Unless you spent the last year meditating in a cave high up in the Himalayas, you would have witnessed the tectonic shift in how we work and do business. While some businesses were better prepared to navigate this unpredictable environment, many others weren’t. But why did some businesses struggle to deal with this change?
The apparent answer, staring us right in the face, is technology or, more specifically, a lack of it. The companies that struggled failed to embrace and implement essential business technologies. And when the rules of the game changed, they were caught off guard.
Since then, the good news is that more and more businesses are righting their wrongs, which has accelerated the adoption of new technology. And this trend is here to stay.
Here is how technology helps shape and build the future of entrepreneurship digitally:
1) Access to a global market
Technology takes out geographical barriers to doing business. You can sell your product or service to a customer living in the remotest corner of the world. Well, the world is your playground now.
2) Ease of setting up a business
You no longer need a brick & mortar store or rent office space to kickstart your business. All you need is a business idea, a web presence, and a device with internet access. And boom! You’re open for business.
3) Accelerated learning
Improving your existing skills and learning new ones is essential if you want to succeed as an entrepreneur. And yes, you don’t need to spend your entire day at a business school to hone your craft. You can join an online entrepreneur institute to learn at your own pace while also focusing on your business.
4) Reduced operational costs
Technology has come a long way, and you can conduct most business functions for a fraction of the cost. For instance, you can deploy bots to assist your customer service team in handling customer queries, thus reducing the number of reps you’d need to hire. Or you can use video conferencing technology, in combination with other tools, to eliminate costs associated with office space and business travel.
5) Increased revenue
The math is pretty straightforward here, Larger customer market + Low operating cost = Higher revenue. Expanding your market to new regions lets you tap into new customers that you’d have difficulty accessing using traditional business practices.
6) Customer acquisition
Before the digital revolution, the best way to acquire new customers was through TV, radio, and print ads. That cost a lot of money, though. Thanks to technology, entrepreneurs can specifically target, engage and persuade their customers through online advertising at a significantly lower cost.
7) Pivot your business
If your business idea isn’t working as you’d expect, you can tweak your product or service and pivot in a new direction. A lot of entrepreneurs have used this strategy to make their businesses profitable.
8) Scale rapidly
If you had to scale your business in the real world, you’d need to open a chain of stores or offices, hire employees, buy equipment, etc. You get the picture, right. All of this takes time and investment. But thanks to technology, it’s much easier to allocate more resources to different business functions, thus saving you time and money.
9) Competitive advantage
Doing business online gives you access to data on a variety of metrics. You can analyze this data for customer insights so you could improve your product or service to fit their needs. Consistent improvements to your product will ultimately give you a competitive edge over other businesses.
10) Free flow of information
Having access to the right information is essential for making the right decisions. As an entrepreneur, you and your team are constantly making high-quality decisions. With the right tech tools in place, you’ll ensure that your team has access to the information they need, whenever they need it, no matter where they’re.
Conclusion: Technology is the backbone of every successful business enterprise. The importance of technology to business is indisputable. And the advantages of technology in entrepreneurship are manifold.
As an entrepreneur, it’s important to assess your strengths and weaknesses because you can only create value from a position of strength. Take the Wealth Dynamics’ Entrepreneur Profile Test for an in-depth understanding of your skills, personality traits, and the steps you need to take to succeed as an entrepreneur.