Two business strategies that may lead to mistakes and the winning moves
Startup founders usually have a limited budget and in the beginning very often take on everything themselves, from basic administrative tasks to strategic planning. As the enterprise grows, this becomes increasingly difficult and starts to lead to problems. We reveal two of the most common dangerous business moves and what can be done about it.
False economy
When it is not possible to pay the best in the industry, it seems logical to seek the services of lower paid employees. It just seems that way, but everyone knows that when there are two products on the market and one is cheaper, it is most likely of lower quality.
Indeed, people should not be seen as commodities, but their skills are what businesses pay for and anything else is a false economy. Staff strength is crucial, especially in the beginning when everything is at stake.
It is wise to wait months, if not years, but professionals should be hired to make sure the job goes smoothly.
The way out: In the absence of an opportunity to pay expensive specialists, it is worth considering other forms of motivation. For example, if the startup idea has good potential, employees can be offered a share of the company. This is usually a win-win situation.
Nothing happens without me!
It is very likely that the entrepreneur will decide that no one can do the job better than them. Or they fail to properly delegate duties and functionally distribute work among their employees, because until now they have done everything by themselves and everything seems equally important to them.
The way out: In what area is their involvement most needed? Negotiations or finding investors, programming or marketing? The answer to this question is the key to the correct solution of the task. And as Forrest Gump says, “Whatever you do, do it wisely and for a reason.”
