If you are one of the millions who dream of owning their own business but do not know how to find the right products to offer, this article will help. Here you will find five questions you should use to judge any product you are considering to find its true business potential.
The first question you have to ask yourself is whether or not enough people want or need your intended product. You will want to choose a product with as large a potential market as possible. If you are unable to envision a target market large enough to make a profit, then you will be wise to keep looking for another product.
The second thing you have to consider is whether or not your product can make a profit. Are people going to be willing and able to pay what you must charge to make a profit? And, if you charge enough to make a profit, will your customers still feel they received good value? If not, you will not be able to depend on the repeat business from your customers that is the lifeblood of any business.
Thirdly, ask yourself how much competition will you have? Remember, it is not only businesses that offer the same product, but all businesses in the genre. For example, if your company sells kitchens counters, you will be competitive against every store that sells not only counters but every sort of home furnishing and appliance store as well. Most people lump their home improvement dollars together and you will be competitive against them all so be sure to take this into account as you decide what to offer.
Next, is there a consistent and reliable supply of what you intend to offer? If you intend to have your products made for you, have you thoroughly checked out the manufacturer? How long have they been in business? Have they had recent financial or production issues? What will happen to you if they go out of business? These are all questions you have to consider.
Lastly, you want to decide if this is a product your customers want or is it one they need. In good times and bad, people will buy what they need, but only buy what they want when they can. Clearly, the preference here would be to offer what people need.
If you do not arrive at the right answer for each and every one of these questions, you need to keep looking. Choosing the right products to offer will likely be the most important factor in whether your business makes a profit, or even survives, so take the time at the beginning to make the right choice.