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.

A business that involves two or more persons in the business activity, prone raises the difference. This is a fairness in the process during the progress of an activity can be addressed positively. However, when addressed by the negative and do not look for solutions to these differences, it could become a threat to business continuity. This is where it made ​​a cooperation agreement between the parties involved in the implementation of the business.

Agreement of cooperation in a business can be done formally or informally. It is tailored to the type of cooperation was going to do. In addition, the manufacture of a cooperation agreement can be adjusted by agreement of all parties involved in it.

Typically, for a simple transaction process, such as home rental process, a cooperation agreement which was made still simpler form. In what sense does not involve many parties, such as only the homeowners, renters and a witness. This witness was usually derived from the head of the local environment. Thus, a cooperation agreement that was made does not require ratification process of law. And when problems occur during the process of cooperation agreements, the familial path of choice to find a way out of problems that arise.

This is different if the process of cooperation carried out on a larger scale and in the long term. Such cooperation in the establishment of a business entity. For cooperation like this, it takes a more detailed agreement. Both of the contents of cooperation up to the stage of ratification of the agreement.

Typically, for such cooperation must go through a legal ratification by the competent authority, in this case through a notary. Thus, if there are problems that do not correspond with the content of the cooperation agreement, could be brought into the realm of law.

The purpose of the Cooperation Agreement
Making a cooperation agreement, not merely intended to avoid problems or anyway to resolve problems that arise. But there are some other things which it has been made ​​an agreement of cooperation on a wide range of human activities that involve the relationship of two or more parties to a transaction.

Some of the goals of making such an agreement are:

1. As a reference in the activity. Thus, all activities will be conducted by all parties involved in the process of cooperation, should refer to the provisions already stipulated in the letter agreement.

2. Certainty of the transaction. With the letter of the Agreement, will provide peace of all parties in the transaction. It is given in the letter of agreement is usually listed on the provision for those who do not fulfill the provisions that have been agreed in the cooperation process.

3. Indicator of the level of transactions. The more detail and authorized a letter of agreement was made, shows that the value of transactions that are the object of cooperation is increasing. So this could be an initial assessment for those who want to establish cooperation to assess whether the value of cooperation that will be undertaken bona fide or not.

4. Guide to resolve problems that may arise. In a letter of agreement must be mentioned about the process that will be taken if the parties involved co-operation there is a difference, giving rise to disputes.

Contents Letter of Cooperation Agreement
For those who frequent transactions or establish cooperation with other parties, is an obligation to find out about the ins and outs of the letter agreement. This is to address the possibility that we have problems related to the existence of the letter, especially when we have formed a partnership with those who have bad intentions on the cooperation process.

To that end, in a letter of agreement shall contain the main points raised that explains everything related to the ongoing process of cooperation. Some of these key points include:

1. To clearly state the identity of the parties involved in the process of cooperation. Whether it concerns the data themselves as well as address certain of these parties.

2. Object co-operation should be mentioned. Thus, all parties involved in the letter agreement is to know with certainty about the subject of cooperation underway.

3. Value of the transaction. If in the process of cooperation emerging value of the transaction, then this should be stated clearly and write clearly and with a par.

4. The validity period of the agreement. Cooperation agreement that has a time limit, it should be mentioned. This is accompanied by steps to be taken if the co-operation when the period expires. Good steps to continue the cooperation as well as if to complete the process of cooperation.

5. Rights and obligations. In a partnership, there are certain rights and obligations attached to the parties involved in such cooperation. Thus, all parties will understand and realize the limitations of each party related to the rights and obligations that they can get.

6. Sanctions and solutions. In the letter of agreement must also contain a stipulation of sanctions if any party violates the agreement. Likewise, if problems arise during the period of cooperation, it should be mentioned about the solutions that will be taken.

7. The Witness. A process of cooperation should involve a third party acting as a witness. So if there was a problem, this witness may act as a mediator or in the legal process can act as a resource person who is neutral. Instead, witnesses from each party involved in the transaction or can also come from outsiders who can provide objectivity in the assessment of the problem.

8. Time and place of the agreement. This section looks trivial but it has an important role. Because if there is a problem in the transaction, a matter of time and place of the agreement could be one means of legal proof. Thus, the time and place of the agreement was made mandatory for inclusion in the letter of such cooperation.

Marketing plans, for most companies is still regarded as trivial and trivial. So that the company often makes it just as an annual routine. But afterward, the result of the formulation does not become a reference in the work program, and just kept neat and never touch it until the end of the book.

In fact, if companies want to optimize the benefits that can be obtained from the marketing plan, they will be able to get an increase in profits. This is obtained by using a marketing plan as a way to do research. This has been evidenced by several scientific studies that show a positive relationship, between making marketing plans with the success that can be achieved by the company.

