In understanding business, you must understand that the first laws of economics is scarcity. As a rule, there is never enough of anything for everyone who wants it.
Specifically, there are never enough customers for you to sell everything you want to sell. There are never enough sales revenue to help you achieve all your financial goals. There are never sufficient profit to enable you to expand as much as you want. Especially, there are never enough good people to work with or for you to help you achieve your business goal.
The first discipline of business success is that you offer a product or service that people want, need, and will pay for at a price they will accept – a price competitive with every other business that wants the same customer money.
As an entrepreneur, you must equally get your fair share of ups and downs.
It is required that you get your mind set for very possible faults.
Your assumptions and belief aren’t meant to be 100% sure.
According to reports, fully 70% of your business decisions will turn out to be wrong in the fullness of time.
Nonetheless, you must have discipline and standard work ethics if you are going to minimize your mistakes, cut your loses, and redirect your resources towards offering customers more of the things that they really want, need and are willing to pay for today.
All business invested and business start-ups require a high level of optimism. You must believe in the future possibilities of your business along with your new products and services.
As Peter Drucker said, “Errant assumptions lie at the root of any failure.”
A major reason for business failure is the fact that business owners or executives rely on assumptions that are not tested.