As a disclosure, I will tell you that I am not going to give you a choice between one or the other. It is my belief that one uses different stories, situations, experiences, and desires to make a decision that will work for them.
As a pre-requisite, I ask persons look through their own eyes for what they are seeking, don't try to look through mine because you cannot live or work through me. You have to make the choice for yourself.
However, I will tell you the lessons I learned about these two different industries and offer the benefits and imperfections of each for no entity is perfect. If you are looking for a flaw, please believe you will find it! No matter if it's a mate, an argument, a structure, behavior. You will find something wrong, just look for it.
Business Management vs. Business Opportunity: The History, How I know...
I met Business Management at the same time I met Ms. Business Opportunity. They came to me around the same time in my life when I was trying to figure out what I wanted to do with it. I came up nothing a couple of times.
This was the time period when the internet was just becoming big and people were beginning to make money on the internet. So many E-books were being sold, teaching people how to do things through simple download (we have Youtube now). In addition, the economy was booming (yea remember that? Gas was .98 cents!) and new franchises were popping up all over the place. New car companies were startomg and it seemed very profitable for someone to have some sort of business experience, this is where Mr. Business Management came in.
After finding out the above, I quickly enrolled in a Business Management program and looked forward to the reward at the end.
At the same time, Ms. Business Opportunity came to me when I was searching the internet. There were so many opportunities around at that time because of the internet that literally if you did not get any money doing anything, you just did not try.
I found another reason why you wouldn't get it... you were too late.
By the time newbies came into the online business market, the methods that were being taught had changed. I was one of these newbies.
Note, the best way to approach your market is the "next" way, not the "best" way.
I was intrigued by Ms. Business Opportunity because she offered a low cost way to start a profitable business if I was willing to learn the ropes. It seemed like a new type of franchise and besides, I could learn and earn right?
Little did I know that Mr. Business Management and Ms. Business Opportunity would consume me for the next 15 years...
Business Management vs. Business Opportunity: The Difference.
Business Management is prevalent in school or academic settings. It is taught is most colleges and universities. Students take Business Management for just that... to learn how to manage a business. Whether you want to work for one or you want to create your own traditional business to manage.
You pay to learn what is needed to successfully manage a business. The degree is proof that you learned this.
Concepts are broken down into different aspects of managing a business (which I later found to be a lot of aspect and a lot more aspects than what I was taught in school- but for and extra fee, I could earn a Masters Degree to learn more).
Business Opportunity is prevalent in social settings. One does not have to attend school to attract or take part in an opportunity. Opportunities come in different industries just like business management opportunities but you pay for the actual ability to
- carry the brand of the opportunity
- receive tools in the opportunity
- receive training to manage the opportunity.
Much like you would in a franchise. The issue with this form of business is that it takes no skill or knowledge prior to starting and takes more time than the average person is expecting since results vary depending on the efforts of each person, but it takes a lot more effort once started.
The main difference in the two is the respect each gets for their contribution to history.
While business management degrees have become just as important as the next average degree, they were not at one point respected. Scholars believed business management to be for those who had no focus or who did not know what they want in their lives. Later on, Business Management degrees were considered to be the most underemployed. The sad part is that I am a part of that 60% statistic. See it here. Are you a part of the underemployment statistic?
Business management gets more respect because it is considered to be more "safe", as those who get involved with it are considered more likely to receive a job in the near future and there is the option of payments of the bill from grants and scholarships.
Meanwhile Business Opportunity is not for everyone. Not everyone wants a business for the opposite reason why not everyone wants a job. However, while learning graphs and charts in business management, I never once was taught how to make money in the field. It was already assumed that I knew how while the main purpose of Business Opportunity is to teach you how to make money.
The most unspoken different between the two is what they teach.
While Business Management teaches concepts, the science of, and the art of, they do not teach what most Business Opportunities teach which is self-confidence, belief, personal development, emotional intelligence.Business Management vs. Business Opportunity: Similarities
There are more similarities between the two than one would think. Both are...
- Related to Business.
- Require some form of investment.
- Offer some form of training or curriculum.
- Assets can be liquidated (less assets with Business Opportunities).
- Require dedication and commitment.
- Are related to other industries.
The most peculiar similarity that most don't understand is their failure rates. Many people would like to argue that business rates are better because in 2012 70% of businesses were still in operation until the next quarter according to the SBA. However, the recent statistic does not show it in this publication from the same source. This statistic is newer and actual to what is really going on.
