New-age business problems need new-age solutions powered by relentless, tenacious, and stubborn people, who find good reasons to keep moving forward amidst a thousand odds, willing to achieve their objectives using innovative thinking and business acumen. Entrepreneurship is a prime example of a pursuit that aligns well with this category.
To thrive and become successful, individuals aspiring to become entrepreneurs must possess at minimum, foundational skills that empower them to evolve alongside their ventures.
Every successful startup commences with a visionary individual capable of discerning opportunities amidst challenges. The capacity to embrace novel concepts and transform them into reality is pivotal for a budding entrepreneur's triumph. Nevertheless, vision alone falls short; innovation serves as the driving force propelling your startup onward.
As per a report by IBM, Institute for Business Value, and Oxford Economics titled “Entrepreneurial India”, 90% of Indian startups fail within the first five years, because of an innovation deficit.
While India prides itself as the world's third-largest startup habitat, surprisingly, the majority of such ventures face failure not due to a lack of funding but rather a shortage of innovation.
In the digital-driven world, being a pro with all things digital is super important for modern entrepreneurs. This is because those who are tech-savvy and excel in strategy stand to gain a competitive edge. A report by McKinsey & Company found that organisations that prioritise digital transformation can increase their annual revenue growth by 2.5 times and their profit growth by 1.8 times. Additionally, digital tools such as data analytics and automation streamline operations and decision-making, leading to efficiency and cost optimization.
The entrepreneurial journey is laden with success and failure. Having a growth mindset enables new-age entrepreneurs to leverage these experiences as opportunities rather than obstacles. Resilience and grit complement their capacity to recover from setbacks quickly and emerge adaptable.
According to Researchgate, resilience stands as a fundamental component of entrepreneurial behaviour. Insights gathered from 500+ entrepreneurs across the globe revealed that personal traits such as resilience are of utmost significance for entrepreneurial success.
Networking and collaborations are critical factors for the success of every business, regardless of its size. However, for startups, their significance becomes more pronounced. Networking has the potential to unlock new opportunities, facilitate partnerships, and ignite collaborative efforts. A LinkedIn poll found that 76.2% of entrepreneurs feel collaborations assist their firm’s growth.
Therefore, aspiring entrepreneurs should recognize the pivotal role of fostering meaningful connections in advancing their growth and achieving success.
Emerging entrepreneurs must remain adaptable to stay up-to-date with trends, and technologies and to counter any crisis. This includes a willingness to learn and embrace new tools, platforms, and methods to optimise their business operations.
According to HBR’s report, during the Great Recession, a mere 9% of companies across industries managed to thrive. These companies had a common narrative, - they had mastered the art of agility to survive amidst turbulent times.
This select group of businesses was focused on research and had well-thought-out strategies for navigating the recession, including targeted investments. Hence, they outperformed their competitors with over 10% sales growth.
Entrepreneurs are problem solvers. Whether it's addressing customer issues, optimising processes, or strategizing for growth, the ability to identify, analyse and solve problems efficiently is paramount. Effective problem-solving skills are the foundation of a sustainable and growing business.
According to a Hubspot survey, 53% of entrepreneurs consider problem-solving to be the most critical skill, close second to communication (54%).
The capacity to sell and market products or services distinguishes successful ventures from the rest, making it an essential skill set for sustainable success. It becomes even more critical for aspiring entrepreneurs with budget constraints, less time to market, and fewer resources.
According to a report by Deloitte, after identifying the market-fit product or service, the primary obstacle encountered by early startups is developing their go-to-market strategy, which results in an extended sales cycle and exhibits unpredictability.
Therefore, mastering the art of enticing potential customers and successfully transforming them into paying clients is paramount for all aspiring unicorns.
Every entrepreneur knows that moolah matters, therefore understanding how to manage it matters even more. This essential skill prevents overspending and facilitates the appropriate allocation of company resources.
Additionally, understanding how to create and interpret financial statements is imperative. Budding entrepreneurs must have a sound understanding of financial principles to make informed decisions and ensure long-term financial growth.
Entrepreneurship is a tricky job. It may demand skill sets beyond those mentioned here, yet new-age entrepreneurs equipped with these 21st-century skills stand a greater chance of successfully navigating their exciting and courageous journey.
The article is authored by Vandana S Ahuja, Organisational HR Adviser & Executive Coach (ICF), Executive Director - Metamorph Dynamics Consulting
