If you ever intend to be a successful entrepreneur, then take note of these 8 major reasons why entrepreneurs fail in business.
Have you ever wondered why some entrepreneurs loose so much clients, loose so much customers and fail in their business?.
Does it ring a bell to your mind what might be the cause of their business failure?.
If you ever thought about being successful in your entrepreneurial journey and become a successful entrepreneur then you must take caution so you don’t fall a victim.
The success of an entrepreneur or a business CEO is largely dependent on some 3 psychological business discipline which remains a secret to many startup entrepreneurs.
Okay, right away, lets get started with the 8 major reasons why entrepreneurs fail in business.
1. Offering poor quality services and defective products:
You’ve to offer people the best if you really desire to be a successful entrepreneur, this is one reason why small businesses fail.
Have you ever bought a product from a shop, a warehouse or even a road side vendor and discovered that the product you purchased were far below your expectations when you got home?.
Oh my God, How did you feel, you felt disappointed right, you felt under-served and cheated, you felt like damn.. this’s not cool, yeah i know you do.
The pain of buying a defective product can push you off completely from patronizing such shop again.
Entrepreneurs who must stand the test of time to succeed in business must pursue quality, diligence and customer’s satisfaction.
He must be willing to offer higher value than expected and going extra length by giving warranties to his business customers.
The negative trauma a customer experiences from purchasing defective products or getting a lesser service compared to what he or she pays for can ruin your business.
This covers why about 90% of under-served customers never return to patronize again.
This is crazy right, but that’s the truth.
If you’d ever fallen a victim of paying higher and getting a lesser service, then you know exactly how this feels already, so painful and highly disappointing.
As a startup entrepreneur who wants to penetrate the market, don’t do this.
2. Poor customer relationship attitude:
The way you attend to your clients and customers will tell whether they will ever patronize you again.
Poor customer relationship attitude can turn off your clients and customers completely.
Oh yeah, some customers can be very messy but as an entrepreneur you must be well disciplined to control their messy demands.
Have you ever met an unfriendly secretary with the intention of booking an appointment with the company’s manager?.
That could be one of the worst day you ever had.
Poor customer relationship from personal assistants, secretaries and workers might make a potential client loose interest, oh yeah, nobody likes been rude to.
This unchecked attitude has made some companies loose big clients and that means loosing money too…
Yeah loosing a customers is loosing money, all entrepreneurs and CEO’s in the business world knows this reality.
Many business loose clients and potential customers daily because of poor customer relationship attitude.
If you had ever entered a coffee shop and you were served coffee after so much delay?, how do you feel?, yeah, you felt displeased right.
That how people feel when they visit an office and a secretary sound rude to them or reply their queries in a unfriendly manner.
As for me, poor customer relations attitude is a no-no affair for me.
If you don’t treat your clients in a well deserved and respectable manner, don’t expect them to ever show up again.
Oh yeah, that’s business for you.
3. No regards for customers feedback:
Jeff Bezos, Amazon founder and CEO said if you make customers unhappy in the physical world, they might each tell 6 friends.
On the other hand, if you make customers unhappy on the internet, they can each tell 6000 friends.
The sad reality of business is that one customer’s complaint if not well checked can kill your business. Many successful entrepreneurs knows this.
Customers feedback are vital to the success of your business, ignoring your customers feedback is risky.
You need to know how your customers feel about your products or the services you are rendering.
Never say, Hey!!!, am the best in my business.
Never say I don’t need to know how they feel, am doing my best to give value to them.
We are in a digital age and messing with one customer can ruin your business completely.
The very moment a customer becomes dissatisfied with your services and send a feedback to you, kindly take it serious.
A customer might go online, drop negative feedback about your business, next it becomes visible to the public which is not good for you.
This remains one major reasons entrepreneurs fail in business.
4. Lack of creativity and innovation:
Everybody wants something different, everybody likes to experience something new and creative.
To be truly successful, you must be creative, innovative, you must keep improving on your products and services.
Customers don’t like been offered them the same service and products day by day, month after month, year after year.
Keep improving on your services if you want to make the most of your business career as an entrepreneur.
Creativity is one of the characteristics of a successful entrepreneur, creativity is winning, be innovating in your game to make a mark in your business.
Thrill your clients, customers and competitors.
You stand the risk of failure if your competitor creates new products that catches the attention of your customers.
As an entrepreneur or business CEO if you don’t improve on your services, your competitors will push you out of business.
You become less relevant if you never improve on what you do, let improvement be your goal.
5. Zero business patience:
Every great thing starts small.
Most of the big business names we see today like Amazon, Microsoft, Tesla, Facebook, Coca-cola, e.t.c all started small and gradually grew to become world class companies.
