Entrepreneurial lessons from Zanzibar part 1
Having recently visited Zanzibar, Tanzania for my honeymoon, I was struck at how different it must be to run a business on an island in an African state. Here is part 1 of my observations:
There is a huge copycat mindset in Africa when it comes to small business. If one person starts a business and is perceived to be doing well, others copy them to the letter and open their shop right next door. We observed this a lot in Zanzibar with up to 6 shoe repair shops all next to each other in the main road. Similarly in other areas are car repair shops, bed shops and second hand appliance shops all huddled together in the same street. If you need to be the same as others, then at least move your business to another part of town where you can find customers at their place of need rather than expect them to come to you and then compete with other similar businesses.
The concept of Niche is just not heard of. All businesses are the same, the signage, the layout and content of their shops. From small street vendors to larger store in Stone Town, they seem to be made in a franchise environment. By simply changing the way you do business to be different, you begin to attract a different type of customer and begin to carve out a niche for your business, this lessons the stress of fighting for the ‘share of wallet’ that copy-cat businesses do.
The idea of bartering in an age old trade mark of Africa: People just love to barter and haggle about price and quality. I have observed this to be a national past time in Holland, but it becomes a survival technique in Africa. The only problem is that they need to barter and haggle across many different language and currency barriers. Keeping the different conversion rates in your head as both business owner and customer is often just too taxing to conclude a sale and the customer walks away. The need for a fixed displayed price in both local currency and USD would make it an easier transaction. Shops that do this, rarely need sales people, the products speak for themselves and the price is what it is. As soon as you discount your price, you are actually displaying a lack of confidence in your product.
Net Prophet 2014.
Well done to the Net Prophet team of 2014 for hosting yet another amazing and inspiring day of insights. Entrepreneurs chatting about their journeys, absolutely amazing, hearing how entrepreneurs put everything on the line for what they believe in.
As a growing start-up ourselves, we can relate to many challenges and left feeling inspired to outgrow our own expectations of our business and teams.
One speaker that stood out for me was the founder of Quirk, Rob Stocks. Great advice telling us to -Surround ourselves with people better than yourself when doing something, commit fully and to be generous with your knowledge. You need to risk something to grow your business.
The 5 C’s of Entrepreneurship part 5 – Confidence
Fear of failure, fear of friends and fear of success are common in our excuses to perform. We duck and dive and delay the inevitable day when we have to step out into the spotlight and announce to the world that we are either a success or just an average person who will never amount to anything.
The opposite of fear is confidence. This comes from a number of habits that we instill in our business leaders. Some of these are easy to define and practice. Issues such as the removal of clutter from our daily lives. Finding focus on our purpose. Understanding who, what and why we are. And to top it all practice. Creating a number of daily habits that include practicing for what lies ahead will overcome the fear and replace it with confidence. Even if you are unsure what to say or do, to do it with confidence will swing the odds of success in your favour. Learn to stand tall and build your self image around a positive attitude and confident mindset.
In my books confidence starts in the brain and moves to the heart and from there to the very tips of your being. Make no mistake that this is easily toppled, so a daily adjustment is required to get and keep it in shape and ready to face the world. Confidence results in attempt, and attempt results in success. Remember that you will miss every shot you do not take.
The 5 C’s of Entrepreneurship part 4 – Cooperation
Imagine that you run an illegal business and drive an unroadworthy car and employ illegal staff. Now imagine how much energy you need to consume each day to make sure you are not caught or found out. In fact this is the normal status quo of most small business owners in South Africa. How do you feel when a police car drives up behind you, or you get a call from the SARS or Labour offices. What is your initial emotion? Fear, hesitancy or panic?
How much of your business dealings are not up to scratch when it comes to regulation compliance and legislation. I am not talking about dealing in drugs or underage girls imported from some country, but in every day stuff like tax, labour, finance, banking, fair trade, paying accounts, dealing with customers, honest marketing. To Cooperate with the governing bodies and get your business complaint has to be one of the most relaxed positions we can achieve. I just love the time of month when I pay all the accounts and look at the empty in tray, it gives me a sense of achievement and confidence. And when the phone rings, I can answer it with confidence that whoever is looking for me it is not about some bad debt or pending audit. Build your business and future with an attitude of cooperation and it will be a smoother ride.