In the entrepreneurial world it is accepted that talent alone is not enough to be successful. When a business starts up or expands it calls for extra input. More attributes are needed like faith, enthusiasm, initiative, focus, physical exercise, perseverance, an inquiring mind, character, relationships, responsibility and confidence.
Makamba Online gives you a brief on how to expand your business in Africa. We value your views on business expansion in Africa, share with us below.
Think about the history of the country. While the product and service offered must be of the highest quality, it must be affordable. A profit must be made, but do not exceed limits. There must be fair value for money. To be a successful entrepreneur one must also have a competitive advantage.
- Know what you need to achieve
Once a master, make sure there is a market for the product or service and be realistic about what can be achieved. The vision and company strategy must be as simple as possible to communicate, so that everybody can understand it.
- Everything starts small
Know that nothing in life begins ‘big’. To make it big, one should keep to a dream. A dream should be achieved through hard work. Entrepreneurs should dream big but they should put in extra energy and determination to achieve desired goals.
- There will be setbacks
Hang on to a dream even when there are setbacks. Entrepreneurs’ experiences and research has shown that the well-known business leaders in the world have accomplished success by hanging on to a dream. If you want to expand, be resilient and be patient, success takes time.
- Decide on opening another location
This might not be your best choice for business expansion, however, that’s what often comes to mind first for so many entrepreneurs considering expansion. Physical expansion isn’t always the best growth answer without careful research, planning and number-planning. It also varies with the kind of business you are doing.
- Offer your business as an opportunity
Offering opportunities to other help you as an entrepreneur in regard to business expansion. For example, when people have a vested interest in their work, they enjoy it more, bring more to the table and are more successful overall thus franchising is a perfect system to accomplish growth goals. You decide on what suits you the most.
- License your product.
This can be an effective, low-cost growth medium, particularly if you have a service product or branded product like software. You can receive upfront monies and royalties from the continued sales or use of your software, for example, or even a name brand. Licensing also minimises your risk and is low cost in comparison to the price of starting your own company to produce and sell your brand or product.
- Find an alliance.
Aligning yourself with a similar type of business can be a powerful way to expand quickly. It is difficult to form alliances with competitors. You can, however, try to form alliances with some businesses in your industry. If you are publishing books, for example, make alliances with newspaper publishers, printers and magazine publishers. You will learn a few things and they will link you to their markets.
- Should you diversify?
Diversifying is an excellent growth strategy, as it allows you to have multiple streams of income that can often fill seasonal voids and, of course, increase sales and profit margins. The good part of diversifying is that your businesses will be group in one bigger company and you may end up linking your markets. For example, if you sell furniture and clothes you may link the two markets. However, good reputation gives you the credibility to approach much larger customers.
- Be present on the internet
Bill Gates said that by the end of 2002, there will be only two kinds of businesses: those with an Internet presence, and those with no business at all. This might be more than real but an effective Web site is becoming an integral part of business today.
Author: Gesture Chidhanguro