How to Formulate a Winning Business Strategy| North Loop Official Blog
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19 Feb 2021

How to Formulate a Winning Business Strategy

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Creating a winning business strategy requires meticulous planning. Here we will discuss tips to build a business strategy that can withstand tough times and help achieve your goals.

Plan for the short term

Planning for the short term usually means looking at a 12-month time frame. You can think about exploring new markets as part of your business strategy for the short-term.

A vital aspect of a successful business strategy is also effective cash flow management. Therefore, you can create a plan focusing on your cash inflow and outflow and other activities that affect your cash flow statement.

If you need to apply for government support like loans and grants, you can also add these to your short-term strategic plans. That will especially be beneficial if you need to factor in dealing with loan repayments as part of your future financial planning.

Plan for the long term

Long term planning is generally for a time frame of around four to five years but can be longer than this.

When strategising for the same, you should ask questions like - where do I see my business in four, five or even ten years?

Once you have completed deciding on the subjects you want to tackle and the timescale you are considering, you can make them an integral part of your business strategy.

Focus on your product or service

Many experts believe that focusing on a niche product is crucial for reaching your target market. However, it is equally important to give adequate attention to your product and understand whether it serves your target audience correctly or not. The various questions you should ask yourself range from the benefits your product will provide the intended market to the price that you should keep to remain competitive. You can also look for ways by which you can stand out from your competitors.

Apart from this, you can give attention to the usual measurable activities like forecasts, marketing plans etc.

Understand your customers

A winning business strategy includes putting customer data and behavioural patterns behind the decisions you make in your business. It helps to bring clarity and allows you to focus on long-term strategy.

Therefore, you should try and gather opinion about your product or service and then analyse it to make improvements or changes wherever required.

Understanding your customers can have a much better return on investment than many other things. It also lets you stay aligned with the customers and notice changes in their choices and attitude towards a product or service.

Measure your business performance

Measuring performance at every stage is essential for any business strategy. You must keep an eye on the metrics around engagement, both for your customers and employees. KPIs or key performance indicators also play a pivotal role in making smart business decisions. You can use them to identify the things working for your business and those that are not.

Conclusion

In times of uncertainty like these, it is critical to have a winning business strategy for your business and its survival.

So, you should take your team’s help and engage with people at different levels to ensure that you get things over the line.

It is also critical to create an environment of ownership for your actions, encouraging teamwork and allowing others to take the lead. A winning business strategy involves keeping all of the above in mind.

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This publication is provided for general information purposes only and is not intended to cover every aspect of the topics with which it deals. It is not intended be advice. You must obtain professional advice before taking, or refraining from, any action on the basis of the content in this publication. The information in this publication does not constitute legal, tax, investment or other professional advice from North Loop or its affiliates. We make no representations, warranties or guarantees, whether express or implied, that the content in the publication is accurate, complete or up to date. All opinions expressed do not reflect the views of North Loop nor are endorsed by North Loop.