How to Run a Bussiness (Term Paper Sample)

How to Run a Business
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Abstract
The success of a business largely depends with the interventions involved in running the entire business. Principally, viable and appropriate strategies often deliver desirable results, while unreasonable strategies lead to mischievous business failures. It is upon this rationale that contents of this writing seek to establish ways of running a business. First and foremost, it is the desire of any business owner to realize all his or her business ambitions. Therefore, this paper evaluates how a business can be run effectively without absurd operational failures.
For purposes of this literature, the document has been divided into three main parts namely; introduction, body, and conclusion. The introduction exposes the purpose of study, and a rationale for why the study is significant in reality. Different types of businesses are also exposed under this brief section.
Afterwards, three main stages of running a business are exposed under the main body of this literature document. In order to gain a contextual phenomenon under study, the stages evaluated are; prior stage, starting stage, and the post starting stage. Under the prior stage, entrepreneurial qualities that can enable one to start a business are discussed broadly. Moreover, this stage entails ways of organizing, planning, and observing the development of an enterprise. Subsequent to the prior stage, the starting stage is exposed alongside its main attributes namely; cost control interventions, marketing strategies, and marketing research. Finally this part ends with the post starting stage whereby all aspects involved after starting a business are discussed accordingly. At this juncture, ways of keeping customers, expanding the business, and retaining business reputation are ascertained. To end with, the study concludes with a conclusion in which main points obtained from the study are highlighted at a glimpse.
Introduction
A business is basically an enterprise, organization, or a firm specialized in the trade of a variety of goods and services to consumers (Akwetey, 2011). More often, businesses are quite prevalent in most capitalist economies whereby, a majority of them are under private ownership with an aim of maximizing profits. However, in some cases businesses may be established as a state owned entity or a not-for-profit entity. For purposes of this writing, focus will be laid on setting a business for profit gains.
There are four main forms of businesses namely; Sole proprietorship, partnership, corporation, and cooperative. In review, Sole proprietorship involves a business owned by a single individual and functions for private gains. Partnership entails an enterprise under the ownership of two or more individuals. Consequently, a corporation is a firm with limited liability besides having a legal personality for all its owners. Finally, a cooperative is a business with limited liability that operates for-profit or not-for profit.
All the aforementioned forms of business are run by nearly the same method. In other words, the interventions involved in running a business apply to all the above mentioned categories. Businesses contribute highly to the growth of a nation’s GDP (Jennings, 2012). Moreover, through business, individuals are able to sustain themselves from income collected from the enterprise. However, for successful business, there ought to be an effective methodology of running the business. In essence, a clear and concise business plan needs to be in place for an individual to realize gains from his or her business.
Owing to the above alluded facts, this writing seeks to establish ways of running a business. Findings of this study are aimed at empowering individuals with a viable technique of handling and running a business enterprise effectively. Moreover, components of this writing will enable business personnel to reduce operational costs and other forms of expenses involved in running a business thereby maximizing profits.
Body
Running a business involves three main stages namely; prior stage, starting stage, and the post starting stage. The prior stage involves before running a business, while the starting stage entails the actual commencement of the business. Finally, the post starting stage encompasses those activities involved after the formation of a business. Under this section, all the above listed stages will be explained in detail.
Before Running a Business
The first thing before starting a business of any kind is establishing whether or not you have the basics of starting a business. Consequently, an individual needs to ascertain whether it is actually right for him or her to start a business (Yerkes, Decker, & Nelson, 2003). Here, you should not formulate your arguments based upon a neighbor’s, coworker’s, a friend’s, or whoever else’s opinion. It should actually be based upon your own reasons for perceiving that you actually have what it takes to start a business. Look deep within you and establish the main burning desire upon which you wish to start a business.
Afterwards answer the following questions; [1] do you have the capacity to make pertinent business decisions by your own? [2] Are you in position to shoulder all responsibilities including profits and losses? [3] Can you sacrifice your time, finances, and other forms of resources in order to sustain the business through good and hard economic times? [4] Do you have self-discipline and self-confidence that can enable you persevere business setbacks, and build the new business into a success?
In the event that any of your answer to the above questions is “no” then you are arguably not ready to start a business. For that reason, you should consider starting it once you have gained enough confidence in the particular issue. This is because; reality depicts that success is attained through hard work and over a significant duration of time (Ready, 2011).
However if you answered all the above questions with a “yes”, then you actually stand a better chance of putting your business dreams into reality. You now need to consider whether you have viable entrepreneurial qualities. In case you have them, then gather all the necessary resources for your projected business and follow the following steps.
Organizing
Organizing your business objectives is very much paramount towards realizing your business ambitions. The most critical thing you should do prior to starting your business is organizing your business tools in a clear and very concise manner. These tools include; capital, required workforce, legal documents, and establishing an appropriate location for your business (Bate, 2009).
At this stage, also establish programs that can work better for the business to attain a significant degree of success. For you to ascertain these programs, you can perhaps conduct survey to establish how competitive the market is for each product sold. You should actually avoid products facing stiff competition from the market. On the contrary, focus on unique products that have a higher consumer acceptance, while facing little competition. This will offer your will an appropriate market niche whereby you will ultimately enjoy business monopoly.
However, the market is not always favorable as some items will definitely encounter grave competition from other business entities. For this case, ensure that what you want to sell has magnificent consumer innovativeness in order for you to gain a competitive advantage.
Planning
Planning involves setting attainable business goals and objectives. Additionally, it involves developing a plan for the attainment of those goals (Barclay & Barrow, 2011). This may involve an overview of the organization background inform of ownership and number of employees. Here also, one should establish various changes in product perceptions by customers thereby laying focus on a particular brand.
Since each customer has his or her own preferences, establish what your main audiences will be. Are your products and services cutting across age or you want to focus on a specific age group? After identifying your main customers, now structure down all expenses that you are likely to incur when establishing the enterprise. At this stage, you should also consider the form of business ownership you are likely to adopt. This can be sole proprietorship, partnership, corporation, or cooperative.
Besides, include a financial projection you anticipate to gain within a specified period of time. This will help you to deduce whether you made the right choice of products and services based upon the gained sales and returns. In essence, planning may also involve setting your code of ethics of work within your business. No matter the size of the business, protocols must be followed to the latter if at all maximum returns are to be gained.
Observing
This entails having a visual analysis of your business opportunities as well as threats that your new business is likely to face. Additionally, it encompasses conceptualizing the existing business trends found in the market. Based upon reason, this stage is very critical as it predicts the probability of success of the intended business (Maurya, 2012). It is advisable for a business owner to make appropriate alterations with respect to findings obtained during the observation stage in order to keep his or her business ambitions alive.
Starting the Business
Having performed all the prior requirements needed for establishing a business, it is now time for commencement of business operation. This involves purchasing all the products needed for the business to be fully functional, setting down all the required ingredients such as workforce, and finally starting the business. In this reg...