By: Vadim Kotelnikov

Founder, Ten3 Business e-Coach Inspiration and Innovation Unlimited!

 

"A failure will not appear till a unit has passed final inspection." ~ Klipstein's Law

Business Development: Stage-by-Stage Guide Gestation Stage Start-Up Stage Prototype Stage Roll Out Stage Rapid Growth Stage Expansion Stage Maturity Stage

Managing the Five Risks you face at all stages of your business development:

  1. growth risk

  2. technology & production risk

  3. marketability & competing risk

  4. financial risk

  5. team & management risk

Turn Risks into Opportunities!

4.

Roll Out

- limited product revenue; proven technology being applied to the market

Organization: Simple

Management:  Entrepreneurial

Technology: Proven

Funding Stage: Early

pp.

Problem

Solution

Action

4.1

Growth Risk:

  • Moving from an incubation phase into the real world environment

  • Need to meet market laws and regulations

  • Lack of focus

  • Thorough business planning

  • Development of full-scale commercial production units supportive organizational structures

  • Compliance with market practices, laws and regulations

 

 

The Tree of Business Success

Balanced Business System

How To Build a Great Business

6Ws of Corporate Growth

4.2

Technology Risk:

  • Scaling up of production facilities

  • Not developing unique market-driven product attributes

  • Technology adaptation based on the market reaction to the preliminary product marketing

  • Establishment of full-scale production facilities

  • Learn from experiences of other companies

  • Go for inside (alpha-) and early customer (beta-) testing of your product

  • Fix major problems based on the tests

  • Prioritize problems and address/fix the right ones

  • Use external expert advice

  • Design and establish production facilities

4.3

Marketability Risk:

  • Real life product marketing is quite different from test marketing of few prototypes

  • Low market acceptance

  • Big competitor counter-punch

  • You can't know in advance where the right fit will be

  • Low repeat business

  • Cost pressures on quality of product or customer service

  • Clear and realistic market-oriented product specifications and shape

  • Planning and running of marketing, advertising and selling processes

  • Development of marketing partnerships

Customer Success 360

Differentiation Strategy

Buzz Marketing

Synergistic Selling: 3 Pillars

4.4

Financial Risk:

  • High cash burn rate per month

  • Inadequate capital

  • Negative balances; cash outflow exceeding inflow

  • Poor turnover of assets

  • Emphasis on sales vs. profits

  • Optimizing reorganization, production and product launch costs

  • Raising of venture capital (first round) for implementation commercial-scale manufacturing and sales plan

Venture Financing Process

 

Venture Financing

How to make your project attractive to investors!

4.5

Team & Management Risk:

  • Upgrading fast without assessing needs, alternatives and employees

  • Not knowing what to expect

  • Dismissing turbulence

  • Not hiring people who fit the values and the culture

  • Not being able to change your style to fit the stage of development

  • Denial of internal feedback

9 Roles of a Team Leader

Leadership-Management Synergy

 

  

 

 

 

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