According to the Small Business Administration (SBA) in the US, two out of 10 small businesses collapse in the first year. After five years, half of them will be closed. Then, only three of those businesses can survive after a decade.
Across different industries, the technical services or IT industry has the highest business failure rate at 19.4%. Despite the odds, several IT companies were able to work their way towards becoming industry leaders. If you’re a business owner, you may wonder what successful companies did to survive and even thrive. What factors could determine a company’s survival and success?
Whether your goal is to be the leading brand in the organic industry across Southeast Asia or become the best IT company Johannesburg, you’d be curious about what sets the winners apart from the competition. As such, here are some important lessons you can learn from tech giants who have set new standards in the IT world.
1. Sharpen Your Branding And Advertising Strategy
The success story:
Samsung is undeniably one of the biggest smartphone brands globally. It owns 21% of the smartphone market share, which is the highest in the world. The company achieved success by focusing on its branding philosophy. They overhauled their brand image from being a manufacturer of low-cost electronic gadgets to becoming a world-class player in the consumer electronics industry. They also concentrated their efforts on advertising and public relations. Over the course of a few decades, they have redefined marketing for IT companies worldwide.
The takeaway:
Do you have a brand philosophy? This may be the best time to take a closer look at your brand imaging and awareness strategies. These are key factors that will allow your target market to know what your company is all about. Your unique take on branding and advertising can give you an edge over the competitors and highlight what makes your brand one of its kind.
2. Have A Clear Vision And Be Bold
The success story:
A strategic vision is what made Apple the brand it is nowadays. The brilliant team behind its success focused on amassing a cult following on a global scale by making it the hip, trendy choice among other mobile players. They also boldly crossed boundaries of basic computing and worked on offering cutting-edge mobile services, which drove their success to its peak. They have set the benchmark in mobile performance and design, which made them one of the most popular brands across the globe.
The takeaway:
Establishing a vision for your company gives you direction and structure. Your goals will give you a clear sense of where you’re headed as an organization. Also, taking informed, calculated risks can help propel your enterprise towards the growth that you’d like to achieve.
3. Effective Leadership Is Key
The success story:
International Business Machines Corporation (IBM) has been in the industry for 110 years. It has become an institutional leader in the IT world and continues to grow every year. When asked what contributed to IBM’s success, experts have varied opinions. However, most agreed that the company had effective leadership that held it firmly in its place as it grew to become an industry giant.
The takeaway:
The role of company leaders is crucial to the growth and stability of any organization. Apart from making important decisions for the company, they also influence the work culture and environment of their subordinates. Given these factors, it’s essential to hire the best leaders for your enterprise.
4. Build Resilience Against Failures
The success story:
Microsoft is one of the largest and most successful technology companies in the world. In the 2021 financial year, their global revenue reached over USD$168 billion. Their success is staggering, but maintaining their strong threshold in the tech industry for more than four decades did not come without a cost.
Like many other businesses, some of their ventures also failed at some point, while others simply didn’t materialize. Microsoft was able to overcome many failures because of preparedness, flexibility, and resilience. They had resources aligned that will allow them to continue operations should a project fail. They adjusted their services according to market demand. More importantly, they continue to innovate and explore.
The takeaway:
The possibility of failure can be discouraging for anyone, especially at the beginning of any project or venture. However, this is a reality that should always be considered. With this in mind, it’s crucial for any organization to be prepared and have resources aligned to help cushion the impact as needed. Also, even as your business experience several shortcomings, the motivation to pursue growth and development should always be there.
Wrapping Up
Mistakes and failures are sometimes inevitable when running a business. But as a business owner, the best thing you can do is to learn from them and use them as stepping stones towards improvement, growth, and innovation. These four successful companies are the best examples that you can emulate.
