Becoming a major business is the aspiration and goal of every business owner. The ability to identify the characteristics necessary to become a Fortune 500 worthy business is one of the most significant dynamics to success. Thousands of companies often fail because of the lack of industrial knowledge and the inability to make adjustments to the changing market conditions.
Rising to the top of your industry requires a fully defined strategy and the passion, expertise, and determination to get there. A great strategy takes into consideration the people, products and all relevant entities involved in growing a great business.
The time it takes to become a major business depends on the accumulation of positive decisions a company makes on its journey toward greatness. There will be setbacks and failures. However, the power of positive response will get a company back on track.
To become an icon in an industry, a business owner must consider the characteristics that got other iconic companies to market dominance.
Dynamics of Major Business
The development of greatness begins with people power. Selecting the right people is critical to your speedy success. Question: How powerful is the team you have assembled to help your company ascend to prominence? Every team member should have mentalities and skills characterized by a:
- Sense of ownership
- Dedication to excellence
- Competitive greatness
- Team spirit
- High-level Corporation
- Highly productive
- Communication oriented
Teams that possess such mentalities and skills will waste little time in helping a company achieve dominance in the marketplace.
Strong Brand Development
Developing a strong brand image is a key success factor in bringing your business to the forefront of your industry. Your target audience must thirst for the product or service you are offering. In fact, your brand must outshine your competitors to get the attention of customers.
When you look at telecommunication giants such a Verizon, Sprint and T-Mobile, you will notice the intensity of competition. Each major brand is attempting to promote a feature or advantage which separates them from the crowd.
Discover ways to distinguish your product or service from your rivals. For example, Tiffany & Co., a major diamond jewelry seller, developed a strong brand image by introducing its popular blue gift box, signifying the high quality of its diamonds and other jewelry.
Outshine your rivals and your customer base will increase.
Every major business has a history of innovation. It is always discovering ways to produce new products or services or ways to drastically improve the ones they already have.
The market place is always changing as well as the desires of customers. Many companies who have failed ignore such trends and pay a price, resulting in downsizing or company closure.
For example, many retailers who ignored the trend toward online shopping found themselves experiencing dwindling sales and shrinking customer bases. Many of them had to go out of business while others are constantly struggling: Sears, Macys and Kohl’s department stores, for example.
Product line Expansion
The days of surviving with a singing product are over. In order to grow to greatness, a company must expand its product line to meet the needs of a broader range of customers. Great organizations worthy of Fortune 500 recognition offer multiple products and services to their customers.
Industry icons, including Apple, Google, and Microsoft are always adding new products or services to their inventory. They are aware that the idea of newness intrigues customers and arouse a great sense of public excitement.
Product expansion is one the factors that keep customers coming back to see what is new. For example, every time the news hit that Apple is introducing a new version of the iPhone, the excitement over the new mechanism is incredible. Long lines of loyal customers wait for hours or even days to be the first ones to purchase the product.
Growth of Company Revenue
Reinvest! Reinvest! Reinvest in your business. Don’t waste your earnings on material or physical pleasure, especially if you are attempting to become an icon in your industry. Your company must have ample finances to experience great growth.
Growing your revenue begins with understanding how to be financially responsible. Without a solid financial base, your business will go nowhere. Your organization will experience a continuous state of financial crisis.
Therefore, every major business should have a highly organized certified public accountant. Reading and interpreting financial reports and making a quality decision is the key to keeping a business operating smoothing. Individuals who are financially competent will introduce ways to invest your revenue for maximum return.
Financially are experiencing such a state because of wise reinvestment of their revenue in highly profitable things, including
- Competitive technology
- Enhanced Skills & training for employees
- Product innovations & expansion
- Quality marketing & distribution
- Relevant Stocks & bonds
Acquisitions of Rivals
One of the greatest feats in business is the ability to purchase your rival. Major business is known for such tactics. The advantages are vast. Acquisition of the competition allows the purchasing organization to the intriguing technology, enhance expertise and comp ability of the company that once kept them up at night.
