The Foundation of Business, Essay Example

When building a house, the foundation may well be the most important part as it provides the greatest support for the house, and so it is with starting a business.  Most of what happens when building a home, also occurs when starting a business.  When real estate people promote the sale of a house, they can often be heard saying, “location, location, location,” As with the house analogy, the location one should choose when building a business is what it should be close to and why.  Of course, before all of that, one must be certain that one not only wants to go into a particular business, but understands it well so that it can be managed successfully.  The person(s) starting a business should have a sound, well-researched business plan that contains objectives and short-term and long term goals, of which budgets are a key feature.

Today, businesses are to a greater or lesser extent a part of the global environment; and, therefore, need to understand how it operates.  Simply and succinctly stated, “Countries trade with each other when, on their own, they do not have the resources or capacity to satisfy their own needs and wants” (Economics Online).  This is, however, not the only reason that countries trade,  information that someone starting a business should know and understand.  It should be noted that there are both positive and negative advantages to international trading.

Not only start-up companies, but even some who have owned businesses for some time, fail to recognize the huge impact that their employees have on the company’s success or failure.  First of all, make certain that employees have the education and skills they say they have.  Check their references thoroughly.  If everything is fine, pay them well and give them all the benefits that you can so that they will not leave you for better financial security.  It is also very important that you positively reinforce them whenever the situations require it.

References

Economics Online. Why do countries trade? Retrieved on October 18, 2012, from http://economicsonline.co.uk/Global.