Do more and become more,
You are a LEADER.”
-John Quincy Adams
When you think of setting up a business, what vision do you have in mind? Is it to earn profitability, reduce costs, and build customer loyalty?But what about becoming a market leader? Have you got that covered too? If No, then why not? Jeff Bezos said, “Market Leadership can translate directly to higher revenue, higher profitability, greater capital velocity, and correspondingly stronger returns on invested capital.” But sadly today, most of the SMEs do not think of including of becoming a market leader in their vision. When one does not think of reaching the top, chances are growth trajectory of the business takes a downturn and the business does not survive for long.
Let us try and understand a little more as to why this may happen? If a company is a market leader in the category of products or services it manufactures, it means that there is a higher market credibility attached to it, enjoys a larger market share as a consequence but most importantly the company is a trendsetter for its competitors. A market leader leads the market and dictates where the market is going.
Now let us consider the other case where a business simply does what its competitors are doing, what all do you lose on? You lose on market share because you are not bringing anything innovative and you always face the risk of getting eliminated because of fierce competition. For being successful at business one needs to have a sound understanding of the market, and one needs to anticipate. This is where most SMEs and MSMEs fail, they do not anticipate. One needs to think of solutions for problems of tomorrow to be at the top and keep their business flourishing.
Then comes the most important aspect that keeps alive most of the businesses today: Customer loyalty. As bringing in a new customer is so hard these days due to extreme competition so companies focus more on their existing customers and ensuring that they able to retain their customers by providing supreme quality service and value to the enriching customer experience. But the big question that arises in everyone’s mind is how to we retain existing customers? For that the most important and key element is feedback. One must always take feedback to improve standards in order to compete in and become a market leader.
You may look for “The Legendary Series of 7 Hats”
Hat 1 – SMB/MSME Specific, Sprint 3 – What makes a Market Leader