Dec 17, 2008

Business Rule #2

The Peter Drucker Rule: "The sole purpose of business is to serve customers." (Hess, E. D. & Goetz, C.F.)

Many people believe that the reason of why they start a business is because such decision will fulfill their dreams and passions. While such assumption is not wrong, people have tendency to fail to identify the real reason of why they started their business at first place.

The fact to the matter is that, nobody starts a business only to make his or her dreams come through, even though this may be one of the main reasons of why people decide to start their own business but, it is very common to find entrepreneurs that seek to provide a good or service that nobody else is currently doing it or that, at least, that the product or service is not been offered in the way that he or she wanted to and because of such assumption, when people go on with his or her idea to open such a business, it is very common to notice that people will practice such business in a way that will satisfy him or herself and, consequently, the business owner will have the tendency to forget the real reason of why he or she is in business for.

Nobody should start a business thinking that such business will exist to fulfill his or her own needs. Businesses exist to satisfy their customers by fulfilling their needs and not their owners. In fact, entrepreneurs that fail to recognize such an important principle will be committing a serious mistake in starting his or her own business because it will certainly fail.

Businesses exist for the simple reason of satisfying and fulfilling a need for a product or service that is not currently available in the market place or that is not been offered at the desired level for their customers, therefore, those who are planning to start a new business must understand this vital concept and carefully analyze his or her business plan to assure that such fundamental principle is carefully crafted into their business strategic planning.

By: Joe Nogueira

No comments: