Nigeria, Africa, and the world as a whole are experiencing rapid deterioration in the economy, mostly due to the outbreak of Coronavirus. As a result, a lot of people have been relieved of their jobs and are forced to start-up or invest in whatever business would generate a lot of income that would be sustainable in this period of inflation in prices of goods. A good business person should understand that there are certain factors to consider while making business plans. These factors include:
Availability of resources:
To start-up or to invest in a business, resources available to kick-start the business and push it through to its peak should be considered. There should be thorough research on:
1. The season for the availability of such resources.
When a particular product is in season, it is usually very cheap so purchasing such at that time, in bulk, would help the business to move on even when the season is over.
2. How long it would take to acquire the resources
The time factor is very important. Venturing into a business that takes too long to acquire some raw materials for production would require ordering of such materials beforehand, and that too in large quantities, otherwise, the business could collapse.
3. How long the resources would last before the acquisition of more resources
Knowing about the durability of resources would help those involved to comprehend what to do when the half-life approaches. The most considerate option would be to buy those products and launch on time for quick purchase.
4. How much it would cost to run the business overall
This deals with the proper analysis of how much will be spent while running the business aside from capital, and making the business profitable.
Carefully taking these factors into consideration would help to analyze the risks and prospective gains in venturing into such businesses.
Areas of interest of the market
Let it be known that only the reactions from the market, based on their interests, would determine whether the goods manufactured and sold can attain their prospects. If it is too expensive to purchase, there would be less demand for such goods, and this can lead to a loss on the part of the manufacturer. The opposite happens when the market is in favour of one’s product. It should also be known that side effects observed from consumption of goods can lead to a huge negative impact on the business involved.
Areas of interest of the manufacturer
This is actually not the main factor to consider while venturing into a business because the interest of a manufacturer is mainly profit and goods produced might not be accepted by the consumers based on different criteria like how much it costs, how useful it is, how accessible it is, how much money they would have left after purchase to cater for themselves and so on.
The productivity of previous businesses.
After carefully analyzing some of the factors listed above, what businesses could possibly help to counter the high cost of living at this time?
1. Fast food or mobile restaurants:
This business has been a big boom since the increase in the price of foodstuffs. Since most people can’t afford to buy a lot of foodstuffs, they opt to buy already prepared meals and snacks since it is cheaper, especially the ones made in local cafeterias, in order to save up money for other purposes. It is also one of the most palatable options for those who work for a long or those who juggle a lot of jobs since they probably would not have enough time to prepare their own food.
2. Companies that specialize in the manufacture or and distribution of natural hair products
The trend amongst females today, especially in Africa, is to attain full, long, and healthy natural hair, and normal hair care products cannot achieve such, so they abandon them and seek natural remedies. In order to be able to make their DIYs themselves, they need natural products, which are hard to find in modern cities and towns. Investing in such businesses would definitely bring a lot of profit as the world contains mo the female gender than the male. The products are also good for men that desire to maintain unique hairstyles that require retaining natural hair length.
3. Importation and exportation of fruits and vegetables
Since the outbreak of Coronavirus, doctors and medical specialists have warned people to not only stay in their homes but to eat what will build their immune system. Since the lockdown has been eased, it is no longer difficult to buy and sell products to the people. Since some of the requirements are fruits that are rich in vitamin C, there has been increasing in demand for oranges, lemons, limes, and vegetables to detoxify and strengthen immunity, and this has been in the favour of those who deal with such shipment.
4. Spices production
Through research, we are made to understand that certain spices help to cure Coronavirus in some people, like garlic, and also helps the internal system as well. Sealing business deals with companies involved in the production and distribution of spices would yield a lot of profit as spies can also be used to cure some skin infections and to cook likewise.
In conclusion, the success of business mostly lies in the economy of the nation. Business people should be ready to increase or decrease their prices in relation to the instability of the economy.
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