Ten Principles Of Entrepreneurship

Unity of knowing and doing

Success

"Unity of knowledge and action", in other words, "focus on everything and start on a small scale".

Some entrepreneurs only know to work hard all day, take themselves as an ordinary employee, fall into a lot of day-to-day operation chores, concentrate on "small places" and "neglect the big", do not "act" on the basis of "knowledge".

Draw materials locally

In the face of the vast market, how to find the starting point of starting a business? For the entrepreneurs below the county level, the entrepreneurial path they choose is often different from that of the townspeople.

Taizhou's private economy has been developed, that is to say, "starting from the start of business and choosing materials locally" has chosen "two water plus plus" as an entrepreneurial project.

Aquatic products and fruits are special products in Taizhou. It is easier to run individual processing enterprises.

Looking at Taizhou, Xi Qiao town is the hometown of violin, producing 350 thousand violins each year, accounting for 60% of the national output and 20% of the global output, and the annual output value of the violin manufacturing industry is over 300 million yuan.

Ye Xu town is a "sports equipment township", the town has more than 150 sports equipment production and sales enterprises, with an annual output value of more than two hundred million.

The two towns are bigger and stronger around the local characteristic industries.

There are many characteristic industries in our city, but there are not many enterprises that make use of local materials and become bigger and stronger.

"Material" can be a tangible characteristic industry, a characteristic resource, or an intangible resource.

For example, a folk song, a legend, a story, an allusion, and even a few proverbs, as long as valuable, can lead to a commodity, an industry, a well-known brand.

The problem is that entrepreneurs should have a vision of discovery and innovative ideas. They should seriously study and explore in depth.

Entrepreneurial culture should be specific.

For example, specifically to "tourism culture", "teaching aids culture", "food culture" and so on, take these cultures as the center, develop related industries, produce products with cultural characteristics, are not specific, no real work, no culture.

Industrial Cluster

A rural leader once suggested that Shihe people start their business by developing the teaching aids industry. Why can't we do it? We can't do it, but we may not succeed.

The teaching aid industry was not originally a special industry of Shihe, but the development of teaching aids industry in Shihe River has an important feature: cluster.

In the ten years, the pioneering road has formed the advantage of today's industrial cluster and has strong competitiveness.

No matter which town, it is impossible to produce teaching aids in a short time and reach the size, variety, quality, brand and sales network of Shihe.

Entrepreneurship, of course, does not necessarily have to choose teaching aids items, but it is necessary to choose industrial clusters.

Why? Because it has been proved by many parts of the country to be a road to success.

Take Shaoxing textile as an example, nearly 4000 enterprises in the city do textile.

Some specialize in raw materials, some for printing and dyeing, others for sale.

Because the division of labor is very small, every enterprise has done a very good job, which is conducive to improving quality, reducing costs and innovating technology.

This kind of industrial cluster has formed the competitive advantages of the domestic and even the whole world rapidly through the single enterprise's specialization and the whole region's whole, through the single enterprise's small and the entire region's big.

It is worth mentioning that Huaian has a good foundation and conditions for the development of industrial clusters, but so far no industrial cluster has caught up with the Shihe teaching aids industry. What is the reason? It is worth thinking at all levels of leaders and entrepreneurs.

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Make a mountain out of a molehill

If anyone suggests choosing a nail clipper to start a business, you may think it is a joke that you can make money by making small products such as nail clippers, but it turns out that you are wrong.

Small commodities can also be made into big industries, big markets and big money.

This is what we call "making a mountain out of a molehill".

By 2002, Liang Boqiang, the successful entrepreneur and Chinese nail clipper king, had made the annual sales of durable nail clippers with an average price of only two yuan more than 200 million yuan, and more than half of them came from the international market, and the entrepreneurial path of "making a mountain out of a molehill" was verified by the rapid development of Wenzhou's private economy.

Why do we succeed in making a mountain out of a molehill? Liang Boqiang said, big bosses don't want to do small businesses.

Because the market is small and can not afford big capital, the big boss looks down on it, just like "there are no tigers in the mountains, and monkeys are king". Small bosses usually only play a small role, eager for quick success and instant benefits, and have no product innovation, brand building and maintenance consciousness or ability.

Life's "little questions" are everywhere, and the market gap always exists.

The problem is that entrepreneurs should change their ideas and not think that they are not promising. They must firmly believe that the market is developed.

Small businesses need constant insistence. Small commodities can not only reduce costs but also produce cluster effects.

It is not easy to make a mountain out of a molehill.

Out of nothing

There is no resources in the region, and there is no technical superiority and superiority. Can entrepreneurs explore a path to successful entrepreneurship? The answer of Wenzhou people is that nothing is invented.

Wenzhou's geographical location is remote and its resources are poor. Wenzhou enterprises themselves do not have much technology and talent. But relying on the market-oriented mind and means, Wenzhou's private enterprises are "out of nothing". They have successfully allocated and gathered various productive resources for their own use, and have repeatedly created amazing "zero resource phenomena", "zero technology phenomenon" and "zero production phenomenon".

