Is it worth overcoming barriers to entry?
Posted: Sun Dec 22, 2024 6:19 am
Given that there are so many barriers to entry, is it worth starting your own business and is there any chance of winning this “battle”? There are no simple answers to this question, but surely every prospective entrepreneur should be aware of their existence and take them into account when creating their company strategy to analyse whether their business will be profitable. It is also important to note that the higher the barriers to entry, the lower the competition and, conversely, the philippines number list lower the barriers to entry, the higher the competition. Therefore, high barriers imply high risk, but also greater opportunities for growth and more profit. Regardless of the type of business we are going to run in the future, the decision to start one must be well thought out and supported by a thorough analysis of the possible obstacles and how to overcome them.
If, after reading this article, you are still struggling to identify the barriers to entry for your company, please contact us. Together, we will determine which factors are most threatening to your company and advise you on how to overcome them in the most effective way.
The conclusions and proposals on the types of strategy that a company should adopt based on the SWOT analysis are very general. Therefore, management and consultants must determine how the strategy will be implemented, identifying specific actions or decision recommendations for the company as a whole and for individual areas of the company. It is certainly also a good approach to use other strategic analysis tools, such as, but not limited to, the following: a Porter's 5 Forces Analysis , Astra Analysis si PEST Analysis . The results of these analyses provide a more accurate and complete picture of the company's strategic situation and effectively complement the often simple and obvious factors identified by the SWOT tool.
Furthermore, the SWOT method is prone to subjectivity. Often, those conducting the analysis expect certain results in advance that will confirm their initial thesis, which will reduce the quality of the analysis performed. Therefore, it is important to be objective and keep your distance during the study. It is also advisable to consult employees from different levels and departments of the company and approach them with equal importance, that is, not to belittle the opinions of lower-level professionals compared to, for example, management. This approach will broaden the perception of the organization of those conducting the analysis and provide the opportunity to confront the different perspectives of people in the organization.
If, after reading this article, you are still struggling to identify the barriers to entry for your company, please contact us. Together, we will determine which factors are most threatening to your company and advise you on how to overcome them in the most effective way.
The conclusions and proposals on the types of strategy that a company should adopt based on the SWOT analysis are very general. Therefore, management and consultants must determine how the strategy will be implemented, identifying specific actions or decision recommendations for the company as a whole and for individual areas of the company. It is certainly also a good approach to use other strategic analysis tools, such as, but not limited to, the following: a Porter's 5 Forces Analysis , Astra Analysis si PEST Analysis . The results of these analyses provide a more accurate and complete picture of the company's strategic situation and effectively complement the often simple and obvious factors identified by the SWOT tool.
Furthermore, the SWOT method is prone to subjectivity. Often, those conducting the analysis expect certain results in advance that will confirm their initial thesis, which will reduce the quality of the analysis performed. Therefore, it is important to be objective and keep your distance during the study. It is also advisable to consult employees from different levels and departments of the company and approach them with equal importance, that is, not to belittle the opinions of lower-level professionals compared to, for example, management. This approach will broaden the perception of the organization of those conducting the analysis and provide the opportunity to confront the different perspectives of people in the organization.