/she can also copy the most brilliant ideas from the competitors, of course, without violating patent laws. In addition, on a weekly or monthly basis the director or the owner of the business should allocate some time to development of new methods, new product or a new service for his/her company in order to make it more competitive with unique value proposition.
The second cause relates to the low effectiveness of marketing. Regardless of the very common stereotype that there is now almost no services and products that can sell themselves, it is very good that a certain type of business is one of those who can, however, the majority of commerce centers need to have effective marketing strategy in order to improve sales performance. In order to make sales effective and generate money for business needs, products have to be well-publicized. If the business owner or the director simply does not have free time to engage in marketing activities, then it is needed to hire a qualified person for this. Effective and efficient marketing can sell the product by itself, getting money for the business development and performance. Therefore, it is extremely important for marketing to be on a high level.
The third reason plays a crucial role in business performance and it is the neglect of the needs of customers. If the company managed to attract customers, there should be a lot of hard, continuous, based on the researches and effective work in order to keep them in the future. Customer service should be admitted to the rank of the key aspects of business performance. If the owner and his/her employees do not do that, buyers will find someone who will give them what they want. Thus, for the successful business performance it is needed not only engagement, but also retention of the potential clients and regular once. However, depending on the sphere of the current business performance, sometimes it is more necessary to concentrate on the people who are already the regular customers of the company than to pay money for those who maybe in the future would became the company’s clients or visitors. This theory is approved by the experience of definite small business companies who are working in the luxury segment.
The next reason is crucial for every company because only some of them are working without hired labor. Therefore, incompetent staff hiring is the next reason of businesses failures. Employees are the people who are directly contacting with the company’s clients, they play the role of the facilitator between company and its customers (Ingebretsen, 2003). If the employees are poorly proficient, low motivated and ineffective, customers will find another place where they would be perfectly served and spend their money there. It is important to hire highly-qualified employees as they are needed for the various business processes. If somebody is taken for the work, it will be necessary to make sure that this person is really well prepared and can competently and efficiently handle all the tasks.
The last one but not the least important cause is connected with the absence of deliberate and well prepared plan of action. The business is a high-risk thing. During the business performance the owner or the director often faces all sorts of obstacles that can hinder the development of the business, or even expel him/her from it. For the majority for risk assessment and maximisation of business protection from the unexpected obstacles it is needed to develop the business strategy or create detailed business plan (Pease, 2010). In this case, the occurrence of unexpected, unwanted and unplanned circumstances will not cause any problems for effective business performance. It is also desirable to develop a backup plan in case of business ineffectiveness and unprofitability. However, even the existence of a deliberate plan of action does not fully insure the business. Having a detailed plan can help business owner to operate more effectively and change more quickly. Any effective change (improvement, corrections) in business must be performed step by step, point by point, and brought to its logical conclusion to bring as much profit as definite segment has.
Starting own business, inexperienced entrepreneurs often do not even think about how many obstacles can appear on their way. Problems appear like mushrooms after the rain, not only in the initial stage of business development but also during the growth of the company that is quite stable, causing considerable damage to the case. A business person needs to understand that a trouble does not arise out of nothing, that they are, above all, the result of personal neglect and lack of experience. Unfortunately, to completely avoid flaws in business is not feasible, but knowing about the most common of these can protect the one from the failures. The way to success is not so thorny if it is known what barriers are needed to pass.
Buy papers on business from our essay writers and get the original and premium-class papers!
- Business and Economics
- Digital Marketing
- Management: Casinos
- The Financial System and the Level of Interest Rates
|
Langley R.
Los Angeles, CA
|
|
|
One of the things that I appreciate most about EssaysEmpire.com, is that they don’t resell your paper. Only you own it, if you hire them to write something. Other writing services that I have used, just circulate the same paper over and over, and if you get caught turning one in, too bad. You are expelled. EssaysEmpire.com will even give you a plagiarism report after they run it through their anti-plagiarism check. Such details set EssaysEmpire.com above the rest. |
||
|
Zola R.
Salulita, MX
|
|
|
The paper that I bought from EssaysEmpire.com was a whole lot better than I thought it would be. Thank you for the excellent service and product. I will be happy to recommend you to my friends. |
||
|
Jennifer C.
Sulphur, LA
|
|
|
Your writer did a great job on my history paper. I didn’t have to lift a finger, yet I received an A+. I read the paper and felt like I learned an entire semester’s worth of information. That’s how good it was! |
||
|
Barry M.
Seattle, WA.
|
|
|
BRAVO! EssaysEmpire.com has done it again. I have just received another A+ for an EssaysEmpire.com paper! Thanks!Thanks! |
||
|
Brianne H.
Tampa, FL
|
|
|
The paper that I purchased from EssaysEmpire.com was well written. Thank you. I will have another order for you soon. Since I was so happy with the way things went, I see no reason to use any other writing service. Your service delivers the goods, just like you say you will. |
||
|
Royce E.