The added value of these advantages is the instruments help companies achieve market dominance. Google, AT& T, and Microsoft and other major businesses have a history of acquisitions.
The ability to purchase a rival company won’t happen overnight. You will need to achieve a degree of business success in order to buy out your competition. But as you company grow toward greatness, the opportunity will come. Seize it.
Becoming a major business will require you to expand your reach. Remaining in one city, state or region will limit your ability to reach market dominance. Great organizations will endeavor to operate in all regions of the United States on the road to multi-nationalism.
Such great icons, including Google, Apple, and Microsoft, have no boundaries when it comes to reaching new geographic markets, cultures, and customers worldwide.
An insatiable passion to serve the entire world is what drives a business go beyond national boundaries to reach strange, new, and intriguing societies of customers.
One way to expand geographic boundaries is to form an alliance with other organizations similar to your own. Not only will this increase the capital you have to work with, you will also gain access to highly profitable technology, highly significant competencies, and attractive geographical markets.
Businesses rarely become major alone. Two is always better than one, even though disagreements may occur.
The history of fortune 500 worthy organizations is filled with forming quality alliances to achieve market dominance over common rivals and to move beyond regional and national boundaries.
Enhancing Distribution Strength
The ability to get your product or service to customers before the competition does is what will separate you from the pack. Capital, as well as logistics, must be optimal in this case. Distribution strength is what gets the attention of demanding customers.
Customers don’t want to wait a long time for products and services. Time is of the essence. If your company doesn’t respond in a timely manner, you will lose your customers to rivals who have the strength to massively get the product into the customer’s hand.
Every person along the product chain must possess a dedication to excellence in this area. A corporative passion to enhance every area of the product chain will guarantee timely and efficient delivery of products and services to your target market, increasing customer base and loyalty.
Response to changing Market Conditions
A major business will have a history of intelligent responses to changing market conditions and trends. The ups and downs of the marketplace place are inevitable.
The changing needs and appetites of customers will vary with the times and seasons. Economic stress, in terms or recessions and depressions, will affect how customers buy and sell.
Businesses must adapt to these changes. Sometimes the response is to downsize or restructure your business, brand, product, or services. Other times, if your brand is strong enough, you may center your ambitions on a particular target audience, perhaps the rich.
Focusing on the rich in a time of economic distress is exactly what Tiffany & Co. did during the 2008 recession. Targeting those who had a taste for fine jewelry, the iconic jewelry company increased its prices on high-class diamonds to sustain its dominance in the industry. The result was a success.
However, a business may not go to the extreme when it comes to price increases, but most of the major businesses possess enough capital or products and services to survive an economic crisis while less successful business will crumble during such challenging times.
Sometimes a strong brand name alone will help deliver a major business from crumbling. Several major businesses received government bailouts during the recession of 2008 due to their strong brand name or to their significance in the marketplace. Two of such iconic companies include JP Morgan and the Ford Motor Company.
The bottom line is responding immediately to changing market conditions. The downfall of countless business has been to ignorance of economic change.
Becoming a major business want be easy. There will be setbacks and failures. However, a strong vision, strategy, and determination to achieve market dominance will enable you to pick your company back up and start again with renewed passion, knowledge and determination.
Learn the lessons from the great iconic companies who have experienced the ups and downs of the market and have not only survived but have thrived off the adversity.
The pleasure of achieving major business status will indicate your greatness in a variety of ways. Reaching such an iconic status indicates that your organization possesses:
- Superior industrial knowledge
- Team spirit and ownership mentalities
- Outstanding product & Service Quality
- Strong Brand name image
- Extraordinary Distribution power
- Attractive & Loyal Customer Base
- Quality Expertise, Technology, and competencies
- Ample Capital for innovation and expansion
In addition to the above, your organization will be listed as a fortune 500 worthy company and will be recognized as a model for excellence.