“Resources,” Starting and Growing My Business (2014), 26–30
“Resources,” Starting and Growing My Business, 26–30
Resources
Business on a Stick
Choose roles and act out the following.
SETTING: Three discouraged people are sitting on a bench when a fourth person comes to sit down.
NARRATOR: So what is a successful business? It’s all about helping people solve their problems. It’s about understanding customers. If someone has a need and you help them solve it, they will PAY you. And that’s good! But how do you find out what customers need?
4TH PERSON: Hello. Hey, I’m trying to start a business. Have any of you ever run businesses?
OTHER PEOPLE: “Yeah.” “Yeah.” “Yeah.”
4TH PERSON: Oh, that’s great. What are they?
1ST PERSON: Well, see, I just love bats, so I sell bats on a stick. Sort of a pet, you know. Got to love ‘em. Feed ‘em flies.
4TH PERSON: Really?
1ST PERSON: Yeah.
4TH PERSON: How’s it going?
1ST PERSON: Well, not great. People don’t seem to get it. And they bite sometimes.
4TH PERSON: Okay, how about you?
2ND PERSON: Yeah, I’m really good at cooking.
4TH PERSON: Cooking?
2ND PERSON: Right. So I got this recipe for butter on a stick.
4TH PERSON: On a stick?
2ND PERSON: Yeah. Wrapped cold in a tortilla. I’m really good at it.
4TH PERSON: How’s it going for you?
2ND PERSON: I’ve sold a couple … well, one.
4TH PERSON: And you?
3RD PERSON: Yeah, so I watched people on the street at different times of the day. And I asked them questions. And I watched what they buy and when and for how much. And I talked with people who were selling stuff about what worked and what didn’t. I was interested in a food business, because they’re easy to get into, and I like food and I like people.
4TH PERSON: Really? You did all that?
3RD PERSON: Yeah, for several days. It was really interesting.
4TH PERSON: I’ll bet it was! What did you find out?
3RD PERSON: Well, I was surprised. I found out that in the afternoon and evening, people want something sweet and convenient and not too expensive and fun—a treat to give them a lift or to share with a friend or their family. So I tried a few things and talked to more people.
4TH PERSON: And did you find an answer?
3RD PERSON: Yeah. I found out that if you put a banana on a stick and then coat it with just a little chocolate, the right kind, and then you add these sprinkles to it, well, people just love it—especially if you’re in the right location at the right time.
4TH PERSON: Really?
3RD PERSON: Yeah, my friend and I sold 400 the first couple of days and made a lot of money. It really met the need: it was simple and profitable.
4TH PERSON: Wow! So what next?
3RD PERSON: I’m quitting.
4TH PERSON: Quitting?
3RD PERSON: Yeah, it’s a lot of work on hot days.
4TH PERSON: Hmmm. So would you mind if I sort of took over your idea?
3RD PERSON: Nah. All yours. Go right ahead.
NARRATOR: Watch. Ask questions.
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Know the customers.
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Work hard, make money.
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Enjoy the bananas!
Back to page 18
Selecting the Right Business
Take turns reading the following paragraphs.
How will you choose the right business for you? Or if you have a business, how do you know if it’s the right one? Here are four key questions that will help you make the best decision.
(1) What do people want to buy … (2) that I could provide, (3) that is a business I could start pretty easily, and (4) that will increase my income and help me become more self-reliant?
Or in other words, I need to make my decision based on (1) customers and products, (2) my own skills, interests, and experience, (3) the environment, including competition, suppliers and money, and (4) the potential for revenues and profits.
Here’s an example. Maria had spent several years serving in restaurants and hotels. But her income was inconsistent. And she did not make enough to help her family meet their needs. So, in addition to her work as a waitress, she decided to start her own business. But what?
Starting with question one, Maria remembered that she had heard the cooks in various restaurants complain when they couldn’t get enough high-quality, fresh eggs. So she knew it was a problem. Two, her father had raised chickens and she had learned some secrets from him about increasing egg production. She also knew it took hard work! Three, she didn’t know much about the competition, but she knew she could start small in an open spot near her home so it would not cost too much. Four, and she knew what restaurants paid for eggs, so she calculated that she could make a good profit if she could sell enough eggs.
Can you see how these four questions helped her think about selecting the right business?
Still, Maria needed more answers. She needed to learn much more about her potential customers, the competition, suppliers, pricing, and even the skills to run the business. Where could she go for help? How could she take the next step to make a decision?
What will you do to get the information you need to make good decisions?
Back to page 18
Learn about Similar Businesses
To keep your commitments, visit and watch businesses like the one you might start (your competitors). What is working for them? What is not working well? Talk to the people who run the businesses. In order to avoid feelings of competitiveness, talk with people outside of your area.
Use the questions below. Add other questions. Make it a conversation. Be sure to show your gratitude.
Do this every day this week (except Sunday). Record their answers and the things you learn in your notebook.
Learn about Similar Customers
Talk with people who are customers of businesses like the one you may start. Watch them and learn all you can.
Use the questions below. Add other questions. Make it a conversation. Be sure to show your gratitude.
Do this every day this week (except Sunday). Record their answers and the things you learn in your notebook.