February 10, 2012

The restaurants as successful business. Why some fail and others not?

The passion is not everything.

Business Week give us that explanation as a  the reason because some business fail and others not.

In an interesting article, Business Week detail how some restaurants fail and other has success. All of them start from the same business idea, so the problem is not the idea. So what happens?

Simple, passion is not everything. Maybe you heard or read that to succeed you need passion and if well it is true, that’s not all.

As developed in Business Week you should know business management, dealing with clients, marketing, management tools, among others knowledge.

There is the misconception that you’re going to lunch at a restaurant may already know everything about the restaurant business and that is not true.

Business Week cites a successful case where just to avoid that problem, the entrepreneur first gave up his job to work in a restaurant and order and learn a few things that had never encountered in their previous research.

You can read the full article at Business Week website by clicking here on this link

Make your Business Idea works

Suddenly you already have a business idea to make at home, low budget or high … but is it is good idea or not?

Seth Godin, one of the gurus of the business, interviewed by the magazine Business Week points out in summary the following:

1. If you already have the idea now concentrate on the business model is like going to develop this idea.

2. It have an idea might take 5 minutes of inspiration, however explore how to implement the process takes more time and work. If a business idea to make at home you should ask for example if your family is going to support you or not, that resource accounts, how will the distribution of products.

3. After taking the idea, focus in the process. The design process takes time. In addition to the factors outlined above should see how you will set the price, legal issues and much more.

4. Do not try to invent new business models, which must be original is only your business idea. A most striking example is perhaps the case with Microsoft and Apple. The two companies are business idea development software, but the business model of Microsoft is to sell its software for use on any computer, the model of Apple is that their software works only with their own products we also sell software Macs, Iphone, Ipod etc.

5. Do not do focus groups, that are inaccurate to the level of a small business. Once you have developed your business model and thus prepared a business plan for yourself you must be honest enough to evaluate whether your plan will work or not. So it is important to separate the idea of the business plan choosing a business development model.

This article try to takes ideas from an interview made to Seth Godin but contains other ideas of the author of the note. You can read the original interview from Business Week by clicking here in this link