Writing to Show Cause and Effect (Causes of business growth and failure, marketing, business trends) - Research Paper Example

Causes of business growth and failure, marketing, business trends Introduction The main purpose why businesses are established is to maximize on profits and minimize on its expenses. Business people come up with very successful business plots that can be effective when properly managed. However, due to some of the limitations and depending on one’s preparedness the chances of prosperity are determined. Business growth is impacted and withheld by a number of factors. From this perspective, this paper will discuss causes of business growth and failure, marketing, business trends. Some of the factors in the market favor prosperity of business ideas. Anyone getting into business should be ready to face the risks involved. Before the implementation of a business idea to a real thing, one needs to be aware of some factors like availability of market, availability of capital and the competitors. The owner of the business idea should weigh between different options and settle for the best and legal option. They have to consider the niche in the market that they are going to fill and the likelihood of the idea developing to a big reality. Study experts say that, one does not engage into any business activity before they get prepared for the risks and challenges in the market. They should equip them selves with proper management skills, good customer relations, and perseverance to tolerate the challenges in the market. Therefore, this enhances the business to stabilize with changing times (Gitman, Lawrence, and McDaniel 348). Failure of business ideas, triggered by failure of proper market evaluation and which triggers poor marketing of commodities and this makes a business loose its customers to the competitors. Customers should be the main thing that any business should aim at satisfying; profits come second to the satisfaction of customers (Blythe, Jim, and Zimmerman 386). Some of the businesses focused with short-term goals of attaining profits instead of first creating the basis on the market for where to market their goods end up not securing their positions in the market and hence their closure. Research in the market revealed that, some of the inaccuracy failures are avoidable if they had focus on the real factors that are challenging in the market. By focusing on long-term goals, it will prioritize the consumer needs, enabling their establishment. The business owners should handle any incompetence in the market by themselves. By consulting from survey respondents, they may end up getting the wrong picture of the market strategy. Studies reveal that, some of the surveyors only aim at impressing the business owners rather than giving them the real picture of the situation. The business owners should therefore, aim at running their enterprises carefully. They should not base their performance on research results. Otherwise, they should blame the government and other financial institutions for their failure (Hutt, Michael, and Speh 110). As businesses grow, the owners should now turn their plans on how to maximize their profits by trying to achieve economies of scale and how best one can achieve it. By this level, the business owners have usually established the products that are on demand and should therefore, set a price that is affordable to the buyer and is favorable to the seller (Czinkota et al 87). On addition, for one ensure they satisfy the changing demands of customers in an effective way, they should be flexible and be ready to face conflicting interests and also other risks in the business. They should be ready to listen to customer opinions, adjust, and avoid repetition of same mistakes. Research showed that, most of the entrepreneurs who prosper are those listen to advice, complains from their consumers, and therefore, adjust for their durability in the market, and attain their long-term aim of earning profits (Gitman, Lawrence, and McDaniel 348). Business owners should also exercise proper accounting of their finances. The finances are crucial, close monitor is necessary to ensure proper record management, and handling of finances. As the business develops, then the need arises for a more specialized individual to check on cash management and maintenance. Over-expansion of businesses may result to the business venturing into unprofitable markets, which rather damage the progress in the market affecting its economies of scale. Moreover, as the market develops the business may loose its prominent customers also increasing the financial constrains. Hence, this raises the issue of specialization in handling the different sectors (Hutt, Michael, and Speh 124). The business should have an effective management team that should be capable of doing some of the main tasks including planning and setting the business objectives and directives how to achieve the targets. He should ensure that the administration organizes the working activity and assigns duties to all workers and giving each their responsibility, they should offer training and develop the skills of their workers to enhance the output production. For workers who do not meet the standards of the enterprise can be laid off or be pushed towards achieving the goal of the institution (Blythe, Jim, and Zimmerman 386). Marketing of products for any business affects greatly the stability of the enterprise. Some of the marketing strategies that any business enterprise can develop include sales representatives, road shows, giving gifts and samples and also placing adverts on social media like televisions, radio and the internet too. They draw customer attention into buying new commodities in the market. The most reliable and cost effective way that is likely to pass information to many individuals is the use of social media. They can be used to convincing the consumers on the use of commodities and this increases the number of sales. It is necessary for enhancing the establishment of new businesses in the market (Czinkota et al 87). Some of the trends that some businesses have embraced to enhance the progress of activities by the business that help build its publicity and increase public awareness of its existence. These trends involve business-to-business relations that focus on promoting the welfare of each other. They help each other establish in the market by creating ties between them. They also help each other in the management of finances and proper planning for to ensure that production changes with the changing times and needs (Blythe, Jim, and Zimmerman 386). Other trends that have emerged and the businesses should embrace are the new technologies that foster proper record keeping and ensure security and privacy of information. Study has shown that, by trying out the new technologies, businesses will be able to serve their clients faster and in a reliable manner, and therefore enhancing their output. To add on some of the upcoming trends, payment means have advanced for both security reasons and efficiency. This enhances proper management of finances because the amount of cash to handle reduces (Hutt, Michael, and Speh 64). The enterprises can also enjoy the new methods of mobile marketing that is enabled on most mobile devices. Photo sharing has enabled the business owner to demonstrate their commodities and premises to a greater global market. To conclude, business ideas implemented into the market face many challenges as they develop and hence, the need for business owners to be keen on management. Proper management is the key factor; it creates the basis for business establishments. The business owners should be the key players in administration performing roles of staffing, directing, coordinating, and planning. They should also do research on new trends in marketing, management and enhancing customer relations. By keeping updates on new trends, there is a likelihood of the prosperity of the business. Work cited Blythe, Jim, and Alan S. Zimmerman. Business-to-business Marketing Management: A Global Perspective. London: Thomson Learning, 2005. Print. Czinkota, Michael R, Ilkka A. Ronkainen, and Masaaki Kotabe. Emerging Trends, Threats, and Opportunities in International Marketing: What Executives Need to Know. New York: Business Expert Press, 2009. Print. Gitman, Lawrence J, and Carl D. McDaniel. The Future of Business: The Essentials. Mason, OH: Southwestern Cenage Learning, 2009. Print. Hutt, Michael D, and Thomas W. Speh. Business Marketing Management: B2b. Australia: Southwestern, Cengage Learning, 2012. Print. Read More