After reading our articles about great business ideas in Malaysia and brainstorming, you might have come up with multiple ideas that you think are great. While there are no defined right or wrong ideas in business, there are definite ideas that can be better than others. Here are ways to know whether you have a great business idea in Malaysia.
Ways to know whether you have a great business idea in Malaysia
It solves problems
Entrepreneur and co-founder of the web design school The Starter League (which has been acquired by Fullstack Academy) Mike McGee thinks the best business ideas are those that solve a problem in some way.
“If there is a problem that affects you, your friends, family, co-workers, etc., then the chances are high that it affects people you don’t know as well,” McGee said.
People are willing to pay for it
It’s paying customers who validate an idea and determine which ones have the greatest chance for success, said Wil Schroter, co-founder and CEO of Fundable.
“An idea is just an idea until you have a paying customer attached to it,” Schroter said. “Anyone can discredit a simple idea, but no one can discredit paying customers.”
Ways you can market your business
Many entrepreneurs think about the problems their business will solve, but not about how they intend to market their business to their target customers. Jesse Lipson, founder and CEO of Real Magic, said that your marketing strategy can determine if your business idea is a good one.
“If you have a solid go-to market strategy and a decent product, you’ll probably be successful,” Lipson said. “But if you have a great product without any idea how to reach potential customers, then it’s going to be really tough to make it successful. Thinking through that as early as possible is really key.”
There is a sizeable niche market for it
Without a large enough market, your idea may never get off the ground. You need to determine if a niche market exists for your idea. You’re better poised for success if your business improves upon what’s already out there – a novel response to a recognized need.
How can you tell if a niche market is, in fact, a market? It’s a mix of “research, gut instinct and personal preference,” according to Ari S. Goldberg, founder of investment firm RNMKR. “I consider overall industry trends, the amount of investment activity that’s taken place in the space recently, how much I’ve read about it from the consumer side, and whether I’ve heard people talking about it,” Goldberg said.
You have a passion for it
Your business will likely consume all of your time, so make sure you’re passionate about it to make it successful. It’s important that your idea is something you truly care about, not just something you have a target on because it seems like it could be lucrative.
“Since starting a business requires an inordinate amount of time, energy and patience, ideally, the idea will be one that you are passionate about as well as one that you have skills or experience [in],” said Melissa Bradley, managing director of Project 500 and an adjunct faculty member of Georgetown University’s McDonough School of Business.
You are open to advice
If you’re not open to changing or adapting your idea to fit what your customers want, your business idea might not be worth pursuing.
“Success happens when you are willing to listen and consider others’ advice,” said Angie Yasulitis, CEO and managing partner at The YaZo Group. “Most good ideas take some tweaking to get to market. Being closed-minded is a business killer.”
By having a business idea that you have planned well for, it massively alleviates the possibility of success. By also ticking all the boxes above, it shows how great your business idea is.