Developing others: Analysis and Advice
Technological advancement has facilitated innovation and transformed business operations globally. Entrepreneurship has become one of the major trends leading global economies (Devece et al., 2016). In the current economic situation, many people, especially graduates, are venturing into the entrepreneurship sector, starting as small and medium business owners. Although starting a business may seem easy, its success depends on personality traits, business trends, and the application of technology. This assignment is based on the entrepreneurial aspiration of an E-commerce enthusiast. Analyzing the entrepreneurs’ traits and capabilities gives good grounds for professional counsel.
Tom Keen is an ambitious young man who believes in the power of hard work and risk-taking. He is aged twenty-five years and has a bachelor of commerce, which he obtained last year. Tom grew up in the village with his extended family and occasionally would accompany his aunt to the town for some errands. During his visits, he learned that one could order products and services online and have them delivered to their doorstep.
His interest in E-commerce developed early and motivated him to study a business course at the University. At the moment, he has managed to save a substantial amount of capital, enough to start an E-commerce business. Although he has little understanding of programming and IT, he has a friend who can help him to set up his E-commerce website. He believes that with the knowledge he has in business operations and his personal motivation and drive, he can set up a successful e-commerce venture.
The Entrepreneurial Dream
Tom’s dream is to start a venture that can ease the burden on his village people through E-commerce. From experience, he has learned that household goods and electronic gadgets are mostly in demand. However, most sellers are located in far-away locations, making it hard for some people to move from one dealer to another comparing the goods. In addition, travel cost is a significant challenge for low-income earners (Karim & Gide, 2018). Therefore, a significant gap exists between demand and supply, which could be reduced by bringing products closer to the buyers through E-commerce.
Tom’s dream is to start and operate “TOKEEN,” an e-commerce site that will sell a range of products, both small and large scale machines, household goods, and all personal products. The business will operate by connecting with all major retailers in the U.S. The customers will have the opportunity to order their preferred goods or services by searching through all available options and making an order and specifying the delivery address. No customer will be required to make any advance payment to ensure that all consumers can freely rate the products and reduce the business risk. A customer will also have the opportunity to cancel the order any time before the products are delivered, and no extra cost will be incurred.
Desirable Entrepreneur Competencies for an E-Commerce Business
Competition in the E-commerce sector is growing, with new entrants joining the industry and old stakeholders inventing new trade algorithms. According to Leonidou et al. (2020), success in the entrepreneurial sector depends on the ability of individuals to capitalize on the need and develop effective solutions in the most cost-effective way. One of the key competencies required for an E-commerce entrepreneur is problem-solving skills. The aim is to help customers to access products that were earlier far from their reach or too costly for them. In essence, entrepreneurship is a risky undertaking that requires creativity for success (Lin, 2021). Therefore, one has to understand what the customers need and deliver to their levels of expectations, generating a considerable amount of income in the process.
The second competency is excellent marketing skills, which go beyond having an attractive website. Karim and Gide (2018) argue that without traffic or customers, an E-commerce site would be useless. Unless someone knows about it, a nicely designed, well-optimized site having a professional-looking logo will make no money. That is why it’s critical to prioritize marketing over practically every other area of the business in the early stages (Lawal et al., 2021). Therefore, an entrepreneur in this sector needs to be a good marketer to avoid being pushed out of the market. Lastly, one needs to be a good learner to familiarize themselves with new skills and apply them. The business sector is changing fast, and unless one is updated on new developments, they may fail.
Every entrepreneur has distinct traits that define business success or failure in business. Following the personality profiling tests learned in the course, Tom’s attributes can be assessed in terms of will, control, energy, affection, and emotionality (Lawal et al., 2021). First, he is a determined and assertive individual who is ready to follow his dream at whatever cost. Second, he is enthusiastic and sociable, having the energy to push through the struggles he might face in his entrepreneurial journey. Third, he is an open, sincere, and structure person who always seeks to organize his ideas logically and communicate them effectively. Lastly, he is a determined person willing to enforce his point of view and make others see it. Often, he lacks tolerance for critics and people with a different opinion to his.
Personalities influence a person’s social life and may be determined by several factors, including education and experiences. In reference to Tom, his most prominent traits reveal that he is aggressive and enterprising, which comes with several benefits and drawbacks. According to Vakili et al. (2021), education plays an important role in entrepreneurship and personality development. Since Tom is a graduate in a business field, he believes that he is well-informed and therefore would rather attempt his tactics than seek other people’s opinions. Wang et al. (2016) affirm that self-efficacy significantly affects personality traits and entrepreneurship development. In this case, Tom is an individual whose traits make him a determined entrepreneur, but whose venture could fail due to over-confidence and lack of expert advice. Education and self-motivation are the main drivers for Tom’s personality.
When dealing with customers, an entrepreneur needs to show they care by expressing their willingness to listen. Based on the personality analysis, Tom needs to improve on his emotionality. Emotionality entails the ability of an individual to control their emotions so that they do not limit their operations (Klotz & Neubaum, 2016). Due to his assertiveness and self-efficacy, Tom lacks patience when dealing with other people. This trait could limit his ability to accommodate some customers, losing a significant amount of revenue. In addition, success in the entrepreneurship sector depends on collaboration and healthy competition. If Tom fails to work well with competitors by allowing his emotions to interfere with his conduct, he may eventually be pushed out of the market.
The action items for emotional control should be implemented both now and in the process of business operation. One action item is acknowledging the gap in one’s knowledge of the market and the business itself. Tom should learn that as a young entrepreneur, he has a lot to learn from experts in the field and customers. This aspect will make him more tolerant of other people and create in him an open mind. The second action item is adopting healthy coping skills to replace aggression and intolerant attitudes. When tempted to react negatively to correction or criticism, Tom could start by reflecting on his part in the conflict and trying other options such as maintaining a moment of silence or talking it over with friends.
Technology has become a crucial part of business operations, shaping every aspect of operations, including product development, resource management, and marketing. Cloud computing is one of the technologies that have revolutionized the business sector. According to Al-Dwairi et al. (2018), any company looking to create or expand their e-commerce platform should consider how cloud computing might help them save time and money. Tom’s E-commerce business will benefit from E-commerce in several ways. First, he will attain scalability and stability through traffic spikes and more data servers (Wang & Tang, 2016). As competition grows, Tom can be assured of a large traffic and customer base in addition to security by relying on cloud services for business hosting. Second, he will cut costs and maximize his profits. With cloud computing, one has to pay only for services used, meaning that the profits from the business can be re-invested for business growth.
In conclusion, entrepreneurship is becoming more common in the face of digital trade and economic challenges. As Tom aspires to start an E-commerce business, his personality determines his success. He is determined, educated, and a risk-taker who is willing to put in all that it takes to succeed in his dream job. However, he needs to improve on his emotionality to enable him to effectively deal with customers and take criticism positively. In reference to technology, cloud computing will help him scale his operations and secure his business while giving him the security he needs for his operations. He should also be willing to learn and adopt new technologies.
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