The key to the success or failure of SMEs lies in the boss

Source: Internet
Author: User
The popular management and management books in the market are more concerned with multinational companies such as IBM and HP, but more people are working for small and medium-sized enterprises. Small and medium-sized enterprises are also the backbone of the entire social economy, the so-called enterprise strategy is only useful to large companies. Multinational Companies may fail due to strategic mistakes. The disadvantage of small and medium-sized enterprises is often caused by incorrect tactics, few small and medium-sized enterprises seem to have gone bankrupt due to strategic mistakes.

It is difficult to find industries without competitors. the operation of enterprises, especially small and medium-sized enterprises, is more related to the strength of managers, especially bosses. According to the analysis made by Mr. Zhu tianyangyi of Japan, 99% of the business performance of 1-9 people is determined by the company's boss's individual strength. 98% of the business performance of 10-29 people is determined by the boss's individual strength, 96% of the business performance of 30-99 people is determined by the boss's personal strength. In fact, the success or failure of small and medium enterprises depends on the boss's personal strength. The boss's strength determines the future of small and medium enterprises.

Some people say that the purpose of enterprise operation is to pursue profit. The famous management master, Mr. Peter Drucker, pointed out 60 years ago: "The purpose of business operation should be to develop customers, in addition, we should regard profit as the cost to maintain stable enterprise operation. "It seems that the key to the success or failure of small and medium-sized enterprises lies in the ability of the boss to develop and retain customers.

To increase the profit margin of an enterprise, the per capita gross margin of the enterprise must be higher than the average level of its peers, and the per capita cost of the enterprise must be equal or lower than that of its peers, to win more customers than competitors in a specific region, so that they can gain a higher market share or even become the first. If it is difficult to increase the market share, or if the amount of each transaction is small, you can change the market share to the customer share. The first share of the customer will increase the gross margin and reduce the cost, in the same period of time, more customers will be contacted with each other, and the business efficiency will be greatly improved. The customer has the highest share of customers. The customer will help you introduce more customers and enjoy a better reputation, word-of-mouth marketing has a better effect and has the highest share of customers. When competitors in the same region go bankrupt and go bankrupt, their customers will mostly flow to themselves, so that they can obtain a large number of customers without the need to explore the costs, of course, this is good for business operations.

How can we achieve the highest customer share? Franklin once said: Time is money. To win in the competition, the interview and contact time with the customer will be longer than the competitor's. The interview and contact time with the customer will increase by 10%, the regular profit will increase by a factor of 1. In addition to the customer's face-to-face, the customer is affiliated with the work of making phone calls, sending faxes, and sending emails, which accounts for the total working hours, it will also determine the profit margin.

100% of the decisions on purchasing products are in the hands of customers. How can we retain customers? Record all the situations of the company and customers, and check whether there are any unsatisfactory situations from the customer's perspective, so that customers prefer themselves better than other competitors, make yourself one of the most memorable customers of all competitors.

All these tactics, as small and medium-sized enterprises, often require the boss's affinity. The boss's ability affects the survival of the company, isn't it?
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