It states is that 95% of businesses that opened in 2014, closed in 2015. Click here to check it out. Its on page 11 of the pdf.
Hard to believe right? The truth of the matter is the success rate of traditional business fluctuates so you should never make a decision on whether you want to start a traditional business based on the success rates. Who bases whether they want to get married on divorce rates? They are not married or are not married for long if they do.
Everyone knows that the failure rate for MLMs, Direct Selling Companies or Network Marketing Companies is 99%. Little people know that 50% of people quit before the end of their first year. I have been one of them. I did not know that by quitting myself, I was actually contributing to the failure rate.
So half of the failures are actually quitters who bring down the other 49% who signed them up with their short-term thinking. So just with business I chose not to base my participation on others success or failures. Maybe they will try again. That's on them. They should not have lost much if they were in it less than a year. That's on them.
Since both of these models are models I represent and heavily believe in, I had to look at both of these statistics and neither look good. I decided then that not every industry is perfect and despite the failure statistics, I would focus on the success statistics. There will always be failure statistics.
Your best bet if you are choosing between Business Management and Business Opportunity is to leave the statistics alone. There will always be arguments on both sides and when you do not see a rebuttal to a point on either side, it just means that someone has not seen it yet or there is no important argument. Trust me.
When choosing an option it may be better to decide which industry you would like to be a part of.
Business Management vs. Business Opportunity: Which Industry is Which?
Business Management
- Business Management is related to the Education Industry. If someone has a problem with school, they probably would not be your nearest campus.
- Business Management is related to the Career/Job Industry. The main purpose for one to go to school is to hope for a better job. Don't believe me just ask someone why they are going to school. As a former student who has read many bios, I have read that same scenario over and over, even in business management. Some others may go to learn the science of, or the art of, for themselves so that they can try a traditional version of business on their own. The reasons normally vary from one to the other.
- The education industry does not have to find you a job or any income. That is your job truthfully. Now, there are many educational entities that offer job placement and that is great. Unfortunately, everyone cannot go to that school. In addition, the process is not perfect.
If you want to know how to start a traditional firm, you may want to have business management skills. They will show you was is expected of you from your business and your staff when you get started. In addition the coursework demonstrates the sacrifice it takes for something you want to achieve.
If you want to find out how to get started in owning or running a business, they don't teach that in Business Management you would have to choose Small Business or Start-ups for that option. This way those who want work and those who want to work for themselves.
Business Opportunity
- Business Opportunity is related to the Network Marketing/Direct Selling Industry. Chances are, you are either for or against this industry and if you are against it, you are against all of them.
- Business Opportunity is related to the Personal Development/Self Help Industry. Pessimists do not believe in such so just like with anything else, there will be people who either like it or they don't. Most who don't like it just like with Network Marketing, have never tried it or had a bad experience. This is particularly where most feel network marketers are brainwashed because most companies offer and encourage further training and change in perspective based on this industry.
- Business Opportunity is also related to the Affiliate Industry. Many people who are involved with Business Opportunities are selling products or services for other companies. Affiliates in this manner are treated and correspond a little differently and are known as internet or social marketers.
The Home Based Business model is already assumed in the business opportunity composite just as business management is assumed as in the traditional business format. One who is a small or home based business owner may have a more traditional make-up of their business and is not always assumed to be a part of the business opportunity industry. These people tend to create their own products or niches and sell them for retail.
Business Management vs. Business Opportunity: Business Management Pros and Cons.
PRO: Get a Master's Degree or above, you may have a better chance at getting a job than the other classes of education (i.e. high school, associates degree, bachelor's degree). Master's degrees are the basic form of education in 2016, getting one will give you a higher chance for ANY type of employment (so my administrator told me).CON: That Degree comes with a hefty bill! Never thought you'd be the one with student loans? Take you and 9 of your friends... 7 of them will be in the negative when they are throwing their hats in the air. See for yourself. Unfortunately for me, I was one of the seven.
CON: If you want that freebie degree, then there is A WHOLE LOT of work involved. Grants are not that hard to apply to since they usually have a closing time that is compromising to the average school curriculum, scholarships are a whole different ball game.
Try researching, qualifying, and managing numerous scholarships. The application process is usually cumbersome, the scholarship is not guaranteed (like applying for a job), and in many cases you cannot be a part of a curriculum in order to apply. This means you have to wait to apply if you are.