You must be patient with your dreams. Great things take time no matter how big the vision is, they have to start small from somewhere.
Rome wasn’t built in one day, neither was America, Europe, Asia, and all the continents of the world built in one day.
No matter how small you start, if you are patient enough, you are sure to grow and just keep working on your growth process.
So don’t expect to get all things rosy in your business in the earlier stage of your business.
Stay committed to your work with dedication, little by little you are sure to start making marks in your business.
The problems with most startup entrepreneurs is that they loose patience so soon.
Most people drop a multi-million or even Billion dollar idea because they lack the patience to build it.
All entrepreneurs and CEO’s must hold the key of patience in their hands as a tool for winning business battles.
This is one of the 8 major reasons why entrepreneurs fail in business.
In case you also like to know, you can check out some psychological business disciplines needed for successful entrepreneurship.
6. High charges:
No matter how good your products or services are, just don’t overcharge.
It will push away more customers from your business before you even realize it.
Oh, this is crazy right, oh yes it is, you and I will always like to pay less and cut-down on expenses.
You mustn’t charge too much if you need to sustain your customers.
Keep your charges affordable if you really want your business to grow.
Oh, I know you must be pondering on this now, am not saying you shouldn’t charge well or undercharge.
All am saying is that as much as possible always try to cut down charges and make customers feel at ease paying you.
Be willing to give out more value to your clients.
Put value first before money, oh yes, just relax, on a long run, you will win the bigger market and your money will start flowing in.
Selfish and excessive desire for money can ruin the business success of an entrepreneur.
Have you ever walked into a boutique to get some cloths, or into a supermarket and the excessive high price rates turned you off?,
Oh yeah it happens, maybe you ended up buying lesser than you budgeted for. People tends to feel reluctant to buy more if you don’t offer them affordable prices.
Not everyone can afford expensive products or services, so if you need more sales, oh lala, now you know what to do.
7. Unstable consistency remains one major reason entrepreneurs fail in business:
You can’t be on today, off tomorrow and expect people to trust you in business.
Consistency is the button of business success.
Take a good study of successful entrepreneurs today, you will discover they have been consistent in the business.
Many businesses have been here for 10 year, 20 year, 30 year or even a longer time frame.
Starting and running a successful business requires you to show up everyday.
Be diligent with your work hours, you will stand before kings if you are diligent in your business.
No matter how funny this sound, consistency is one key you need to open the market to your favor.
Show up when they least expect you to show up, become their favorite and never disappoint your customers.
I once’d a customer who told me in my office that he didn’t expect to see me on duty, but surprisingly he met me and this customer has never stopped patronizing my business since that day.
Hmm, did you just hear that…
Oh yes you did, he never stopped patronizing me since that day, that’s the power of consistency.
8. Zero discount offer :
Never under-estimate the power of discounts in business. Successful entrepreneurs knows this business secret.
It brings back your customers and refers new customers back to you.
Hmm, so refreshing, I love giving discounts to my customers, it keeps them glued to me.
Giving discounts to customers helps them save some money which really makes them feel good and happy.
No matter how little it may be, just keep the habit of giving out discounts when customers buy from you.
How did you feel when you bought from a shop, a store or even a roadside vendor and you were given amazing discounts from your little purchase.
Oh yeah, you felt deeply satisfied right.
You even go back there next time you wanna shop or buy what they sell right?
Off course you do, I do also, we do because we’re pleased at the discount we got the last time we purchased.
That’s exactly how customers feel when you give them amazing discounts any time they buy from you.
Many entrepreneurs have been forced out of the market because they give almost zero discount to their customers.
You must keep allowance for discount if you intend to succeed in that business.
Never start a business if you’re not ready to offer some cool discount, it’s part of the business cycle.
Making your customers pay lesser than the expected fee has a way of bringing them back to your business and also gives you referrals.
Oh yes, you had me right, referral.
Anytime I buy an item at a lower price, I tend to refer my friends to that shop so they can also enjoy what i enjoyed buying from them.
That’s the power of discount.
You can take the bull of your business by the horn if you just apply these 8 business lessons which covers the major reasons why entrepreneurs fail in business.
Please take actions because actions speaks louder than voice.
So stop asking yourself why do small business plan fail?, what are the major causes of business failure, why do entrepreneurs fail in business?.
I believe they are all at your fingertips already.
The 8 major reasons why entrepreneurs fail in business discussed in this article involves, sales of defective products or offering undervalued services, poor customer relationship.
Zero regards for customer’s feedback, no creative innovation, lack of business patient, over-rated and high charges, no consistency and zero discount offer.
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