Creating Value: Definition and Why Does It Matter?

What it is: Creating value means making something less valuable more valuable. If it is associated with creating customer value, it is an attempt to generate added value.  What is added value? Value added is the difference between the selling price of a product and the input costs to make it, including raw materials and related components. Take a simple example. Your… Read More »

8 Qualities of a Successful Entrepreneur

Starting and running a business is not an easy task. Entrepreneurial qualities define and help answer why one entrepreneur fails and quits while others bounce back and succeed in achieving what they aspire to. Some people may be proficient and become professionals however, they do not have the qualities to become a successful entrepreneur. So, not everyone has the… Read More »

Value Chain Analysis: How To Do It?

Value chain analysis requires us to examine in detail the various activities within the business . We evaluate them to see where and how businesses can create value for customers. It is useful to understand opportunities to add value or save costs, which in turn has an impact on customer satisfaction. Every activity in the business should synergize with… Read More »

How to deliver customer value? Kinds

Delivering customer value can be done in several ways. It can be by quality, design or other product attributes. Or, it could be through branding, superior after-sales service, and pricing. Each customer will have different considerations on these aspects. Some like the brand . Or, they buy for quality. Others just buy because it’s cheap. What is customer value? By definition, customer… Read More »

What are the effects of deindustrialization?

Deindustrialization brings both positive and negative impacts. It could reflect an increase in living standards, so consumers spend more dollars on services. Then, the reduced reduction in environmental degradation is an example of its positive effect.  However, deindustrialization also has negative consequences such as increased structural unemployment and trade deficits. There are several positive and negative effects of… Read More »

What are the Causes of Deindustrialization

Factors causing deindustrialization occurred due to higher manufacturing productivity, pushing prices and employment continued to fall. The change in the economic structure from a manufacturing-based to a service-based basis has become a natural phenomenon of economic development, as has happened in developed countries. What is deindustrialization? Deindustrialization refers to an economic phenomenon in which the contribution of… Read More »

Where Do Entrepreneurs’ Business Ideas Come From?

Entrepreneurs’ business ideas can come from their daily lives. For example, they commercialize their hobby. Or, they observe the problems people face and then offer products to provide them with solutions. Basically, business ideas are plentiful and it’s not hard to find them. However, not all of them deserve to be commercialized. So, the real difficulty when starting a business is… Read More »

Four Business Organizations in the Private Sector You Need to Know

The four business organizations in the private sector are sole proprietorships, partnerships, private limited companies and public limited companies. They also have distinct advantages and disadvantages. Businesses in the private sector operate in a variety of different industries. But, they share something in common, namely profit-oriented. They make money by producing goods and services to satisfy consumers. The… Read More »