Wednesday, 6 March 2013

What You Need To Know As A Business Owner?

As the CEO of your company, part of your responsibility is to know your business, your industry, your competitors and your customers. Frank De Raffele shared 4 things a CEO must know about his business in his article,Four “Knows” to being a great small business CEO”

1       Know What is Happening in Your Industry Now
 Having this knowledge will help you determine how events in the industry will affect your business over time, as well as preparing your business for the future. You need to know what is trending and how it is relevant to your business. Not only do you need to know where the industry will be but you need to know how it is going to transition into the future.  
Don’t wait until everyone knows what needs to be done before you, else you will be playing ‘catch up’ or ‘keep up’ and that will be hard when they have a bigger budget than you do. Being current earns you customers trust and builds your credibility in the industry. Adapting is easier when changes occur in small than in big business.

2.     Know That Technology is Your Friend
A recent study showed that over 70% of small business owners are yet to adopt technology in their businesses. Successful businesses are leveraging on the huge benefits of technology to lower cost of operation, and at the same time, reach-out to more actual and potential customers.
Technology, whether in form of new software, smart phones, websites, internet marketing, gizmos, gadgets etc. If it can help you market, sell, run or manage your business more effectively then you need to know about it and use it even if it means engaging someone to keep you up-to-date on the newest trends in technology in your business.

3.     Know When Your Target Market Shifts.
 Do you know the demographics of your customers? Market characteristics are changing very fast. The set of target market you had maybe 10 years ago has changed. Even if they are the same people, their style of decision may have changed and even the factors that influenced them to buy years back may not be the same today. Make efforts to identify changing variables within your customer base. You must be strategic in your thinking and your decision making. Don’t always rely on yesterday’s sales record; know when the customers are moving.

4.     Know and be the leader that is needed.
Don’t just be “a” leader, be “the” leader that is needed.  As businesses grow, shrink, struggle and thrive, your employees are watching to know how you react to crisis.  
 As a leader, your employees will respond to situations in the business as you respond. Show them that you are capable of handling crisis, and that you can lead them out. The more respect, confidence and trust they have in you, the more influence
you will have with them. Be the leader that they need, not just who you think you should be. As the CEO it is important to know the pulse of what is going on with your people.

Culled from:
Four “Knows” to being a great small business CEO by Frank De Raffele.
March 7, 2011 Hudson Valley BUSINESS JOURNAL

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