START ENTUSIASM – This is a lighter, no more. SHE DOESN’T BURN FOR LONG “
Alexey Timofeev – co-founder of the American investment company Trident Acquisitions Corp., in the past – general director of the Smart Holding industrial and investment group and member of the board of Naftogaz Ukrainy.
On his Facebook page, Alexey published a post about what factors negatively affect the business. With the permission of the author, we publish a post on our blog.
I have a mentoring practice. This means that I see a lot of other people’s projects and hear a lot of questions. And there are 20 years of personal participation in various businesses and in different roles, including CEO and investor.
I thought recently: if we summarize up to three points the main negative factors that accompany our businesses, what will happen?
This is what happened.
1. Underestimation of the market
This means both a banal ignorance of important facts about the structure of the market, its dynamics and key success factors, and an incorrect interpretation of these facts.
I draw special attention to the fact that all of the above should be done before entering the business.
Because it is usually the opposite – at first they buy a plant, and then they think what to do with it now, it’s unprofitable. And the industry is falling. And the country is inappropriate.
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What about the fact that all this is written in capital letters immediately at the entrance? No need to gain “experience” through gross market mistakes. You must be able to read the market.
2. Reassessing yourself
Everything from the ability to attract resources to personal psychological parameters is always overestimated. And if it is reevaluated, then it falls.
“Hands fall” ahead of time, there are not enough resources, projects are under-invested, etc.
It is generally believed that goals should be “tearing apart”, ambitious and even “hairy” (this, incidentally, is a replicated incorrect translation of the phrase “big hairy audacious goals” from one book).
Negative factors that affect the business
Even so, only with the development of such a goal-setting method, one must learn to clearly answer the questions: where does ambition end and absurdity begins, and where does the challenge turn into a separation from reality.
This rule is inevitably one way or another for everyone, by the way, but the price of an error can be exorbitant.
3. Management in antiphase with business needs
This is when they do not do what the business development stage and its dynamics require. And they persistently do what is not necessary.
A business has development stages, each stage has its own requests, these requests have professional solutions.
And if you can start on the “bare enthusiasm”, then to go long – you need a different fuel.
Starting enthusiasm is a lighter, nothing more. It does not burn for a long time. And then the phrases “I don’t have time”, “there is no one to work with” or “counterparties fail us”, for example, always mean the same thing – “I do not manage well”.
Negative factors that affect the business 1
Well, you have to manage to learn. This is a separate story, its own professional sphere. But for some reason we think that the development of managerial skills occurs automatically.
The business is somehow going, which means that we are also developing somehow. Absolutely not. A worker who lays bricks does not acquire the profession of an architect.
And why, then, uncle driven like a horse, who “resolves issues” all day, should become a manager? Will not turn. Think about it, as Comrade Posner says.
As always, I hope that these stories are not about your businesses and wish you success on your way.