• Saturday, May 25, 2024
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BusinessDay

Why some businesses last longer than others

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The rate of failure of businesses especially in less developed economies, whether small, medium or big business seems to be high. It’s pretty difficult to identify indigenous African businesses that are still standing for up to 50 years. Some would say generally that African entrepreneurship is intrinsically timid or cannot ultimately match entrepreneurship achievements in other climes. But I disagree.

The problem with many entrepreneurs, African entrepreneurs particularly is that they are stuck for so long with their original entrepreneurial ideas and lose sight of unfolding dynamics in the economy that affects their business models.

When economies are mutating, and livelihoods, income patterns, lifestyles and aspirations are in constant flux, entrepreneurship focus and business models must align in accordance with these changes. If this alignment becomes tardy or not forthcoming, businesses steadily toe the path of failure or extinction.

Entrepreneurs must of necessity and constantly too, scan local/global economic and business environments so as to detect minor or major trends that may alter the perception of the value they provide or place more demands on the way they deliver value.

The future of every business lies in its present disposition towards trends monitoring and evaluation. To endure, you must adapt and rightly too.

Have a fruitful week.