Interviewed in Wenzhou, local experts said that Wenzhou people made money by new ideas, new ideas and new ways, making money through hard work and flexible adjustment.

The so-called "out of thin air" is not nothing, some are entrepreneurial spirit, and some are market economy brains.

This is the most important and the most scarce.

"Only thought is the real capital and everything else is resources."

If we do not emancipate our minds, our market consciousness is not strong and our market means are backward, we must not develop "zero resource economy".

On the one hand, venture is risky, and on the one hand, it is down-to-earth.

Entrepreneurs should have a keen market instinct, and can see blank spots from a turbid market. If we have foresight sensitivity, we must not hesitate to make efforts to do so.

Brand sharing

Market economy is brand economy. Enterprises without brands can only be nameless.

Any startup enterprise wants to create its own brand.

In a sense, the success of entrepreneurship is to cultivate brand success.

However, it is not easy for start-ups to create a loud brand.

How to find a correct path with short cycle, low cost and brand building? This is brand sharing.

Brand sharing refers to the market competition strategy of several enterprises that use the same brand based on the product or service provided by them to form an overall advantage.

The original enterprises with limited resources can form a consortium with the same brand as a link, carry out brand publicity, effectively reduce costs and increase marginal benefits, and easily form scale benefits of brand awareness and reputation.

How to implement the brand sharing strategy? First, we must determine the product mix, technical service standards and target market positioning of the brand; secondly, we should find a partner to find a certain number of enterprises that meet the brand positioning requirements, and reach a brand sharing agreement on the basis of mutual willingness. Then we will expand the brand impact and pay attention to brand protection.

Resource integration

What does entrepreneurship need?

Almost all entrepreneurs do not first have resources to start a business, but to find resources and integrate resources in their business.

The fact that a large number of entrepreneurship has proved that resource integration is an important path for successful entrepreneurship.

Zhejiang CHINT group's annual output value was 11 billion last year, but in July 1984, when Nan Cun Hui started to start up, it was only a family workshop factory. Its output value was only 10 thousand yuan.

Last year, the comprehensive strength of CHINT was ranked the fifth in the whole country. What is its "unique skill"? The key is to integrate resources continuously.

In the integration of resources, "CHINT" will soon become bigger and stronger and become a modern enterprise.

Entrepreneurial enterprises need different resources, but the way to integrate resources is basically the same. This is cooperation.

Seek resources in cooperation and accelerate development in cooperation.

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Upstream

The impulse to start a business is to dare to challenge the status quo.

One of the two similar operators in a state-owned enterprise feels that they have restricted their ability to play in the state-owned enterprises, so they challenge the status quo.

At the beginning of 1980s, he started his own business in the sea, and now there are millions of families. But the other person has no courage to go to the sea to start an undertaking, but still works in the original enterprise.

Why do two people with similar abilities basically have such a large income gap? Why are there two different kinds of work results? The important reason is that two people differ greatly in their choice of opportunities.

Willing to take risks, dare to go upstream, generally have the ability to opt for opportunities, so the risk of income is high.

Nowadays, people who seek stability risk are not individual.

Entrepreneurship is not the first to ask if there is any risk. If we hear that there is a risk, we will go downstream. This is where entrepreneurship is, entrepreneurship takes risks, and all entrepreneurs are adventurers.

The essence of market economy is to be scarce. What is more scarce, and what is more valuable.

Ten of the top third qualities of China's rich are risk taking.

Money scattered and people gathered

The money here refers to equity, which means that the more dispersed the shares are, the more cohesive the people are; the more concentrated the shares are, the more unwilling the people will come to your enterprises.

After setting up their own businesses, some entrepreneurs always want to have the ownership and equity of the entire company, so that they can not disperse their ownership, so that all employees of the company are "wage earners".

This kind of "money gathering" brings about "people scattered".

Technical talent can not be brought in, management personnel can not stay, even ordinary employees are mixed up for a day.

When interviewed private enterprises in Zhejiang, the most heard is how to make all staff "loyal and dedicated", because this is a big problem related to the sustainable development of enterprises.

Employees must be loyal and dedicated, and their foundation is shared.

Property rights, technology, management, talent, environment and public relations are all important for an enterprise to grow and expand.

Under the trend of multiple forms of ownership and diversified development of property rights structure, it is a successful path for entrepreneurial enterprises to gather talents through relative decentralization of ownership.

Go your own way

When an entrepreneur starts an enterprise, he often puts forward such a request: he wants to be stronger than his competitors in all aspects, and thinks that only by achieving "omnipotence" can the enterprise succeed.

In fact, it is impossible to achieve omnipotence. Omnipotence is often impossible.

It is difficult for any enterprise to be perfect in every respect, and higher than competitors.

The success of start-ups is the recognition of the market rather than the recognition of their opponents.

Some enterprises succeed because they are effective in implementing innovation. Some enterprises are better than competitors in products, services and prices.

The important thing is to give full play to the strengths and qualities of the entrepreneurs, and to keep the entrepreneurial spirit as always as possible and to play the entrepreneurial spirit unremittingly.