Tweet

Careful Consideration and Analysis

Written by: Seth Godin

Article Overview: Most organizations view business development opportunities as a threat.

Careful Consideration and Analysis

Most organizations view business development opportunities as a threat.

A threat because a mistake could upset the status quo, could cost money or time, or even get someone in trouble.

After an initial screening, the typical bizdev proposal is given Careful Consideration and Analysis. Which means that lawyers work hard to make sure (among a hundred other things) that the trademark licensing deal is accurate and appropriate (SM instead of TM, please) and that they've done their job and that nothing bad can happen.

The problem, as you've already guessed, is that fashion is unpredictable. So, if the very point of the bizdev deal is to engage in a search for a hit, to do something new and inexpensive that may or may not work, then Careful Consideration and Analysis is probably completely inappropriate. Careful Consideration and Analysis leads to high overhead, slow turnaround and plenty of "no".

The alternative might be, What's the Worst That Could Happen? Look at a deal. Decide if there's enough upside possibility. Do the What's the Worst That Could Happen test. Figure out how to avoid the most egregious outcomes. Then do it.

Repeat.

My guess is that Starbucks' digital music efforts didn't pass the Careful Consideration and Analysis test. But they did it anyway. And it failed. No big deal. Why? Because What's the Worst That Could Happen was pretty low.

Related Articles
  Create Your Own Referral Sales Force
  Financial Analysis: A Tool that Each Business Owner Needs to Use
  Analyse This? Why all Taxpayers Should Have their Taxes Analysed?
  10 Things to Consider When Examining a Potential Business Acquisition
  Decision Making Processes Doing the Best You Can

Article Tags: analysis test, business development opportunities, careful consideration, digital music, fashion, guess, initial screening, job, lawyers, mistake, money, organizations view, proposal, sm, starbucks, turnaround



Related Forum Posts
Re: Reduce Bounce Rate - Website bounce rate matters most today. You can decrease by providing 1. Good Web Layout And Design 2. Relevant and unique content 3. Content clear and proper navigation 4. Improve website loading speed 5. Add relevant images 6. Analysis of keywords 7. Minimize pages 8. optimize your target keywords 9. Good quality of links 10. Take People Where They Want to Go
Definitions of merger - Mergers can be characterized according to three categories: horizontal mergers, which take place between firms that are actual or potential competitors occupying similar positions in the chain of production; vertical mergers, which take place between firms at different levels in the chain of production (such as between manufacturers and retailers); and other mergers, such as those which take place between unrelated businesses or conglomerates with different types of businesses. Aberdeen Lyle Merger Analysis Large mergers, acquisitions and some other corporate combinations require prior review and approval in some jurisdictions. As part of their review, competition authorities may prohibit mergers or approve them subject to conditions. Mergers are usually only prohibited or subjected to conditions if the authority concludes that the merger will substantially harm competition. Given the discretion inherent in the interpretation of this threshold, various competition authorities have published merger guidelines. These are intended to assist firms and their advisers to anticipate the procedures and criteria, which will be applied in assessing a merger. Some Merger Concerns Merger reviews typically focus on horizontal mergers since, by definition, they reduce the number of competitors in the relevant markets. Also of concern are mergers between firms, which are active in a particular market with another firm, which is a potential competitor.


Share this article with your friends. Fund someone's dream.

Leave a comment below or share on the left and you'll help support entrepreneurs in Africa through our partnership with Kiva. Over $50,000 raised and counting - Please keep sharing! Learn more.

Tweet

Newsletter

Get advice & tips from famous business
owners, new articles by entrepreneur
experts, my latest website updates, &
special sneak peaks at what's to come!

Name:
Email:

Popular Articles

The five pillars of internet marketing strategy

Presenting Yourself With Impact at Work

What is an Adaptive Organization

Suggestions

Email us your ideas on how to make our
website more valuable! Thank you Sharon
from Toronto Salsa Lessons / Classes for
your suggestions to make the newsletter
look like the website and profile younger
entrepreneurs like Jennifer Lopez.