Obtaining User Validation

Once Entrepreneurs have ideas, they tend to forge ahead on product or service development at full speed. Is this always a wise course of action? Bias for action is a great attitude, but it needs to tempered with reality.

Obtain validation from potential customers or users before proceeding too far down the path of product or service development.

No matter how brilliant the idea, it is ultimately the customer that will decide if it going to be accepted. If the customer does not buy the product or service, there is no long-term value in the idea. Asking potential users about the idea and its potential features is a great way to validate its further development. Customers might even have thoughts and features that the Entrepreneur might not have considered.

There is always the argument that for a revolutionary idea the potential customer might not even be aware of the need, and it is the task of the developer to educate the users. There is merit in this argument; however, it doesn’t hurt to obtain some initial validation of the feasibility of the idea from potential customers.

A solid product or service development process should require some form of meaningful validation from potential users prior to going too far down the path of detailed design. Do the Right Things!

Ravi Patel

www.patelCFOservices.com

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Thanksgiving Spirit

As we celebrate Thanksgiving, Entrepreneurs have a lot to be thankful for!

First and foremost are our country and the free market system that allow Entrepreneurs the opportunity to create and grow businesses and prosper.

Employees are the backbone of companies and Entrepreneurs should be thankful for the dedication, loyalty and hard work put forth by their people to make businesses successful.

No business can sustain itself without customers and clients. Be thankful to your sources of revenue for putting their trust in you to provide services and products.

Entrepreneurs should also appreciate their suppliers and service providers who continue to supply essential goods and services to sustain their businesses.

Shareholders and financiers who have invested in your abilities to grow the business and provide a return on their capital should be high on the list of people to whom Entrepreneurs are grateful.

Do not forget to appreciate your gratitude to your business advisors who provide a sounding board for you to share ideas and seek advice.

Lastly, the community that you operate your businesses in should be appreciated also.

So on this Thanksgiving, I encourage Entrepreneurs to express their gratitude to the above stakeholders in your companies.

Ravi Patel

www.patelCFOservices.com

Published in: on November 20, 2012 at 5:18 am  Leave a Comment  
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Sharing Your Knowledge

Business leaders over their careers acquire considerable knowledge and wisdom. Knowledge that is not shared is lost forever. Here are some thoughts on how to share your knowledge with others:

  • Instead of giving answers to your employees or doing things for them, make them learn from you and do the tasks themselves. Resist the tendency of doing it yourself to save time. Take the time to teach someone.
  • Allow your employees to make mistakes while they are learning from you. No one is perfect the first time.
  • Mentor other Entrepreneurs and young business leaders. Guide them with your knowledge and experience.
  • Encourage and motivate your employees to develop a continuous learning philosophy
  • Teach in a formal setting
  • Write articles and make presentations to industry groups, educational institutions and forums

Sharing your knowledge will be the most lasting legacy you will leave for future leaders and employees. Do the Right Things!

Ravi Patel

www.patelCFOservices.com

Understanding the Business of Technology

Technologically savvy Entrepreneurs start their business as they might have a unique product or application. Their understanding of their technology and their belief in the breadth of its superiority over competitors might make them think that success could be a slam dunk.

Entrepreneurs might start out by thinking that way, but their success really depends upon understanding the “business” of their technology.

No one ever became rich by building a better mouse-trap; rather, it is getting that product to the marketplace at a reasonable cost and convincing customers to buy it that leads to success. A tremendous amount of business thinking, planning and execution goes into making an idea a winner.

Answers to questions such as:

  • can the product be made cost-effectively with consistent quality on a mass scale,
  • can the technology be protected from competitors,
  • can it be delivered to the consumer over a wide territory and on time,
  • can it be marketed and sold effectively

and many more are necessary to make a sustainable business out on an idea.

Have you really thought about how to make a business out of your unique technological idea?

Ravi Patel

www.patelCFOservices.com