How to be successful as an entrepreneur: Basic characteristics
The franchisee businesses have certain different features than regular entrepreneurship business establishment. There failures and success features are quite different in nature and same factors will affect each kind of business in a very different way. There are psychological factors also which acts at the back of the mind of a franchise owner and franchise giving company or authority. These psychological as well as situational factors are discussed in coming pages. Franchise business can be explained briefly as the kind of business model where a company allows a person to use their brand name, logo and trademarks to sell the products or services offered by the company in the name of company itself by following the exact procedure and protocols as determined by the company. For doing business in this way the person usually shares its risk with the company by participating in the schemes or guarantees where companies take care of marketing, telemarketing and buy back of products.
Franchise business pattern has been proven success full in various economies and it has been trying to penetrate various new business markets and areas also. It is also providing a very valuable opportunity to many people with entrepreneurship zeal but is slightly averse to the risk taking capacity. The downside of franchise business pattern is limited window of freedom and creatively doing the business pattern and also income has to be shared with company as they are guaranteeing the buy back and sharing the risk.
SOME BASIC CHARACTERISTICS OF A SUCCESSFUL FRANCHISEE BUSINESS AND ITS COMPARISON WITH INDEPENDENT ENTREPRENEUR BUSINESS PEOPLE
1. RISK AVERSION:-
This quality is very much characteristic of people who are looking for franchisee business. To become a successful franchisee operator the person should be well calculated in his risk taking capacity and avoid any undue risk. A person who believes in doing his part of research before making his investments will be having a better chance of being successful.
2. SYSTEM ORIENTATION:-
Successful franchise operators usually have a tendency to follow the system pre determined by the organizations or corporations. They usually try to take the path of least resistance or most feasible solution while on the other hand the independent entrepreneur will sometimes try to tread on the unknown path or unexplored market conditions. They want to gain more profit by that while the franchise operator will try and learn from the mistake made by others and will want a system or proven way of doing business even though the profit might not be up to maximum but he wants to be more assured and safe in his or her way of doing business.
The person should be ready to learn for running the successful franchise business. The person should be willing to ask questions and get his doubts clarified before making a mistake out of ignorance. The franchisee providing companies constantly provide guidance and support they have support staff and standard operating procedures which can be checked and followed in any demanding and difficult situation.
4. STRONG PEOPLE SKILLS:-
The franchisee owner should have excellent people skills which will help them in building a repo with the customers and also develop credibility in the market. The franchisee usually lack the credibility in market because of the taboo attached with it. People are not very trust worthy of franchisee as in comparison of independent business unit and it takes some time to build that reputation. The franchisee needs to make the customer loyal to them and value that customer for developing a long term relationship
5. HARD WORK AFFINITY:-
The person should be willing to work hard and determined to put the efforts which are needed. In starting the franchisee business will be very demanding as there will be lot of hard work as competition will be from all the established players in market’ other franchisee’ corporations and independent entrepreneurship business.