Location strategy

Strategic Planning

Being in the right location is a key ingredient in a business success.  A location strategy is a plan for obtaining the optimal location for a company by identifying company needs and objectives.

Location decisions are important to both large and small businesses.  It has a direct effect on the operation costs as well as its ability to serve customers, ie making more revenue.

It means the firm will attempt to maximize opportunity while minimizing costs and risks.

Formulating a location strategy typically involves factors such as facilities, feasibility, logistics, labour, community and site, trade zones, political risk, governmental regulation, environmental regulation and incentives etc.

Choosing a location for a new business is one of the most important decisions entrepreneurs make during the planning phase of launching ventures.

The location of a business can affect many aspects of how it operates, such as total sales and how costly it is to run.

The location decisions, once made, are difficult and costly to undo.  The costs of moving an operation are often significant and run the risk of inconveniencing customers and staff.

It is always best to get the location decision right first time.

Aiyan Thiruvalluvar says

தொடங்கற்க எவ்வினையும் எள்ளற்க முற்றும்

இடங்கண்ட பின் அல்லது. (491)

कोई काम न कर शुरू, तथा न कर उपहास ।
जब तक रिपु को घेरने, स्थल की है नहिं आस ॥ (४९१)

Explanation by Scholars: 

Let (a person) not under estimate nor undertake any act, until he has obtained (a suitable) place.

ஈடுபடும் செயல் ஒன்றும் பெரிதல்ல என இகழ்ச்சியாகக் கருதாமல், முற்றிலும் சரியான இடத்தைத் தேர்ந்தெடுத்து அச்செயலில் இறங்க வேண்டும்.

Successful Formulation & Execution (SFE)

Strategy Planning  

Without a careful, planned approach to execution, strategic goals cannot be attained.

Set clear priorities. Entrepreneurs might fail in carrying out their strategy if they set too many priorities.

Establish only one priority at a time along with supporting initiatives and specify measurable goals in the strategic plans.

Entrepreneurs should develop key performance indicators (or KPIs) that can be measured and monitored on an ongoing basis.

The staff should gather periodically for different types of update meetings.

The entrepreneur should also meet with the executive team and key management personnel to evaluate the progress with the strategic plan.

A benefit of this information sharing is that employees will feel like they are contributing to the organization's overall success and will feel excited, motivated and engaged.

The process will ensure that the entire organization keeps in sync with the entrepreneur's vision and strategic plan of execution.

Aiyan Thiruvalluvar says

எண்ணிய எண்ணியாங்கு எய்து எண்ணியார்

திண்ணியர் ஆகப் பெறின். (666)

संकल्पित सब वस्तुएँ, यथा किया संकल्प ।
संकल्पक का जायगा, यदि वह दृढ़-संकल्प ॥ (६६६)

Explanation by Scholars: 

If those who have planned (an undertaking) possess firmness (in executing it) they will obtain what they have desired even as they have desired it.

எண்ணியதைச் செயல்படுத்துவதில் உறுதி உடையவர்களாக இருந்தால் அவர்கள் எண்ணியவாறே வெற்றி பெறுவார்கள்.

Weighing the Competitors

Effective Marketing Strategy - Strategic Planning          

In business, identifying the competitors is important before a business owner finalizes his decision about which business category and market segment to compete in. It is vital to the success of a new or existing business because it reduces risk, time, resources and expense.

The company must narrow the choices and decide which industry, product or service categories, brands, geographic areas, channels of distribution, etc., to compete in. Every company should know about their competitor's market share, buyers perceive about competitors' products, competitors' financial strength, their ability to spend money on advertising and promotions.

Every competitor has definitive weaknesses that may be points of potential advantage for other company and products. Finding the competitor’s strong side will help the business owner to understand what it takes to be successful in the market.

Dividing competitive forces among different markets, flanking attacks in weaker markets, direct frontal assaults with spending, new products and pricing across all market segments and product lines are examples of tactics.

Understanding each competitor's behavior in terms of short- and long-term objectives, strategies, and tactics will be extremely important to survival and success, in business as on the battlefield. Many of the marketing programs mimic battlefield moves.

Aiyan Thiruvalluvar says

வகையறச் சூழா தெழுதல்   பகைவரைப்

பாத்திப் படுப்பதோ ராறு. (465)

टूट पडे जो शत्रु पर, बिन सोचे सब मर्म ।
शत्रु-गुल्म हित तो बने, क्यारी ज्यों वह कर्म ॥ (४६५)

Explanation by Scholars

One way to promote the prosperity of an enemy (the competitor), is (for a person/business owner) to set out (to action) without having thoroughly weighed his ability (to cope with its chances).

வினைமேல் சென்றால் நிகழும் திறங்களையெல்லாம் முழுவதும் எண்ணாமல் சிலவற்றை எண்ணியவுடனே தொழில்மேல் செல்லுதல், பகைவரை வளரும் நிலத்திலே நிலைபெறச் செய்யுமொரு வழி.

Timing is everything

Strategic Thinking & Action

Perfect timing can make a good idea great. No doubt you have lots of ideas about how your area of business could move forward. But often our good ideas are only great when the internal conditions and external market are right for them.  A seemingly good idea can be quite frustrating when it is not in line with current strategic goals and business needs.

