The right market is one which is growing for the medium and long term. Ideally you will have a clearly differentiated proposition. Otherwise you will be a “me too”, with the risk of greater levels of competition.
Successful businesses are successful because they meet market needs and fulfil customer expectations. Recognising and responding to changing needs and expectations is essential in our increasingly dynamic and competitive world. We cannot assume that what is successful today will be successful tomorrow. The questions of “what have we got” and “who will buy” are critical to the ongoing strategic thought process and business direction.
Individuals who have the necessary skills, knowledge and expertise may well be readily found or taught. The success of a team is also determined by the attitudes and motivations of its members. An essential skill of the successful leader is the ability to understand these attitudes and motivations, and to create an alignment of the personal and team goals.
Rewarding your funders, whether external investors or you, your family or colleagues is critical. Fulfilling the borrowing obligations of banks and other commercial lenders is critical. The purpose of investment is to make money on money.
The ability to raise money, and then to use it wisely, is therefore crucial at all stages of the life cycle. The management of money is an essential business discipline. Cash is always king.