Why Are You in Business? Your Inner Rationale
The last time around, we detailed out some of the reasons why we are in the business we are in. We wrote about why we serve the MSME sector in India, for instance. What is it that drives us?
Why are you in the business you are in? What is the inner rationale that drives you?
Questions To Ourselves
In our last post, we answered a few questions:
- Why are we in this business?
- What do we hope to achieve?
- What drives us? Why?
- Why do we target the segments we have chosen?
There are four main questions, and all start with the word ‘why’, or is qualified by it.
Simon Sinek, in his book, “Start with Your Why” has a simple proposition. People do business with you when they know why you are in business.
I will say this. He is not the first person to ask this question. However, he has done us all a great service by raising this question to a high level of public awareness.
If Your Answers Are
If you ask yourselves the same questions, and you don’t know the reason why, you have a problem.
Let’s assume your answers follow the following pattern:
1. Why are we in this business?
1.1. We are in this business to make money.
2. What do we hope to achieve?
2.1. We aim to be the number one company
3. What drives us? Why?
3.1. Above industry profitability? This way, we may be able to find a good buyer, if needed.
4. Why do we target the segments we have chosen?
4.1. They are the fastest growing and the most profitable.
Those answers are not, in themselves, bad. However, they do not answer the fundamental question of why you got into the business. No one gets into business to make losses.
Everyone wants:
1. To make money
2. To be number one
3. To be respected
What sets you apart from the others? The reasons why you got into a particular business can help differentiate you.
If you know why, if you feel it strongly in your heart and belly, then you will find ways to become successful. You will find a way to achieve your original purpose. You will find it easier to hire motivated employees, and to find people to partner with you.
One Case
We did work with a design firm that wanted to set up an idea and product exchange in building and construction. We asked them the same questions.
The only answer we received was that they wanted to sell the business in less than three years.
The venture did not get off the mark.
If you don’t know why you are in a particular business, then you should not be in that business.
You should be able to answer the question of why you are in a particular business.
If you want to find out more, or to see how we can help you, contact us at rajiv@aranya-advisory.com
