Be absolute to minimise your company size, but to expand your client base. — Goal for 2020.
For real?
Minimising your entrepreneurship could make you focus on your specialty and self-growth. It is time to gather “energy” in the Chinese saying goes; Quality, but not quantity. Simply it meant.
Focus on your clients’ voice and the markets demand. The direction is how we could cope with cost management, and to win in pricing competition. Thus
establish a long-term competitiveness based on capabilities.
The regrets from a big-scales Holdings group — from “know-it-all” to “exclusive service/product” strategy.
So, there is this central big holding company that has 3000 sub companies and in which, 90% of its annual profit comes from two financial businesses, ie, banks and securities. However the group leader once mentioned, if only this holding group could be more focused back then and it would definitely create more wonders and miracles from these two segments…
At the very beginning of this central company’s began to set up, this leader felt that there were prospects to develop various industries and was reluctant to let go.
The word, GREED.
is not an uncommon phenomenon. Not only it happens in the big cake of mainland of China or in Wall Street. It is everywhere. Never; Never search for various opportunities and with the mindset to earn even referrals from various prospects; Market is getting intense, whoever the first-movers would be of advantage, yet it exhaust the entrepreneurs determinations and “energy”. At the end of the day, lots enterprises lost their focus. Dilemma.
In the current market environment, entrepreneur must learn to make the company small yet refined, and unswervingly focus in the areas that s/he is good at. Here are some suggestions for your reference.
Suggestions number 1: ASSET-LIGHT; TALENT-DRIVEN.
More often than not, bosses would rather spend millions on machines but not to hire good consultants for his company. Bosses would also rather, to hire “yes-man” staffs, they feel that these kind of staffs are suitable for corporate culture and goes along with the boss’s preference; And those really capable people are often being casted away.
DEAR Boss, be sure to get rid of “asset-complex” mindset, it is time to dispose spoon-fed colleagues and staffs, focus on those that could walk along with company’s vision, timely raise the staffs’ value and analyse them based on different task. In time to come, it is always a wise choice to put them into the positions in which they are good at, but not judging based on personal preference.
Suggestions number 2: TIME IS MONEY, EFFICIENCY IS the MISSION.
We often preview’s a company capabilities based on the company’s size and scale. We asked how many staffs a boss has, where is his company’s location, and how big his capital is.
From now on. Let’s get rid of this mindset.
In fact, the future is with the small-scale companies, as they are usually cost effective, as to compare to those large companies with superb head counts and expensive rentals. If only you could do better than the big companies, in pacing, in pricing, in branding, and more humane. Such small scale company could definitely out-stand the larger ones.
Dear Boss, So in future when big company’s ask you about how big is your company size? There is nothing to be ashamed of.
Suggestions number 3: FOCUS ON THE MARKET STRATEGY, BUT NOT MASS PRODUCTION.
In today’s era, the aim is not on production but market value and customer needs. Unfortunately many domestic companies are lacking of professional Supports in market and industry research. Which production would entirely depending on boss’ personal assumptions and experience. At a certain scale, to steadfast his entrepreneurship and to grow along with the market, such boss must be customer oriented to sustain long-term competitiveness.
Dear Boss, we all talk of marketing strategies, all the time. But when it gets down to the real business of doing, everything suddenly gets forgotten. Be sure to strategize a plan of action, and think of what you are supposed to do as a target audience, a user, a customer. This would flesh up what exactly one company should be doing to hinge its better branding.
Suggestions number 4: FOCUS ON YOUR TARGET CUSTOMER, BUT NOT SALES TARGET.
Wait a minute? not sales target?
A note from https://www.seedling.agency/blog/pricing-strategy-price-war.-what-is-it-good-for:
If the competitor provides:
Less Value — Do a better job communicating value
Same Value — May need to price match or wait it out. Could be a market penetration strategy by the aggressor. A market penetration strategy should end with a price increase by the aggressor. Such behavior from your competitor may lead to customers returning to you since they feel cheated by the competitor’s price change.
More value — The danger of a price war begins. The aggressor is trying to use a market penetration strategy. If the competitor is not raising the price to normal levels and not getting the hint that they are pushing prices down, you may need to look at how to reduce costs, and price appropriately using Value-Based pricing to keep the same amount of profits.
The recent trend is with few hundred bucks, one could provide a viral video as long as 3 minutes. thanks to the power of social media and KOLs, in that case, what could those high budgeted production house survive?
Price war will never end. Don’t compete on price, compete on value. First of all, we ought to understand the client’s needs, what is the suitable content? and how we could maximise the value?
Dear Boss, be clear that your business of the enterprise must be valuable, and it must be clearly understood whether the purpose of the business is based on cost considerations or value considerations. What is your goal? and you can’t just target ALL age group and ALL categories; focus!
