|Small Biz Articles » Starting a Business »||Rate/Review - Recommend|
By: Regine Azurin
This article is based on the following book:
The E-Myth Revisited
Why Most Small Business Donít Work and What to Do About It
Ever wonder why most small businesses-- no matter how huge
effort they put in their endeavor--still fail? Micheal
Gerber reveals the answers in this book. Accordingly, the
future of small businesses revolve in only three
philosophies: the e-myth (entrepreneurial myth), the
turn-key revolution, and the business development process.
The e-myth, or the entrepreneurial myth, evolved from one
very fatal assumption-- that the success of every
business is simply achieved by summing up the following:
an entrepreneurís desire to own a business plus the certain
amount of capital he puts in plus the knowing the amount of
Little did the entrepreneurs know that this assumption
spell DISASTER rather than SUCCESS. Entrepreneurs need to
learn to focus more on the businessóthe people involved in
it and the phases it normally undergoes. Knowledge on these
can save small businesses from experiencing entrepreneurial
seizureóa stage wherein an entrepreneur goes through feeling
of exhilaration, exhaustion, and despair.
Small businesses basically consist of three main characters
namely: the technician (the doer and builder), the manager
(the planner), and the entrepreneur (the dreamer, visionary).
Moreover, small businesses have different life phases.
These are: infancy (the technicianís phase); adolescence
(getting some help phase); beyond the comfort zone; and,
maturity and the entrepreneurial perspective.
The Turn-key Revolution
As implied by the term itself, Turn-key Revolution speaks of
the distinct transformations on the way businesses are
managed and should be managed. One very prominent example
is the introduction of McDonalds the idea of business format
franchise to the business world.
The business format franchise has set dramatic turn around
on the future of small businesses. Here, the franchisor
entitles the franchisee to owning rights to his entire
business system. This format is anchored on the belief that
the real product of a business is its sales technique rather
than what it sells.
The Business Development Process
The business development process is the response to the
unending dynamism of the business world. It equips the
entrepreneur with the necessary tools to preempt the
continuous changes happening around. The process is
comprised of three elemental stages: innovation,
quantification and orchestration.
The business development program requires the following
aspects to be defined:
Your Primary Aim. The ownerís primary aim should center
on what he really wishes, needs and wants for his life.
Defining this will push the owner to pursue his defined
Your Strategic Objectives. This contains standards that help
the owner achieve his goals for his business. This should
answer the question: What purpose will this serve my primary
Your Organizational Strategy. Business owners should learn how
to appreciate the value of organizational structures. Some
points to consider are organizing around personalities,
organizing your company, and position contract.
Your Management Strategy. As the owner you should recognize
the truth that the successful implementation of a management
strategy is not dependent on the people who could implement it
but on the system instead.
Your People Strategy. This refers to the approach you take
towards your people and their work. To make people appreciate
the work they do, you should make them understand the idea
behind each of their task assignments.
Your Marketing Strategy. Here is the stage where all attention
suddenly shifts from owner to the customer. You set aside your
personal goals first and start focusing on the customerís needs.
Your Systems Strategy. There are three kinds of systems in a
business: the hard systems, the soft systems and the information
systems. The hard systems refer to all those in your business
that are inanimate and has no life. The soft systems refer to
all those that could be living or inanimate. The information
systems are everything else in the business that provides you
with data relating to how the two earlier systems interact.
Summary By: Regine P. Azurin
"A Lot Of Great Books....Too Little Time To Read"
Free Book Summaries Of Latest Bestsellers
for Busy Executives and Entrepreneurs
BusinessSummaries is a BusinessSummaries.com service.
(c) Copyright 2001-2002, BusinessSummaries.com - Wisdom In A Nutshell
|This article was submitted by - Samantha Reyes||Please Rate/Review this Article - Recommend it to friends|
|[an error occurred while processing this directive]|
|Disclaimer: Book Summary: The E-Myth Revisited & Starting a Business related small business articles and small business information provided on this web site is not to be construed as business advice from the website Small Biz Articles.com - or from the corresponding author who posted this article on our website. Starting a Business articles on our website were submitted by various small business owners, entrepreneurs, authors, business experts, accountants, lawyers and other business professionals, but we do not verify the authenticity and the accuracy of information submitted and we are not responsible for any errors or inaccuracies. Please consult with one of the small business administration or small business development officers in your local SBA-SBDC centers, or with an attorney, accountant, a small business expert/advisor, to obtain proper business advice and accurate information for answers related to any specific questions you may have with regards to your small business issues.|
Your use of this website constitutes acceptance of the site
Terms & Disclaimers.
Copyright © 1998-Current, Smallbiz ArticlesSM and affiliates. All rights reserved.