In this article, I have something essential to share with you all. I want to discuss the impact of education on business and the development of our society.
It has an enormous impact on Entrepreneurs as how they grow and build a brand. Before I share the effects of education on Business Owners and Entrepreneurs, let me share an incredible story of three friends so that you narrate to this blog.
The Main Determinants Of Business Success.
Idea, Experience, and Knowledge.
How Educated Employees Benefit Your Business?
Let’s get started and understand it.
The Impact Of Education On Business:
Once upon a time, there lived three friends in an old village nearby a large forest. The town was a small one and had little population.
Most people in the city would indulge in day to day activities for business purposes. In contrast, the others would work as woodcutters, which involved cutting and selling the woods in city markets.
The town had three young boys full of passion and grit to earn money to change their family and the village’s economic conditions.
The Three Friends:
The boys shared a strong bond; thus, they wanted to settle upon the same profession. The wood cutting industry was flourishing because the forest possessed a rare kind of wood that was famous around the region for its unparalleled qualities.
Hence, the boys decided to pursue their careers in the woods.
The Electric Cutter:
Each of them started their business. They would go to the forest, cut the woods and then sell it in the market.
Several days passed, and two of the friends felt they were earning far less than they should; hence, they needed an upgrade.
So they decided to buy an electric woodcutter that would cut double the quantity simultaneously as an axe.
Although purchasing an electric woodcutter took several months of constant effort, the results were worth waiting for.
Each of the two friends had an instant boost to their profit, and the friend, who didn’t invest in the cutter, was left far behind.
The Search For Better Markets:
Several more months passed, one of the friends realized that it is vital for them to find better markets, as markets with lesser competition may offer more prices, therefore, a chance of earning more significant profits.
Hence, he decided to search for needs in other regions. Although spending time searching for markets resulted in a delay of several weeks as no work could be done, the search unveiled to him multiple markets that offered a considerable profit margin.
The selling price in the newer market was as high as twice the one provided in older markets.
The Difference Between The Three:
Several years passed, and the three friends met again; their conditions were far different from when they began their business.
One of the friends has maintained the same lifestyle as before, as he could earn a sufficient amount used in his family’s day to day running.
The second friend was better than the other as he has settled his business and has earned a decent amount over the time, his earning was good enough for his sustenance, and he compiled adequate reserves as savings.
The last friend turned out to be the best amongst the group as he had turned his business into a large firm that employed hundreds of people.
The employees ranged from woodcutters to transporters and commission-based sellers; his business flourished around the country, making him one of the village’s wealthiest people.
The Main Determinants Of Business Success.
The story contains an essential description of the business conditions in the real world. There are three factors in determining the success of your business.
The first goes as “idea,” the better the idea you have, the more the profits you earn.
However, if your idea isn’t supported by parallel execution, it would just be a good idea and not a profitable business.
The second determinant is “your experience,” as it is widely believed that experience teaches you lessons that no book can. This statement is no myth.
Experience can help you overcome obstacles in a better way and minimize their impact on the business.
The last and the most critical determinant is “your knowledge.” It plays a fundamental part in the establishment of a successful business.
If you didn’t figure how a lock works, it would be a folly to put your finances in it.
Idea, Experience, and Knowledge:
The first friends only had the idea which all other competitors in the industry possessed, the second one learned from his experience, which fewer people did, thus had better profits.
Lastly, the third person had an unrivaled knowledge about the market. Therefore he was the most successful of them.
How Educated Employees Benefit Your Business?
Life is a combination of ups and downs. Sometimes you will suffer through a rough patch while the sun might shine to its glory the other day.
Starting a business is a decisive step in one’s life as it has the potential to bring a massive change in your life for generations to come.
There might be some reasons that 50% of all the business startups quit their operations in the first five years while half of them won’t even last a year.
As mentioned above, “education” has a vast influence on the success of a business. It can bring an exponential rise to your profits and can help you expand it.
In this blog, I would discuss the impact education can bring to your business to be well equipped with everything you need before setting up your first foot in the business world.
