In most of the developed economies, the most important concern for a newly entered entrepreneur in market, or a newly established business, is to ensure its survival. In the era of thousand of brands presence, tough competition, increased customers awareness, changing technologies, and rapidly changing economic environment etc are obviously the most alarming signals for any new entrant in the market. It is noted that many new businesses are driven out of the market even before reaching the stage of breaking even. It means that those businesses would not have adopted the survival approach, which is imperative to pursue before the stage at which the business becomes capable of competing with other players in the market.
For a new market player, the most essential and primary strategy must be of survival. It is because, in the beginning of any business, entrepreneurs have to make investments and incur all the costs, which after a specific time period begin to grant them return. In the absence of effective survival strategies for that specific time period, you can cross even the breakeven point. The giant market leaders will throw you out of the market. Here are some tips that can be very helpful in order to survive and expect profits in the long run.
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- Identify the niche that is being served the least by current market players. If the segment seems prosperous and growing in the long run, make your investments with an attacking approach.
- If you have decided to serve the segment which is already occupied with big fish, then monitor your competitors’ weak points. No one is perfect. A single weakness or a failure can be turned into the biggest advantage for your business.
- Marketing is the most significant factor in order to compete. There are examples of various brands that used to exist, but no one knows about them. Choose the marketing strategies that are different, yet powerful enough to capture your targeted market share. Usually, the integration of online marketing strategies along with off line modes works the most.
- Initially, try to keep your operating cost at the lowest possible level by avoiding unnecessary expenses. The saved cost can be utilized for marketing and investments.
- Make your R&D department quite strong, and spend money on it so as to make them able highly responsive towards any technological changes. Your R&D must be efficient and creative enough to come out with something unique to be incorporated in your products, in order to grab the potential customers at once.