Why Businesses Fail: The Truth Behind Success and Survival in the Market
Did many of you observe why so many businesses fail and wonder about the reason? Or maybe most of us assume that their business is going bankrupt or collapsing. That might be true. But what could be the real reason behind it? Well, I don’t think the products are necessarily bad enough to cause a business to shut down completely. Instead, I believe it’s because business owners don’t take the time to truly understand what consumers want and need, especially in the long run. This is why, in technopreneurship, customer and market validation are crucial. They help entrepreneurs ensure that their business idea is relevant and sustainable before making significant investments. Thanks to Engr. Miriam Bergado for discussing this topic in a YouTube video I watched. I gained valuable insights from it, and I’d like to share some of them with you. I also learned that not everyone will be my customer because not everyone will buy my products. Therefore, I need to have a target market—a specific group of people to whom I will sell my products. It’s important to define the customers’ needs, who they are, and whether the product fits into their lives. This ensures that the business can run successfully for a long time. Other businesses also follow this approach, but they make sure to clearly specify their target audience because it helps them become profitable. However, this can also be risky, especially if the audience is too small. Additionally, some customers may like my product but are not actually willing to buy it. That’s why it’s important to filter out these kinds of people, as relying on their feedback might be misleading. To properly validate your customers, you need to engage with them directly. This means conducting surveys, interviews, or even testing a Minimum Viable Product (MVP)—a basic version of your product that allows you to get real feedback before a full launch. Many businesses fail because they Competition is another major factor. No matter how unique your idea seems, there will always be competitors—direct or indirect. Some businesses succeed not because they have the best product, but because they know how to position themselves effectively in the market. That’s why market validation is more than just proving your idea works—it’s about making sure it can survive and thrive. Competition is another major factor. No matter how unique your idea seems, there will always be competitors—direct or indirect. Some businesses succeed not because they have the best product, but because they know how to position themselves effectively in the market. That’s why market validation is more than just proving your idea works—it’s about making sure it can survive and thrive. From everything I’ve learned, I now understand that technopreneurship is not just about coming up with an idea—it’s about solving a real problem and proving that people will pay for the solution. By researching, testing, and refining the approach, You can reduce risks and increase your chances of building a successful business.
