Having worked in a number of different fields, from the beer industry to the nonprofit sector to the computer programming industry (which I still remember lovingly referring to as essentially the “New Economy” on my B-School application essays), I’ve had a chance to observe in action a wide variety of businesses and see what makes them tick, and why X business succeeds over Y business.
Of course, this is not to say that I’m some sort of expert on business. I think that my first-hand exposure to multiple industries, coupled with my amazing experience at UC Davis’ Graduate School of Management, really made me realize that I’ve only started learning about business, and I’ll never know everything. (I’m sure there’s some quote out there to the effect of ‘the more you learn, the less you know’–just too lazy to Google it right now!)
That said, the one common thread that I have observed for a business to be successful is that at its core it must help people. It sounds rather prosaic and not very earth-shattering, but over time this realization that a business must, at its core, help people (i.e., customers, other businesses, etc.) has been rising to the surface of my consciousness.
I think innately many entrepreneurs and business people are working from the perspective that they are out to help, whether it be by solving some problem with an invention, finding an easier way for people to do things, or by lending their expertise to help people in turn succeed. If, however, a person starts a business with the main goal of enriching themselves, they ultimately are setting him- or herself up for failure.
Taking a step back to this foundational level when starting a new business or even a new project–thinking “who are we helping, how are we helping them, and what is the best way to help them”–is critical for long-term success. Many do this already, in a sense, when the are identifying the customer or the target audience, but specifically taking this step from the outset will align your thinking and priorities with those you’re setting out to help.
Once you know who you’re helping and how, then you can focus on all the other critical components of business, but you will be heading in the direction of success from the beginning!