Entrepreneurs: How Strong Is Your Business Foundation?

 

A Business Lesson Learned from The Three Little Pigs

The most crucial action an entrepreneur can take is to ensure that their company is built on solid foundations. Like a home, the business can’t survive in a volatile setting or on unstable foundations. If the entrepreneur doesn’t understand this and builds their business on the basis of uncertainty, they’re definitely creating a risk of losses and failure. Don’t believe me when I say to you that successful entrepreneurs understand the importance of starting your business on the basis of stability.

It’s interesting that when I think about a business basis, I often think of the tale of Three Little Pigs. It might sound strange at first, but when you look at it further, this makes perfect sense. Many of you know that the pigs built their homes with three distinct methods making use of three distinct kinds of materials. In the tale, Pig number 1 built his house from straw. Pig number 2 constructed his home out of sticks. Pig number 3 constructed his home out of bricks. To demonstrate the relationship between this story and the business foundations of entrepreneurs, I will discuss how a foundation built on straw, bricks, and sticks is crucial to the success of entrepreneurs.

A Business Foundation Built Upon Straw

Straw is the substance that remains when the grain is removed from the cereal plant. When people think about straw, the idea of animal feed is what comes to thoughts, as does the thought of building houses. In the Three Little Pigs story, pig number 1 made use of a straw to build his home to guard against the big bad Wolf. But straw was not a good material, and the wolf was able to smash it to pieces, making the house of the pig useless.

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In the business world, the same fate could occur to an entrepreneur who chose to establish their business on a base made of straw. Without a strengthening agent, it is a fragile material. Even the slightest amount of pressure is applied to it, and it will fall into the earth. A better analogy for the straw foundation is an enterprise that is built on fabrications. Fabrications can be anything from false financial statement products that are defective or other deceitful business practices. Entrepreneurs who build their business on false assumptions are likely to end up on the wrong side of the law. This may not just hurt the business owner’s overall business but also their reputation too. The bottom line is that building an enterprise on an unstable foundation will most likely result in negative consequences.

A Business Foundation Built Upon Sticks

If you’re similar to me and you think that if a straw-based house didn’t work for pig number one within The Three Little Pigs Story, then why did Pig number 2 construct his house out of sticks. It’s because of the same reasons that entrepreneurs who have failed their businesses previously repeat the same mistakes in their current ventures. Both parties seem to have learned from their mistakes despite the loss. As opposed to straw, sticks possess some more stability. However, they will have similar outcomes despite this. Business sticks include entities like non-existent business plans, ineffective goals and vision statements, as well as other business foundational concepts. If an entrepreneur does not put these fundamental elements in place in their company, then it will be a failure, just like the one that is built on falsehoods and deceit. The consequence of building a company on the foundation of sticks indicates that the entrepreneur did not follow their plan, and they then set out to fail.

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A Business Foundation Built Upon Bricks

Pig number 3 now understood the importance of building his home on a solid foundation. He even considered the fact that other pigs had built their houses using a mediocre material and would require a place to stay when everything fell down. For an entrepreneur, this is the kind of mindset that is required to construct an enterprise on the basis of bricks. Bricks are categorized as investment and information technology, as well as key stakeholders, an effective organization, and various other functions of business that contribute to maintaining competitive advantages. In order to be successful, an entrepreneur needs to build their business around these basic concepts. Like the tale of the Three Little Pigs, a house built upon bricks will endure the toughest elements and will never fail regardless of the uncertainties.

If you find this article fascinating and would like to learn more about creating a company on a solid base that will help you succeed, please visit this link.

Enjoy Your Journey!