COMMUNICATIONS

Managing communications

Managing communications

Decision making in business startups

Decision making in a business environment is complex and depends upon the information that is acquired or received by an entrepreneur or a manager to decide upon crucial aspects of business. There exist several problems in a business context which should be analyzed to make sound decisions. The decisions made the start up of a business are imperil for the success of a business as the whole business relies upon these decisions. These decisions made before a business is initiated highlight several aspects of a business environment.

An imperial phase of decisions that are required to be made in business startups are the entry options for beginning a new business. The major common reasons an entrepreneur would decide to begin a new business are circumstances that push an entrepreneur to do so. These may include desires of an individual to achieve something, or failure of an existing business, or acquisition of wealth or immense revenues from an existing business that can be utilized to form a new business. Regardless of the reasons due to which people may choose to begin a new business, they have several options to decide how to begin their business. An entrepreneur may choose to buy an existing business, a franchise, or begin a fully new business. In case an entrepreneur chooses to buy a running business, he can reap benefits from reduced expense required to begin a new business. He may benefit from the good will of the existing business, an intangible asset that can increase the value of a business. However, buying a running business requires careful analysis of many variables including financing and pricing. An entrepreneur should consider his industry experience, compatibility of business with personal strength, business appeal, and location, possibility of gaining finances, business size, business prices and revenues. If a business under concern comprises of a product or service beyond an entrepreneurs area of know-how, it is imperial that to entrepreneurs finds and hire suitable employees (www.sbtdc.org).

Choosing to buy an existing business requires information from various sources. In this case, the sources of information that an entrepreneur has to gain information about franchises being sold are Printed advertisements, industry suppliers, Trade sources, Friends and acquaintances, Intermediaries such as real estate brokers, business brokers, or acquisition specialists. As a purchaser, an entrepreneur should first assess a business by appraising its record and the way it works. An entrepreneur should expand his understanding of business' processes of gaining and helping its customers, decide how it makes its sales, learn strategy of marketing used by business, and expand an understanding of the way it finances and processes its functions. An important decision that is made by entrepreneurs is regarding the purchase of franchises. If an enterprise wants to purchase a franchise, he should consider several aspects before making a decision. A franchise provides reward in product and name recognition, purchasing power volume, and proven function procedures. In this agreement, the franchisor or provider, contracts with ...