The economic challenges thrown up by the current economic dispensation in Nigeria has made a lot of people aware that opportunities to create wealth lie beyond the confines of paid employment.
However the question always arises inevitably – What business do I get involved in that will provide me with exceptional income and propel me out of the rat race? Many people have accosted me seeking answers to this and other related questions such as, “I’ve been able to put aside a certain amount, what can I invest in?” They’re in search of a perfect business idea/concept that will solve their many problems.
The truth is, there is no such thing as a perfect business. Every business has its peculiar challenges; and every business environment also operates in a constant state of flux, which are the two major criteria that affect business. That said perfect businesses are those that have the following characteristics and attributes:
– Customer focused and customer-centric
– Established to meet the needs of majority of the populace
– Operate a healthy cash flow balance
– Reasonable margins on its product/service offerings
– Minimal dependence on outside sources of financing except for purposes of expansion
– Few competitive players; and
– Even fewer substitutes
– Barriers to entry by new entrants
– Low cost outlay in production and delivery to the customer
– Clear product and service differentiation
– Difficult to match or copy its offerings
– Market leader in its selected niche
– Unique offerings; and
– Increasing returns and Shareholder value
I am of the belief that many businesses possess a reasonable number of these qualities and attributes but the environment could severely affect performance as it is in a state of constant and sometime tumultuous change.
The good news is that there are still many ideas, concepts, products and services that are still not available in the Nigerian marketplace. The chances of starting and running a perfect business would be very high if intending entrepeneurs could do their homework and propose to satisfy a current unidentified need. For success in business is based on either seeking to improve on what is already available in the marketplace, or alternatively coming up with something entirely new!
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