Have you ever visited the favorite retail store only to discover an empty warehouse with board rental shop lettering hung at windows or not ? There are a lot of shop owners on the last business day usually explain to the closure by blaming the economy and online competition . But to accept the truth: What is happening comes from the reason that the managers had the wrong choice of essential commodities and many other problems . Here are 7 common mistakes that harm retailers should avoid :
1. Selecting the wrong partner:
The right partner can help you a lot in business, whether it is a partner closely with your partner or a capital contribution but did not participate in governance. You can skip several steps in the process of doing business with partners who truly believe by having a great relationship for years. However, if you do not check each other at work, you are likely to deviate from their expectations. If there is disagreement, what would you do and exactly as your partner will do? Because the partnership is not an employee but you can fire at any time. Establishing a business, or simply a retail store is a race, if it took a few quick months to stabilize, so both you and your partner need to work together seamlessly puree to achieve success.
Location is an important factor in the retail business, this sure you have heard a million times before. Location, location and location. However, the choice of location can not be completely accurate, because very few people can know exactly what is at the center, where traffic is convenient and appropriate demographic. The rent is a very important factor in site selection decisions. You totally can save 30% of the cost of a location is not the main road but will spend more advertising dollars more. Therefore, carefully consider in selecting store locations. You are not Starbucks (a famous coffee brand in the world) to be able to go anywhere you want.
3. Run along now
Maybe you are someone who has great vision, but the start-up retail business alone is also quite difficult. You can do the work of two or three people, but alone you can not control is the work of two or three people like that. That is why you need to hire a store manager or assistant to help you part in controlling the work, to avoid the distraction and loss of vision.
4. Does not control the underlying index
Profit and loss, capital and cash flow harmony is the basics of a business. If you do not want to learn about the issues that’s okay, but you need to hire someone to do it rather you can not ignore them. In the course of business, you need to control the basic figures such as revenue, profit, cost, … to ensure the business is still performing well. If not, chances are you’ll fall into the situation there is not enough money to cover expenses, even more stupid, you can go to jail for not paying taxes quarterly.
5. Mistakes in hiring staff
It’s great when you can do the same with their friends , but will be very prone to conflict -related responsibilities and benefits . Therefore , it is best that you hire your own staff a fully meet the job criteria .
6 . Failing to manage people
As a business owner , your job is to manage and train their staff to do a better job selling. Humans play a very important role in business, if your system is not strong enough , you will easily be knocked out by competitors . Therefore , let’s invest in our people , in skills , professionalism and their loyalty .
Sales sometimes do not truly reflect the situation of a business activity . If you do not understand all the costs and profits , you will never achieve breakeven . You must believe in the product , price and staff were trained her . We know a woman who is the owner of a restaurant , always remind your new employees on the maximum cost reductions . For example, a ceramic coffee cup , if only a little chipped and must be discarded, so they never put too much in the sink with forks , plates , … in order to avoid cost increases chipping and affect profits .
Good luck and success on the way the retail business of yourselves !