Startinganewbusiness Flashcards
What is the first step that we must consider in starting a new business
The first step that we must consider in a starting new business is to investigate the market that we want to enter. Meaning that we must know who are our competitors? Also how much market share does each hold? and furthermore to that how their products/services will compare to our products and services. Finally are there any barriers for entering the market such as capital requirement, access to distribution channels, and any special governmental policies.
What is the second that we must consider in starting a new business
After that , if there is no barriers for starting the new business , we should look at our company profile from venture capital (راس المال الاستثماري) point of view. Meaning why would you invest in such business? Would you risk the money because the investment will include the following:
Management:
What is the management team like? and what are their core competencies. Also have they worked together before? and is there an advisory board?
Market and strategic plans
What are the barriers to entering the market, and who are the major players and how much does each hold of the market share?Furthermore, how they will react when you enter the new market?
Distribution channels
What are our distribution channels?
Products
what is the product we are developing and what are the technologies involved in it? Also what is the competitive edge of the product? Moreover, is the technology used propietary ?
Customers
who are our customers? and how can we best reach them, and how we can ensure that we will retain them?
Finance
How is the project being funded, and what is the best allocation of the funds, also Can we support the debt and what if interest rate change and what we will do if the economy sours