Step 1: They Make Data-Driven Decisions:
To be victorious over your rivals, all you need is expert, highly-skilled, and educated employees that can make quick and data-driven decisions.
Data-driven decisions are based on data and smart analytics. It has numerous benefits over conventional decision-making, including favorable results, well-informed decisions, and lesser risk of failure.
Additionally, it turns the businesses into profitable because they are executed by keeping an eye on the market, customer demand, and previous performance that play an extremely significant role in increasing the business’s sales or services. Thus, making it more profitable.
A recent study has also concluded that data-driven organizations are 23 times more likely to acquire customers, 6 times more likely to retain customers, and 19 times more likely to be profitable over their competition.
So, if you are looking to beat your rival, hire a team of highly educated & skilled professionals who know how to make smart decisions so that you can be victorious over your competitors.
Step 2: Highly Skilled in Problem Solving:
If you’re a business owner, then you would indeed have faced lots of hurdles and barriers in your way.
At the movement, when you encounter such challenging hurdles or obstacles, all you need is strategies to tackle them without harming your business.
Similarly, when your business is on a wider-level, you would undoubtedly require professionals who have expertise in problem-solving so your company operates successfully.
Professional employees are highly expert when it comes to solving problems. Throughout their academics, they learn about strategies and tactics to sort out the issues.
Experienced employees have highly developed analytical, innovative, and creative thinking skills to tackle problems easily without causing any severe impacts.
Step 3: Edge Over Your Competitors:
The final reason is an edge over your competitors. Customer satisfaction plays a crucial role in business success, and a professionally trained & educated team goes above & beyond to provide satisfaction to their customer.
They are well-aware of tactics & techniques to acquire customer satisfaction, turn the first-time buyer into returning customer, and ways of engaging customers.
Customer satisfaction creates a significant impact on sales of business and turns organizations into successful.
Meanwhile, an unprofessional team shall turn off the buyers. As they don’t have adequate information or expertise in acquiring customer satisfaction.
A recent survey reported that the most common reason for business or startup failure is unable to achieve customer satisfaction.
Now, you know the significance of customer satisfaction in flourishing your business.
Step 4: Well Trained Workforce:
There is a massive skill difference between a trained workforce and an inexperienced workforce.
Hiring a skilled workforce is an excellent opportunity for you to build up the right people for your organization.
Education and training tend to lead to an improvement in employee performance. These employees have received adequate training and perform better roles as compared to the untrained workforce.
Educated & trained employees are highly skilled. Their expertise in their fields is unparalleled to the others. Also, they can make more reliable decisions and lead their team more effectively.
It also improves the company’s reputation leading to more customer satisfaction and higher productivity of employees.
Also, trained workforce employees would make fewer mistakes as they are highly experienced.
When you would have a Skilled Workforce, the Confidence would be greater among the team, and quality is higher, leading to higher job satisfaction.
Turning The Startups & Businesses Successful In India-
The pandemic has seriously affected the recently commenced business & startups in the entire world.
Similarly, Indian startups & businesses were also negatively impacted by this pandemic. The business felt plenty of troubles during this pandemic.
Additionally, the covid-19 outbreak also caused bankruptcy for many well-known brands in many industries as consumers are staying at home, and economies are shut down.
However, there are still many approaches the business & startups in India can implement to be successful.
- Businesses should focus on developing strategies and concrete plans to employ to beat their competitors effectively.
- To be successful, businesses should conduct market research. The market research would help them learn the spending pattern of customers that would surely help them succeed.
- The next step businesses should expand their marketing efforts. Effective marketing is the key to improving your sales. Effective marketing would help you to fill the gap caused in your sales during the pandemic.
- Lastly, businesses should cut down additional costs. Business cost for everything from office space to vehicle expenses always seems to be on the rise, so keeping expenses in check is a crucial task for business owners.
The recent few months were hard for businesses to survive. However, following the tips & developing plans would surely help them to succeed.
The Indian government should also provide financial support to the business & startups so that the business & startups would grow and contribute to the country’s economy.
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