PRO: It is respected in today's society so the Business Management Degree can take you further than a traditional Job. Always rely on what you learned in your degree other than the academic side. You should have also learned persistence. Attending classes and getting assignments in on time takes a decision to take school seriously. If you finished, you should have an inkling on the persistence needed to start a traditional business. Take that a start that dream you have always been dreaming. You have the knowledge to do so, now go invest!
CON:
Traditional business is a little more risky especially for those with little capital, a little more work, and a little more expensive than the business opportunity model. Traditional business is any business that is registered with its state under a physical address for retail profit.A home based business can fit this model as many people may just want to create a product and sell it like traditional business does.
The issue comes in (for me) about what is needed BEFORE you even start. The capital, location, advertising, hiring, licenses, and the like are a bit more scary than the other options. Sure you can just listen to others who may claim this process is so fast and easy but in most cases these "others" don't even want to write what is really included in actually starting a regular business. Most don't know how. If they are smart, they just direct you to the SBA which gives you general business information.
I have found, you must come with a lot of capital for traditional business (inventory, business supply, rent, and other overhead requirements).and your business does not work until you get that capital in its functional place open for business. If you don't keep that commercial lease, failing is the last of your worries for many commercial leases are longer term than the traditional lease.
Business Management vs. Business Opportunity: Business Opportunity Pros and Cons
PRO: The potential of immediate income. Great for students while they are in school.When Business Management majors are in class Business Opportunist are learning how to make the sale. It gets down to the hands on basics of what is needed for every business...sales. You are able to earn and learn at the same time. There is no way that I made any money directly from my Business Management efforts while in school. I was working on a Business Opportunity.
CON: There is much red, black, yellow, white, all types of colors of tape to get around to produce that immediate income. You are essentially an affiliate which means you agreed to be a seller of another's product. Many companies offer affiliate opportunities to promote their company's products and services. Therefore since most people are not trained to do so and with most it takes time... some more time than others, it can take a long time to see viable results. Most people quit within the first 3 months with nothing to show but closed accounts.
PRO: Easy to Start. The business plan, product decision, research, rules, cost analysis, and the business fundamentals are already taken care of. That has been packaged for a small price if you sell what they have to offer. In the meantime it teaches some of the fundamentals of business that school does not teach such as how to talk to people, how to prioritize your business, how to choose your customers, and the everyday running and sacrifice connected with business ownership. The cost of start-up is very low being that your business is to promotion. There is no need to handle the small stuff. Concentrate on the bottom line.
CON: Hard once you get in. The tasks are easier said than done and most people are not comfortable with repetition, persistence, speaking with people, prospecting, inviting, and closing. It is easier said than done and that is something that most network marketers don't preach because they are under the belief that it is not impossible while naysayers are looking for a more easy way.
CON; Most MLM's assume you came to the table with the same resources as their leaders if you do not have those resources, don't try to reinvent the wheel, get them. So when you start, you may have had the investment qualification but maybe a loner... now you need to go make friends!
I have never been a real "social" person meaning that my Facebook and Instagram pages are not filled with selfies, I don't talk to random strangers, and I like to stay indoors. I have a few friends and everyone else is an acquaintance in which I rarely say hi or bye.
If I started speaking all positively all of a sudden to these so called warm-market people, they will think I have gone nuts and wonder what is up. In fact many have. How many of these so called warm market persons have I attracted through trained warm market tactics? None.
This is the reality many of us. Many social butterflies nowadays have mostly social media friends who don't feel personally connected to pay attention to anything that is important to you. Are you Kim Kardashian? Then no one cares. Some won't care even if you are Kim Kardashian.
In fact when many direct sellers hit the "market" and it "dries" many stop and don't know what to do anymore because leaders are suggesting numbers that are not true for many representatives.
Business Management vs. Business Opportunity, both are possible, but be dedicated to one at a time.
To close this message I want to encourage everyone to visit your local business opportunity and see what they have to offer. If they offered the same as business management, there would be no need and no demand for both industries.The demand for Business Opportunity comes from people who are no longer believers of the one income system, a job as security, and retirement as an ability. The demand comes from people who are willing to believe that there are people who are just like them.
I also encourage everyone to go to your local small business administration and find out how you can add a traditional business setting to your Business Opportunity. In trying not to re-invent the wheel.
Shavonne Davenport is a home-based business owner in the travel industry. She uses her knowledge and resources to help people discover the possibility of travel through their own personalized business structure. She has written a free report called "How to Fund Your Travel Dreams" to help those who always wanted to travel or start a business in the travel industry but never thought it possible. To get a free copy of "How to Fund Your Travel Dreams", click here.
No comments:
Post a Comment