So as at today, what are the chances that your business will be successful? Your business’s success potential in other words? To answer this question, why not use my business success predictor. It’s a simple but effective visual analysis tool to gauge the future potential of your business. It will help you to quickly pinpoint the current state of your business. And it will highlight the things you need to get right if you want to move your business forward.
Predicting the success potential of your business is relatively straightforward. Here’s how to do it using my business success predictor.
On the vertical axis you rank your overall strategy using the strategy factors I’ve provided. This particular attribute measures the internal strategic strength of your business as at today. And so, when you add these factors together your strategy as at today will be either weak or strong. Once you’ve identified where your strategy sits on the vertical axis, draw a line from left to right.
Next, on the horizontal axis you measure the external market trend as at today. Put simply, on this axis you plot where the market/s you compete in currently stand. Once, you’ve identified the current market standing on the horizontal axis, draw a line from bottom to top.
Where the two lines intersect, that is the current success potential of your business. And as you can see from the predictor, you will fit in 1 of 6 boxes.
The two worst boxes to be in are 1 and 6.
1 is where your strategy sucks and the market trend is in its infancy. If you’re in the market sweet spot however, your chances of success rise somewhat, despite your strategy’s weakness. And 6 is where your strategy sucks and the market is in its dying throes.
In box 3, market momentum carries you along but you operate far below the market’s potential due to the weakness of your strategy.
Boxes 2 and 4 represent good places to be and if you’re in box 6 you should look for more attractive markets and categories to sink you teeth into.
Several key points to note. Firstly, the predictor only measures potential. Potential can only be realized through execution. Stated simply, if you’re in box 2 and 4 for example, and your execution is poor, then you won’t realize your potential.
Secondly, external market constraints that you have little or no control over must be taken into account. These include competitive and economic and technological factors that may impact on you.
But, as an overall snapshot of where your business sits – or where you want it to be – the Business Success Predictor is a great tool.