Archive for June 11, 2009

Five concise questions for the entrepreneur

I’ve been contemplating the questions that concisely define a business.  These questions aren’t quantitative and are no substitute for a business plan, but any entrepreneur (or any executive, for that matter) should be able to answer them confidently and without equivocation:

  1. Who are you customers?  (or, how do you know whether or not someone is your customer?)
  2. What products/services do you sell?
  3. Why does the customer buy your product/service rather than making/doing it themselves or buying it from someone else?
  4. How does your business generate a positive cash flow?
  5. How does your business generate value beyond revenue from sales?

So, gentle reader: what essential question would you add to this list?

June 11, 2009 at 11:47 pm 7 comments


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