This is in harmony with the business phenomenon that happened recently, where all sectors of business must have the ability to change quickly. This change was done in order to keep abreast of the ever moving dynamic era. For companies who are not able to follow these changes, companies undoubtedly will be displaced by a company that is able to move dynamically follow the phenomena that exist in society.

Many examples of this case, where the company is already large even have to be closed because it is not able to keep up with the times. One of the world's great that the company name in the end have to go bankrupt is the Polaroid. Companies that produce instant cameras are to be closed in 2001. Whereas at the beginning of its emergence, the company is thought to shift the civilization of the world through the introduction of instant camera technology. So someone can take photos with practically without having to wait a long time to see results as film cameras.

However, when the shift toward digital cameras, Polaroid company is not able to follow such changes. As a result, the public interest to use a Polaroid camera is getting thinner. In addition to reasons of practicality, a digital camera valued easier and cheaper in use.

In the world of the Internet itself, had known the name of Altavista. The company is engaged in the field of search engines as is currently dominated by Yahoo and Google. This company was established in 1970, which in those days the internet is still a rare commodity. In addition to the two companies, there are many names of other major world companies, which have disappeared from competition for failing to follow the changes and the times.

Importance of Marketing Plan
From there the story, suggests that a company must have a clear and purposeful steps to achieve their success. In particular, if they want success occurred in the long term and sustainable.

One of the firm can do is to create a marketing plan that is right for their company. Companies that do not want to create a marketing plan for their company, surely tantamount to dig graves for their corporate survival.

There are several reasons that make a company must have a good marketing plan for their company. Some of those reasons include:

- Such rapid technological developments have an impact on the increasingly short life cycle of a product. So to address this need a good planning process for our products. Thus, these products will not be quickly eroded by competitors' products that bring the latest technology.

- Changes in business regulations, which at this moment the world is facing a period of trade liberalization. The impact of this condition include the opening of free trade between countries, economic deregulation and the opening of opportunities to get into in a particular business. Condition condition is believed to be one of the causes of the high rate of competition in the business world and the increasing number of attacks from rival products that we sell.

For countries like Indonesia are still evolving, it is a threat in itself. Therefore, large companies from various developed countries will seek to develop their products through distribution channels to developing countries. Therefore, developing countries have a potential niche market for cultivation by big multinational companies.

- An increasingly segmented market. Thus, there will be differences of treatment on each different market. Existing markets are increasingly tapped to narrow the existing market.

- Increased customer knowledge. With the disclosure of information, customers have the flexibility to access information on the products they need. So they can compare one product with another product using the sources of information, such as the internet or mass media. Thus, the loyalty of consumers will be increasingly hard to come by just relying on brand alone. Consumers prefer the advantages that can be obtained than the mere pursuit of brands of a product.

Important Elements of Marketing Plan
From the above conditions, it can be concluded some important things that must exist in making a marketing plan. Some of these include:

- The existence of adequate marketing information valid. One is through the availability of accurate data, both from within the company or from outside the company.

- Clear direction in determining what may and may not be firm. It is considering the limited resources of the company.

- Implementation of the marketing plan should be able to create sales and profit. The sale will not bring meaning to the company if the sale does not bring benefits to the company.

- Routine evaluation. In this evaluation process, it takes a parameter as a standard size. Thus, in the evaluation process will be obtained information about the level of success of the program of work that has been dilakuan. Does managed to reach the target or has not reached the desired target.

Step Marketing Plan
From the explanation mentioned above, shows how the marketing plan is not just a mere discussion of the marketing division. But the marketing plan is a basic concept that will be the direction and corporate objectives in selecting the strategy to be applied.

Thus, in the future making this marketing plan is no longer only used as a mere routine agenda without any real step in implementation. Yet further, it should be a tool to be used in the face of competition from existing competitors and also become a media to win the competition and won the best position in society.

Of the four main components of the preparation of marketing plans, can be determined seven steps that must be done in preparing the marketing plan. the seven steps are:

- Determining the business insights that will dipiliih by company
- The company's strategy in winning the competition
- A determination in a concrete sales targets.
- Marketing Mix consists of the four P's of Product, Price, Promotion and Place.
- Determination of the company's financial budgets in all divisions
- Implementation planning
- Evaluation of all activities planned and their implementation.

Knowing the importance of marketing plans, then back to yourself, is still reluctant to make marketing plans and planning failures, or vice versa, making trouble at the beginning of the marketing plan, but is optimistic of success in sight.

