Streamline your Journey of Entrepreneurship: 5 Trade-offs to Determine the Fortune

Entrepreneur, the word itself describes the passion, innovation and urge to show your importance not only to the corporate world but can be exemplary for the budding entrepreneur. Many of us must have driven crazy the way they look, the way they talk and the way they possesses or their accomplishments which has been better explained in the infographic by StartupBros. But one thing that is more likely neglected by all, the way they strategize. Strategies, also known as the master plan or game plan that is more likely act as a game changer. These strategies are evaluated on the basis of expected outcome.

Also read: Journey from a startup founder to an established entrepreneur: How?

Any misapprehension can cause the fortune of a company vulnerable. Currently, dedicating in a mobile app development company, where components are scrutinised since technology turns obsolete twinkling of an eye.

Although there are innumerable trade-offs, but there are five essential trade-offs that will be the deciding factors of its long-run survival. These are measured on the basis of predetermined metrics which accomplishes to be a successful entrepreneur.

Short term stability versus long term viability

As far as strategic leadership is considered, then there are few factors that play a significant role. Sustained wealth creation, consistent growth and expansion and healthy financial stability which are although predecessor of shared values and a crystal clear vision. These components individually ensure the long term viability and backbone of a successful venture.

An entrepreneurs has to identify where to dedicate special attention while building the resources, capabilities and key out the competencies in order to strive the sustainable competitive advantages. Sometimes the leaders more likely give priority to the short term goals and overlooking the outcomes of fierce environment. Hence, it depends on the entrepreneurship skills to recognize the turbulent environment which otherwise can cause organisational failure in the long run.

Entrepreneur must have a visionary feature that can explore and exploit simultaneously while maintaining the financial stability in the short run while gearing up for long-run viability.

Formal team versus Informal team

This is a most important trade-off for the long-run survival. Although the probability of recruiting the middle management with formal team is quite high. But the upper management more likely spins around the informal team. For instance, this trade-off cast direct influence on productivity, capacity to carry out organisational objectives, adaptability to change etc. Since we are dealing with fierce environment, this decision lay a cornerstone for the future fortune. A formal team of mobile app designers and developers are the real technical enthusiasts while the informal team are always the backbone for constant psychological support.

So, understanding and evaluating the advantages and disadvantages of formal and informal team can elucidate this trade-off more prominently.

Individual brilliance versus team brilliance

Assuming your business idea to be brilliant, you are paving your way by thinking differently considering the existing problems and situations. You will certainly have the first mover’s advantage in case your idea is fundamentally and economically viable. But your sole contribution is not sufficient to bring the idea into reality.

Team brilliance reckons synergy which surpass the Individual brilliance. Working into a team evolves with individual perspective, their respective skills and experience in order to solve the complex problems, attaining new solutions. Hence, their individual ideas are far beyond the individual scope.

In a tech-savvy company we cannot solely rely on individual idea because we handle technology and each corner cannot be scrutinised single-handedly.

Recruitment of employees versus debut of technology

Although it is widely considered that artificial intelligence surpassed the human intelligence. But your organisation fails if you are 100% relying on the technology. Employees are the fresh talent that possess the cognitive processes with their past experience. Introducing your technology is a good idea and a step in favour of a successful venture. But the technology is not capable enough to operate without the psychological result of perception that the individual employee possesses. Their capability of approximate calculation of quantity, degree or wrth still remained a challenge for technology.

Also read: Is Artificial intelligence competent enough to supersede Human Intelligence in 2017?

Here, it comes the entrepreneur characteristics that will elucidate to come out from this perplexed decision.

Perceived risk versus real risk

Although it depends on the level of passion and optimism you bear. For an entrepreneur, time is the opportunity cost that could have been investing in other venture with good salary with less real risk. But, it diminishes the probability of flourishing his favourable cognitive process to the real world. Here the perceived risk in case the venture fails.

But the real risk is the availability of jobs in come uncertain cases.

While dealing with the technology, this is not the ending point of perceived and real risks. The vulnerability of turning technology obsolete, is the next big risk which is not perceived yet real one. So, here are two things which can be somewhat helpful in case of uncertain point of time:

●    Adequate contingency plan

●    Raising and allocating capital according to the stages, instead of allocating the entire amount upfront.

Running a mobile app development where an entrepreneur has to be geared with contingency plan while reducing the perceived risk.

Summing up!

These are some of the cardinal trade-offs that can screw up the dream of entrepreneurship and career as well. But have some confidence on your managerial skills which are the foundation of learning entrepreneurial skills. Because mistake is the best chapter to learn and ensuring your venture’s long-run survival.