The Basics of Building a Business

The Basics of Building a Business-Halo, entrepreneurs! . Today I'm going to share some tips about the basics of starting a business. Yeah. What are the preparations? What do we have to know? What are the things that we must learn, so we can create a strong business. BASICS OF STARTING A BUSINESS (PART ONE) I assume that a business is like a tree. Right? The tree is shady. Let's say it is a Banyan Tree. It's so shady and its root is big strong. Of course if we want to start a business, we must be clear and focus about how the tree image would look like, how big is our business would be. That's what we call as vision. So you have to imagine how would the image of your business would be. "I have a branch, I have a concept, I can make it online, I can have.." And so many other different images that you have for your business which right now is not formed yet. So it is important that if you have a business, you must imagine its vision first. Okay? If you realize, the plane did not even exist. 

There was no cellphone. Right? So many thing that did not even exist back then. A book, a car did not exist. But people started to think from their imagination. They were thinking about a thing that can fly carrying people from one place to another. Then it was created. From their imagination which turned to be a vision. Finally, a plane was created. So is your business. You have to think about the clear image about your business. Maybe it's something that doesn't exist now, but will exist in the future. Okay. But, if we see a business, so this would be strong. Where does the strong tree come from? If we plant, or if we sow the seed, what does the first thing appear? The first thing is the root, right? The root is the most important thing. This root is so important if you own a business. It is what we call as FOUNDATION. There! If you own a business that has a strong foundation, the whole tree will be strong as well. But, if the foundation is not strong enough, the whole tree will be easily be shaken or even crumble down. So the foundation must be strong. This foundation is the root. 

The root must be strong. So what is the foundation mean? Firstly, it is where you put your vision and mission. Vision is something that maybe you haven't got any idea about it yet. Still in your imagination, still in your dream. But, you really want to reach it. For example, there's a modern business right now. It was unimaginable by any concepts that through online we could access the people all over the world. It was not exist, but is existing now. That all started from the vision. Vision is something that did not even exist could become exist. A mission is, "What is your mission in this business?" For example, you own a business, let's say a good modern business that's happening nowadays, let's say amazon.com . The owner had a mission to create a shop that sells almost everything. 

Literally everything. From small parts to the biggest things. So it's easier for the people to buy anything. That's the owner's mission. How to make people easier to buy any product at his shop that sells everything which is an online based. That's one of the missions. There's is another company which has a vision that says, "I want the people who shop at my shop is at ease. Like going outside not more than 5 minutes to reach the shop." So the mission is to get closer to the customers, so it's so easy if they want to buy everyday needs. Just spare 5 minutes time to reach the shop. And the shop is so comfy and everything there is easy. That's mission. So what is your mission for the business? There's another company's mission that says, "I want to educate the society and the country through learning center." What's your mission? It's the most important. Not only vision, but also mission. What is the motivation? Okay? Ah, wait! There's another example of mission, so you can get a clearer explanation about it. 

Disney. Do you know Disney? Walt Disney had a mission which was, "I want the people who play in my place forget that they already a grown ups." "Because I make it comfortable for people to play around. It's beautiful and refreshing." That's important. Because most of adults are stress over their job and so on. They need a pretty place. That's mission. It's clear now about this vision and mission, right? Secondly, the foundation consists of money or financial. It's also one of the foundation. The point is, you have to know this in every business. At least you have a target. The target to reach the goal. How much is it from your business? For example, let's say you have a mission to own an online shop that sells fashion stuff, products, and services. You have to know how much the turnover and the profit that you'll get. For example, you own a fashion business. You have this vision of having a fashion business. An online shop that sells clothes. You try it first. You can try to buy from a marketplace. You buy this cool clothes for only Rp. 35K. Then you go to your website and sell it for Rp. 55K. So the profit is Rp. 20K. A good start. Then you buy several kinds, 5 different kinds of clothes. 

You buy them. Let's say you buy from the marketplace for Rp. 30K, Rp. 50K, Rp. 40K. You sell it on your website : Type 1, 2, 3. You sell the 30K for 90K, the 50K for 150K, the 70K for 200K. Apparently, the profit is quite big. You can see the turnover from your website. Imagine you can get the big turnover from just 5 kinds of clothes. So this can grow big. You can calculate if you do it daily and consistently, how much the turnover potential that you can get. Only from selling clothes. Think if you also sell food or any other products on your website, how many percent is the growth? Even more if you can sell services. 

So you have to think how much the potential that you can get from your products? If you're selling services, let's say you can do electronic and computer services, You can help your friends who are having troubles with their computers. You can fix it. The computer is fixed then you'll get some tips from your friends. But you don't rate your service to your own friends. Let's say your friend give you the tips for a certain amount of money. Then you wonder, "I can get the money only by doing that." If I make a promotion, if I create ads, if I do it more professionally, perhaps I can get more money only by doing that kind of service. Actually, you can predict how much is your turnover in your work, your service, or your products by thinking the strategies. That's financial. Okay, so financial is about the turnover potential. So whatever your business is, you can predict your turnover and also the profit. You predict your business. Moreover if the business is trending at the moment. 

So you must see the business trend, and think about how many percent that you can earn from your business. That's financial. One more thing. It's about quality. So first is vision mission. Second is financial. Third is quality. So whatever your business is, you have to give the best quality. Something that's more beneficial for the customers. Let's say you own a cleaning service business. Is the cleaning service good or not? Don't say that you are a cleaning service specialist, but you don't qualified in cleaning. It doesn't represent the ads. Not qualified. It is too often that quality is compared to the price. If you say your product is good, how qualified and good is it? Is it proven through test? It's important. So you have to give the quality that deserves the price. 

It means totally qualified. We can match the quality with the price. People tend to think with this quality, they can get what kind of result? So it fits the price. For example, if you want to get on a plane then you decide to fly with Singapore Airlines, you'll get a more expensive price. But, you'll get a better quality. They have in flight Tv on demand. But, if you choose a budget airline, maybe you'll get a cheaper price. But, you'll get the same quality inside the plane. The same comfort, the same speed, all the same in the functions. That's quality. So quality is how you can give a service or a product that deserves the price to the customers. Don't give a high price with a low quality rate. People will be disappointed. 

Don't make promises. And the quality has to be consistent. Let's say you have a Padang Restaurant, the food quality has to be the same. The quality of breakfast meals, lunch meals, and dinner meals should taste the same. Let's say the food in the morning is still fresh, the chicken tastes good. But when it's in the evening, the food are less seasoning or else. Don't be like that. That's not consistent. That's quality. So, ladies and gentlemen, and the entrepreneurs, I will continue in my second tips about basics of business to build a strong business. Fist of all, let's focus on the foundation. I repeat, the first is the foundation from the root. Vision & mission, financial, and quality. Ladies and gentlemen thank you for watching. I hope these tips will be beneficial for your business growth. And I hope your business will be advanced, and become successful. Thank you. Entrepreneur spirit!

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