Economy, Business and Investment

Introduction to business is one part science that must be recognized by potential entrepreneurs before they enter the business world. Knowledge has become one of the basic material is presented to students who majored in management science.

In the introductory materials business, a person will be introduced on the basic concepts in management. Given one of the keys to become a successful entrepreneur is to understand the concept of good management. So in the future business they could run orderly, and have a clear vision and mission in the process of development.

Entrepreneurial Choice
Entrepreneurial world that is now being widely cultivated culinary field. Many young entrepreneurs who are interested in developing this business because the profits generated more promising. Among them are the profit margins of the culinary business that can reach 100 percent of capital costs.

Moreover, in a culinary business there is no rule that requires an entrepreneur to sell their products within the limits specified price. As the price of a bowl of meatballs. There is no obligation of any dealer to sell a bowl of meatballs meatballs them at the same price. All merchants have the right to sell their meatballs at a price they want.

This is what distinguishes the business in other fields. Such as building materials business, where the price for one bag of cement selling price can not exceed the selling price is pegged government. In addition, if there is difference in price with other merchants, so consumers will switch to buy into places that sell at lower prices.

Why is the price of a bowl of meatballs in the case of the price of one bag of cement and different? This is due in the case of a bowl of meatballs, products sold do not have standardization as a benchmark. In terms of any regulation, there is no consensus that regulate the selling price of meatballs. From the consumer point of view, the value they are paying not just determined on the products they consume a bowl of meatballs.

However, as a product point of absurd satisfaction, then the consumer will have the willingness to pay for a product with a higher price for the product is able to satisfy them. In this case, a consumer would be willing to pay the price of meatballs in a hotel at a price double than a bowl of meatballs are sold on the sidewalk. Because, by eating meatballs in a hotel, will provide more value for the consumer than the prestige side than if they eat the same meatballs on the roadside.

Then how the price of a bag of cement that can not be sold at higher prices? Besides the issue of government regulation, public perception is the same cement. Both the cement sold in a supermarket or cement is sold at a small roadside shop building. There is no more value that can be obtained by buying cement at the supermarket compared to buying cement in the shop building.

Therefore, consumers will tend to choose a store that sells cement is cheaper, because there was no difference in the value that can be obtained by buying cement at specific locations. In addition, the quality of cement is basically the same. Thus, to say the selling price of cement is the price that has an element of sensitivity among consumers. Thus, consumers will be willing to sacrifice time to buy cement in place a more far just to get within a few hundred dollars only.

Business Failure
Business failure is a risk that will be faced by all those who decided to plunge into the entrepreneurial world. In addition to the Fates, kegalan business could be due to a lack of understanding of the guidelines that are taught in introductory theory of business.

Implement the theory is taught in introductory business, is not a guarantee of a business can achieve success. But at least these guidelines will minimize the risk to be faced by an entrepreneur. So, if things happen that are not desirable, could quickly known, and find a way out.

Some things that often makes the failure in starting a business include:

- Errors in site selection. In choosing the location of a business, but must consider the type of business to be opened, should also consider the issue of density. Businesses that we run, can not be known by the public if it is opened at a place that is too dense. So that people's attention on our business premises to be very minimalist. Likewise, opening a business in a place that was in the fast lane of traffic areas is also not effective. Therefore, the attention of road users will be more focused on the concentration on the road rather than having to look to the side of the road. Instead, open a business in the street that is not included as the fast lane driving. For example in the way of a housing complex or on the road district.

- Running a business in the middle of the ocean bloody. Its meaning is, we run a business that already has many competitors. Where in the process of competition is already using strategies that are less healthy and have the potential to create destruction. As low pricing strategy that could have an impact on thin profit margins that are not in accordance with the capital costs incurred.

- Less focus. Businesses that are run out of focus will have an impact on the implementation process which only runs half. Consequently, no value competencies are offered to consumers. It makes consumers less to get more value at the time of consuming the products you sell.

- Less in tune with local culture. One example is selling a product that does not fit with the beliefs held by consumers all around us to open a business. For example, food stalls that sell materials that are forbidden in the middle settlements Muslim majority.