Dallas, TX
|
|
|
I first approached EssaysEmpire.com with skepticism. However, now, I have none. I am convinced that you are probably the best writing service on the Internet. Plus, you don’t overcharge, as so many writing services do. Thank you for the quality writing at affordable prices. You offer such a valuable service to students such as me. |
||
|
Phil E.
South Hadley, MA
|
|
|
So often, when one deals with customer service, he or she is treated rudely. That was not the case with EssaysEmpire.com. The agents were helpful and friendly, knowledable and concerned. I, for one, was astounded with their competence. When it came down to the actual written material that I ordered, it was much better than I had anticipated. There are clearly some expert writers who work for EssaysEmpire.com. I would rate this writing service as exceptional, 5 stars out of 5 stars. I will happily return when I need help with another written work. |
||
|
Delaine A.
Taos, NM
|
|
|
I had a question about the pricing. As I glanced through the EssaysEmpire.com website, I noticed that they were offering a lot for not all that much money. I spoke to a customer service person and she told me that the prices I saw on the website were accurate. Therefore, I ordered my first paper, not expecting all that much. What I got back was a brilliantly written essay that earned an A+ mark! Wow! I am impressed! |
||
|
Stephanie M.
Bath, ME
|
|
|
This is the fourth A+ in a row from EssaysEmpire.com! Thanks! |
||
|
Greg C.
Atlanta, GA
|
|
|
Your writing service is phenomenal. I love the fact that EssaysEmpire.com is even open on Christmas day. You never close, and that tells me that you are dedicated to students like me who might need help over the holidays or any time. The work you do is superior to that of other writing services. I’d say that overall, one simply can’t beat EssaysEmpire.com. Thanks for all that you do for students like me. |
||
|
Stephanie K.
Stowe, VT
|
|
|
Dear Sirs: Just a quick note to let you know that I appreciate your working on my paper so quickly. I did get it in time to turn it in for the deadline, even though I hadn’t given you much notice. I made a very good grade on it and was much relieved. Thanks again. You rock. |
||
|
Melissa C.
Rochester, NY
|
|
|
I am completely satisfied with the paper I purchased from your company. I only wish I had known about you last year when I took an F grade for not being able to complete a paper on time. The work you did was marvelous. Whenever I find myself falling behind in my school work, I will be sure to pass along some of my more difficult written assignments to you |
||
|
Tiffany E.
Monroe, LA
|
|
|
I am 100% satisfied with the writer that you assigned to my project. This person understood exactly what I needed, even though I’m not the best communicator and the instructions were tedious and difficult. I felt certain I would have to send my paper back for a number of revisions, but I didn’t. The writer was able to convey exactly what I wished to express and he did it in record time!Thanks for everything. EssaysEmpire.com is the greatest! |
||
|
Trilly M.
Spokane, WA
|
|
|
I just had to let you know how much I appreciated receiving a paper back that was of quality that high. I will recommend your writing service to other people I know. You guys do great work. |
||
|
Rob B.
Tulsa, OK
|
|
|
I needed APA formatting, EssaysEmpire.com’s writers gave me APA formatting. I needed 2000 words. EssaysEmpire.com’s writers gave me 2000 words. I needed an A+ on my paper to bring up my GPA. EssaysEmpire.com gave me a paper that got an A+. I am a happy person, thanks to EssaysEmpire.com! |
||
|
Cleo C.
Wichita, KS
|
|
|
To the writers at EssaysEmpire.com: Next week, I will be graduating with a degree in clinical psychology. Over the course of my college years, I have had to turn to you for help many times. Each and every time, you produced some of the highest quality writing my professors had ever seen. Because of you, I was able to keep a high grade point average and get into an excellent grad school. There are simply no words adequate enough to fully express my appreciation, so I’ll simply say, “thank you” and let it go at that. Please know that you are appreciated. |
||
|
Patti F.
Boulder, CO
|
|
|
I have complete confidence in the quality of the work that I order from your writing service. You have always been the prime example of what a writing service should be. |
||
|
Quincy S.
Cambridge, MA
|
|
|
You guys did a super job on my paper. The work definitely exceeded my expectations and eased my anxiety. This was the first time I had hired a writing service. The transaction was seamless. I would use you guys again in a heartbeat! No questions asked. You’re the best, hands down. |
||
|
Sylvia S.
Ardmore, OK
|
|
|
Dear EssaysEmpire.com, Over the last couple of years, I have used your writing service for a total of five times. I have never had the same writer twice, but I have had excellent results with the writers who were assigned to my projects. I could easily recommend you guys. You’re the greatest! |
||
|
Mike G.
Rochester, NY
|
|
|
Your writing service is different from other writing services. Yours is the only one I have ever dealt with that I can truthfully say is legitimate. The staff is very professional. The writers are the best in the business. I am pleased with the results of my last three orders and plan to return for more soon. |
||