.Unless you have millions of dollars available to launch your new business, your best chance at winning is to focus on a smaller segment that you can excel. This is especially true if you are competing against big, well-established and deep-pocketed competitors.
Success is easier to attain if your small business focuses on a more specific and smaller area of your target market, especially during the start-up period, instead of covering the entire spectrum of the whole market.
Below is a great advice from Bob Phibbs advised in his book The Retail Doctor’s Guide to Growing Your Business: A Step-by-Step Approach to Quickly Diagnose, Treat, and Cure. While the book focuses on retailers, the advice is applicable to any types of business as well.
You can’t be all things to all people. It’s the difference between a restaurant with a menu of 200 mediocre items and one with 12 outstanding dishes. Consider how much profit you are making on your slower-moving items. Could that shelf space be devoted to quicker moving more profitable items. Yes!