The speed of strategy is not related to calendar time. Timing for the right market move, investment or shift in focus is predicated on opportunity or threat, and ability, not the start of the quarter or year. Unfortunately, even some of the best and brightest managers and business people consider timing as an afterthought. Their thinking goes something like idea, budget, target customers, competition.  But they do not think about perfect timing.

Being patient is a necessity to a life of achievement because it is the nature of things and the law of time that they cannot immediately reap where they have sown. Anything worthwhile takes time to grow and mature. So the dreams too require this time of nurturing and growth.

Patience is an absolute requirement for the attainment of any goal, because some things simply can’t be rushed or hurried. It needs necessary thought and attention to detail to bring to fruition. They require a long term commitment and dedication to follow through with a set of actions despite the various challenges and obstacles that you might face along your journey.

Patience is not about sitting idle waiting for things to happen. Idleness can actually breed impatience and stress. Patience is something that is proactive in nature. It requires full involvement and attention. Get the mind in the right place, then figure out how to be effective and then take action.

In business perspective, the best decision making is the Timing, Tactics and Strategy ie., ready, aim and fire.

Aiyan Thiruvalluvar says

கொக்கொக்க கூம்பும் பருவத்து மற்றதன்

குத்தொக்க சீர்த்த இடத்து. (490)

बक सम रहना सिकुड़ कर, जब करना नहिं वार ।
चोंच-मार उसकी यथा, पा कर समय, प्रहार ॥ (४९०)

Explanation by Scholars

At the time when one should use self-control let him restrain himself like a heron and let him like it, strike, when there is a favorable opportunity.

காலம் கைகூடும் வரையில் கொக்குபோல் பொறுமையாகக் காத்திருக்க வேண்டும். காலம் வாய்ப்பாகக் கிடைத்ததும் அது குறி தவறாமல் குத்துவது போல் செய்து முடிக்க வேண்டும்.

Competitive Collaboration

Strategic Planning

Business is a war and the competition is the enemy.  Is it true?  It need not be.

Collaboration between competitors is a strategic alliance that can strengthen both companies against outsiders. Companies having competitive collaborations can enhance their internal skills and technologies.

A better strategy is to build alliances with the competitors and become better and stronger for a successful business. It will help in great way to defeat the giants in the business.

When two competitive companies collaborate, they become more equipped to face the big competitor in the market by gaining access to a unique feature that was missing for them to cater to a huge or a bigger market. Competitor collaboration can increase the chances of success in future head-to-head battles. 

If, both competitor companies are chasing a larger player in the industry, then both companies are motivated to work with each other to stand against the larger player.

The idea is that when competitors collaborate, a typical win-lose business scenario transforms to a win-win game in which both parties can reap superior benefits.

Aiyan Thiruvalluvar says

தன்துணை இன்றால் பகையிரண்டால் தான்ஒருவன்

இன்துணையாக் கொள்கவற்றின் ஒன்று. (875)

अपना तो साथी नहीं, रिपु हैं दो, खुद एक ।
तो उनमें से ले बना, उचित सहायक एक ॥ (८७५)

Explanation by Scholars

He who is alone and helpless while his foes are two should secure one of them as an agreeable help to himself.

தனது பகைவர்கள் இருபிரிவினராக இயங்கும் நிலையில் தனக்குத் துணையாக யாருமின்றித் தனியாக இருப்பவர், அந்தப் பகைவர்களில் ஒருவரைத் துணையாகக் கொள்ள வேண்டும்.

GOAL

Grab Opportunity And Live 

We all dream and wait for our perfect opportunity so when it comes, be ready to grab it instantly. Opportunities don’t often come along.

Most people either aren’t paying attention or they don’t realize the importance of opportunities. They respond to opportunity in a lethargic manner over a prolonged period of time. We should be mentally prepared and understand that opportunity can’t be measured by its size. If we can grab the opportunity, no matter how small it is, but it may have the potential to turn into something big. 

When we actively change our thinking and perception toward a more opportunistic mind-set, we can actually invite and take advantage of more opportunities in our daily lives.

Many people are perfectly capable of discovering opportunities that greatly benefit their lives. Unfortunately, opportunities don’t last forever. But we can take steps to make sure that we are not missing out on something that is truly life-changing.

If we grab the right opportunity at the right time, we will achieve great success in our life.

Aiyan Thiruvalluvar says

எய்தற் கரியது இயைந்தக்கால் அந்நிலையே 

செய்தற் கரிய செயல். (489)

दुर्लभ अवसर यदि मिले, उसको खोने पूर्व ।
करना कार्य उसी समय, जो दुष्कर था पूर्व ॥ (४८९)

Explanation by Scholars:

If a rare opportunity occurs, while it lasts, let a man do that which is rarely to be accomplished (but for such an opportunity).

கிடைத்தற்கறிய காலம் வந்து வாய்க்குமானால், அந்த வாய்ப்பைப் பயன்படுத்திக் கொண்டு அப்போதே செய்தற்கரிய செயல்களை  செய்ய வேண்டும்.