As the business landscape continues to evolve and new disruptions arise, entrepreneurs are facing new challenges and possibilities. Business basics remain the same but with a greater focus on metrics, while new opportunities exist for those entering the startup world.
Businesses that adapt quickly to changing market conditions will be best positioned to take advantage of these opportunities in the coming year. We’ve put together this entrepreneurship checkup to help you confidently move forward into 2023.
Review Access to Capital
As interest rates rise, access to capital becomes tighter. And with funding for startups already falling by 50% in 2022, venture capital is a much more competitive arena.
Focus on core products and keep expenditures for new equipment low. This may include deferring some purchase decisions and renegotiating or regularly auditing supplier contracts to identify the lowest cost. It’s also wise to pursue non-dilutive capital sources such as grants to drive essential purchases in markets where products are in high demand.
Embrace Digital Transformation
The digitization of business models continues to accelerate and will become more dominant in 2023. Many of these technologies, like artificial intelligence (AI), internet of things (IoT), virtual reality (VR), and augmented reality (AR), are available at cost-effective entry points.
This availability helps mitigate skillset and labor shortages and lower labor costs. It also helps companies reduce overhead costs, as hybrid work environments reduce their footprint and need for space.
Digitization also offers fast, iterative design strategies. Digital twins and CAD/CAM technology help companies bring products to market quickly and at a fraction of the cost.
Understand Customer Expectations
Today, consumer tastes are more sophisticated, and their expectations are much higher than in the past. They want greater value delivered with experiential technology. Consumers are also looking for responsible brands that can transparently back up their commitments to sustainability.
It’s crucial to blend these preferences to create greater value and stand out in the market.
Find the Right Talent
Despite the economy slowing, the war for talent will continue. Finding the right talent will be critical for success and can be pursued via many different avenues, such as recruiting, colleges, and trade schools, to name a few. Innovative strategies, such as low to no code software, can help you train workers for your specific application.
The lines between gaming and relevant work experience will disappear as the digital revolution continues. Many candidates may fit into the right job because they’re accustomed to using digital tools and interfaces.
Harness the Power of Data
As technological advances continue, it’s critical to use your data correctly to avoid being at a competitive disadvantage. Your machine and business data can be harnessed to identify new customer trends, improve product quality, and automate processes.
A strategic and well-audited security regime must accompany the use of mobile devices and apps that control critical business processes to ensure your data stays secure.
Competing in 2023 and Beyond
The entrepreneurial landscape will continue to evolve and adapt to the latest technology and events. New business leaders would benefit from training, assistance, and mentorship to help them navigate these changes.
The Henry Bernick Entrepreneurship Centre (HBEC) at Georgian College helps you find connections, funding, and vital mentorship and training so you can lead your company confidently through the coming year. To find out more about our programs, contact us today.