When the economic crisis sweeping the world, many people try their luck into the entrepreneurial world. This was driven by a variety of success stories of entrepreneurs who achieved much in a variety of articles entrepreneurship. Success that later became the inspiration for some people, that the entrepreneurial world also has prospects as bright as the world of work.

In the article self-employment, in addition to many success stories to tell employers also provide several other important info. As for information on what type of entrepreneurship is becoming a trend in society, or also on some kind of entrepreneurship that will evolve in the foreseeable future.

On the other hand, in the article too much self-employment provides some overview of business was run by some employers. Here will be presented on the picture of the development of a variety of business sectors from a business standpoint. So that it can provide a more in-depth overview for those who want to enter the entrepreneurial world.

Entrepreneurial Perspective
Someone who wanted to get into the entrepreneurial world, courage is not enough capital and strong financial support alone. That both of these is one of the main capital in the entrepreneurial world, is true. But keep in mind also, that both of these are not the only thing that determines a person's success in the entrepreneurial world.

Because, besides those two things there are still some other factors that could be the deciding factor of success a person running their entrepreneurial activity. It is also often presented in the article about the true story about a person's success.

One figure who is often told to start a business from scratch is Bob Sadino. Figure who is known for his hobby shorts in a variety of events, the only success story started from six chicken eggs. Of the six chicken eggs which dijajakannya around from house to house, will later become the initial capital to establish successful business empire in Indonesia.

It quickly became evident, that financial support is not the main determinant of success in entrepreneurship process. There are still some other factors that could be a determinant of one's success in carrying out their entrepreneurial activities. And this is what it should be noted, that all people have the courage and willingness to become an entrepreneur. And not just maintain the old paradigm, to become an employee after they complete their education.

Some of the considerations that need to be performed by a person in choosing the type of entrepreneurs who will work at them are:

- Market Factors

Factor here is the market opportunity and market availability. Whether in the future, we run the business which can be accepted by the market or not. In addition, it should also be considered regarding how to market tastes similar products that already exists. So that we can mencipakan different products from existing products. Surely by making changes in the product so as to follow the tastes of the market in order to be accepted by consumers.

- Competition factor

In the article mentions many options entrepreneur entrepreneurial types that already exist in society. Thus, we will know what kind of entrepreneur who already has many competitors, and which are not many competitors.

An option that many businesses are competitors, usually have a higher risk of failure. However, business does not mean that inside is full of competition is not feasible to choose from. If we can provide the competence or excellence rather than a product created by a competitor, it is not impossible it is we who will be the winner in the process of business competition.

- Capital Factors

In carrying out an entrepreneurial activity, we must calculate carefully the financial problems. This is to determine the financial system to be selected, especially in the preparation of capital.

In this option, there are three types of capital that can be taken. The first is the capital comes entirely from private funds. The second option, capital comes from a combination of two or more parties. And third, capital comes entirely from outside parties.

To determine the choice of type of capital that will be selected, one of them by using risk analysis. The greater the risk of a business that will be run, then you should own the smaller the capital invested. Thus, we will minimize the level of risk that we will get.

Conversely, the smaller the chance of risk and greater profit opportunities, then the choice of capital is to use their own capital in larger portions. And if possible, the overall capital requirements to use private property. Thus, we do not have to share profits with other parties in the future.

- Factors of Production

Production factors are referred to here is all things relating to the component supporting entrepreneurial activities to be run. Among these are the raw materials, labor and also the fulfillment of its supporting equipment.

Many business activities are established by approaching the location of production factors. This is done in order to save production costs for the transport of factors of production to the place of business. However, this can only be done if all factors of production are at the same location.

Meanwhile, if the location factors are in different locations would be a challenge. For that there are two alternatives that can be done. The first alternative is to place the business location was in the midst of all the factors of production. The second alternative is to choose a business location in the most dominant factor of production, such as near the location of raw materials, labor or too close to the consumer.

Creative
One of the key in achieving success in the field of entrepreneurship is creativity. Without the high creativity, then someone will just be a washed up without ever able to be themselves.

Story of stories of successful entrepreneurs, always colored by their imagination that creates the creativity that never occurred to anyone else. As a result, they are able to create something new that eventually becomes a new trend in society.

Then how to create creativity? There are several ways you can do to bring creativity. The first is to broaden their horizons in looking at all the new things that are around us. Thus, we will get used to thinking about different things that have never existed before.

Besides the creative process can be extracted in a way to cultivate the courage to dare to embody all the ideas that exist in our brains. Without courage, all the ideas and brilliant ideas that may actually only be stored in our brains alone. And this is a classic problem that many entrepreneurs face us today.

Therefore, we need to cultivate the courage. do not be afraid of the comments of others who laugh at our ideas. But make it as a spirit of ridicule to prove that our ideas are not wrong.