Business Innovation or Imitation?

Are you starting a business for the first time? If this70%.
is your first foray into business you are much betterHave a look at the successful businesses operating in
of finding a concept that already works andyour local area that are already making money and
improving on it then trying to launch your latest idea.see how you could do it better. Perhaps by choosing
Look at how the Japanese identified the opportunitya better location, you might attract many of their
in the automotive industry. They imitated andexisting customers to your business.
innovated on an existing proven demand and areMaybe you can offer a higher level of service and
now the market leaders.charge higher prices thereby attracting the high value
They did not try and create a new market for ancustomers.
unproven idea. They came, copied and improved onIt is much more difficult to launch a brand new
an existing concept.concept and create a new market than to create a
Many of the most successful business men in thenovel way of supplying existing demand and just
world have used already established formula forimprove on the basic delivery.
making money and just done it slightly better orOnce you have experience in running and managing a
added a new twist. Adding your own "flavour" andsuccessful business then perhaps the time might be
thereby creating your own unique business will still beripe to test your own ideas.
fun.Does higher reward come with higher risk? Perhaps it
Banks are much more likely to look favourably at ais better to set your sights slightly lower and build a
proven business model than to back a new andfoundation that can serve as a platform for more
unproven idea. This is probably the reason why whenrisky ventures?
you buy a franchise you can get funding of up to