Business activities always carry the risk of being not only profitable but also unprofitable. To avoid negative consequences, the entrepreneur should form entrepreneurial behavior, which is a necessary condition for achieving success.
What is entrepreneurial behavior?
By this term, experts mean a set of conscious actions of the entrepreneur, which reflect the peculiarities of decision-making when choosing economic alternatives. Entrepreneurial behavior is the kind of behavior in which a person realizes his desire for wealth and popularity with maximum efficiency, but at the same time, he remains in a state of psychological comfort.
According to psychologists, this is a special type of behavior in which the subject of economic activity does not do what others do, as well as he uses unusual methods. Here are the main aspects of entrepreneurial behavior:
- The constant search for new solutions. The entrepreneur must be productive, act ahead of competitors, and never miss opportunities to start a new business.
- Perseverance in solving problems and overcoming obstacles. If the strategy does not work, then it is time to change it.
- High standards. The work should be performed in a timely manner so its results meet high expectations.
- Reasonable risk. You should take a conscious risk after you analyze all the alternatives you have.
- Compliance. The planned project must be completed on time, even if it takes up your personal time.
- Forming goals. You should focus only on meaningful goals and objectives that are feasible for your personal environment.
Thus, entrepreneurial behavior is the drive for change, conscious risk, prediction, and timely elimination of possible dangers, as well as a permanent search for alternatives to choose the best one of them.
Five behavioral strategies for success
If you rely on the memorized information and previous experience, you will surely think stereotypically. You should choose the right settings correctly to form appropriate entrepreneurial behavior. There are several strategies that will teach you to make the right decisions by looking at the problem from all angles.
Often, failures in business do not arise from a lack of knowledge and skills but because of too many tasks. So it will require you to spend your energy on unnecessary issues and forget about the main factors.
An American economist and the world’s most famous investor, Warren Buffett, recommend that you prioritize correctly. His rule 5/25 consists of 3 steps:
- Write a list of twenty-five goals you would like to achieve in life.
- Select the five most important items from the list.
- Identify the five selected targets as priorities, and just forget about the remaining twenty.
Buffett’s strategy can be applied to any area of life, including the formation of entrepreneurial behavior.
Regarding entrepreneurship, the term refers to a unique competitive advantage that a company has. As in antiquity, the fortress was defended, surrounded by a protective moat. So businesses should be protected by features that make them more attractive against the background of competitors. Unique characteristics must be numerous, diverse, and difficult to copy by competing firms.
Hasty and inefficient decisions hurt business. First, this principle will invite you to analyze what will happen in the future. Then, you can answer three questions:
- What’s the decision gonna look like in 10 minutes?
- What’s it gonna be like in ten months?
- What will this solution look like in 10 years?
You should use the correct language in arguments with any opponent so you can convince him of your point of view. As a rule, any argument is effective. Nevertheless, you should remember that the person has limited perception.
You can construct arguments in such a sequence as a strong argument, a middle argument, and the strongest argument. This chain of arguments will make your speech as convincing as possible, so you should not use weak arguments.
When managing a project, you can make a lot of mistakes due to incorrect management time. You should allocate your time, but you will be guided by a particular rule:
- At the beginning of the process, when you complete one percent of your work, you should call an introductory meeting, during which you and your experts will identify goals, draw up a plan and designate responsible persons.
- When the job is half done, you should assemble your team to adjust and make changes.
- At the completion of the project, 99 percent, the team will meet to finalize the small details and adjust the workflow.
Thanks to this method, you can be sure that you have not missed anything in product development.