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Oscar Ramos
Davey Mills
English IV AP
Date:18 November 2016

Fundamentals To Running your Business & Management

For a life time people have been dreaming to start their own business, but do not
know the fundamentals to start/run a successful business. Starting a business takes
more than just an idea, it requires a specific type of person with the right personality and
motive. They need to first find what kind of product or service they want to sell or serve.
Selling what is needed in the community may help to start out and later expanding.
They must find a staff to help them begin their establishment such as a management or
assistants which will play a big part of the entire business as it depends on them to run
it as the owner/operator is away. As they focus on the rest of the business the
management should be looking for new employees and strategies . This paper will show
what are the fundamentals of a successful business management .
First things first coming up with a structured idea of what exactly the owner will
be wanting to serve. They will need a product or service they will be wanting to serve to
soon to be customers, selling what the customers want purchase .We've also seen
many companies looking to break ground in a

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new" or untested market, only to discover there really isn't a market after all or they're
competing for a very small slice of a very small pie.

To avoid that problem, think in terms of large categories first. For example, most people
already buy shoes, clothes, technology and entertainment, but they're willing to
purchase even more if the right product or service comes along. Profitable new niches
are typically found by drilling down into such already successful categories.(Sugars)

The business owner will need to find a suitable/affordable area, where a local
business can thrive in, densely populated area are more beneficial since there is a
larger crowd of people that may be in need of your product or service .Businesses must
have ample space for the equipment required to produce their products and services . If
you have a manufacturing company, you will require extensive space for equipment and
inventory. Consider your business's products and services when establishing your
location.(Smith). Finding a space large enough for all the inventory, equipment and
especially the workers is crucial, when locating a location they should consider how
many employees they will be hiring and how much inventory they will be holding .Ample
parking is important for customers and employees . If customers are unable to find
suitable parking, they might choose to visit a competitor who has the same qualified
services with more convenient parking. You also need adequate space for employees to
park at or near your location.(Smith). Once they have found the location that meets

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their qualifications they will want to ensure that there will be enough spacing for the
customers and also that they are following ADA regulations .Title III prohibits
discrimination on the basis of disability in the activities of places of public
accommodations (businesses that are generally open to the public and that fall into one
of 12 categories listed in the ADA(Info And Technical Assistance on the Americans with
Disabilities Act)
Once they have found the best location for their business they must find a form of
paying for all the costs for the location,Equipment,inventory and the employees to be
hired and trained. Cash flow is what matters. This is the fundamental of finance and
accounting which constantly gets forgotten or obscured in the day to day business. At
the end of the day, accounting done right is just a way to keep track of whether you
have more money in your bank account at the end of the day today than you had at the
end of the day yesterday( Begg). