virtuos cycle and disruption

economic growth and preparation

I guess many students and applicants apply to MBA courses to change a career or learning of business, but actually, they could not learn how to run their corporations by a book though it would be possible to change a career. The real learning of business is to sustain their own company with their budget they got, whether they got a small budget or not. So, they realistically face how hard it is to grow a business and realize the real management not in a book but in the reality. A funny thing is that too many people say like "why so many companies could not earn money." But, if they are in the position of an owner, they will experience the inability to pay a single salary. Anyway, business is too difficult to remain. I have thought about a lot how I'm able to gain more profit from the e-commerce systmem so that I figure it out a few things. It's simple rules theorically in my short opinion.

First, create other business acount to prepare an economic difficulties.

As many people already know, there are serveral economic fluctuations ;  a pandemic, an economic downturn, a real estate problem, bank interest rate etc. For example, last year of 2019, we remembered that Covid-19 made people frustrated as bringing fear. Because of a pandemic, everything had stopped even poeple didn't go anywhere and didn't buy anything. Eventually, community business has collapsed dramatically. Most of the businesses closed had increased exponentially over the course of a year. We cannot forcast our future so that we must prepare for economic difficulties previously by saving the money.

Second, after saving the money, invest other things like making products and adding selling categories. If you have sufficient capital, it is the best safe guard.

Before starting business, It's good to have extra money and have a practical supporters who can help with management. However, starters who had never experienced business bofore don't have enough money so that, realistically, it takes about more than three years to grow a corporation under the premise that there are no assets economically. Therefore, The money is an essential thing to last even a year.

Third, It is a little bit the same above. Create additional sites or space to accommodate more customers.

But, the problem is that it's not easy to activate all. It would take a lot of time until the company obtained the investment or sufficient assets. That's a real reason why so many companies and start-up are going bankrupt within a year or a half year. Short budgets, lack of support from the government, rapid economic fluctuation, and dept make start-ups ruin eventually.