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A recent study conducted by Dunn & Bradstreet found that 90% of all business failures can be traced to poor management resulting from lack of knowledge … the inability of management to critically think about their business.

Critical thinking isn’t an abstract, transferable skill…it’s “domain specific”. In other words, critical thinking is intimately tied to knowledge of the subject. First, you must possess information to think about it & the way you think about information in one field (like business) is almost entirely different from how you think about it in another field (like chemistry). To avoid these common traps and mistakes, it is absolutely imperative that you acquire business knowledge and apply it.

Critically thinking about your business requires knowledge in four key business areas: planning; accounting; marketing/sales; and Human Resources … I challenge you to take the quiz and let me know how you do!

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Sample “Thoughts Library” Posts

Vetting A Business Model Concept Using Industry Fit

Vetting a business model concept requires critical thinking about how the it fits into the industry as a whole. One way to do think about this is by using SWOT analysis to provide a systematic view of the five industry components that affect your business model concept. Industry SWOT analysis helps you anticipate and adjust your expectations and pressure points that may affect your business model concept, i.e. new government policies might: encourage more regulation which may cause barriers to innovation; raise taxes that may restrict available company resources to fund research and development; increase worker wages; build artificial demand…

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Vetting A Business Model Concept Using Pricing

In several recent thought posts on vetting a business model concept, I focused on defining the market size and positioning as key elements of a business model concept vetting feasibility analysis. Another key step in the vetting process is to critically think about how you can create/deliver the offered product/service to the identified customer target at a reasonable cost. In order to evaluate this, identify and understand your most important customer. If there are a bunch of them, focus most of your attention on one. Learn why they buy, what they’re willing to pay, what value they see in the…

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This Month’s Featured Free Video

Just click the direction arrow at the center of the video below to start the voice and slide presentation. A media control panel will open whenever you position your pointer over the slide to adjust the screen size, slide advance or to pause the video.

How To Vet Your Startup Business Concept


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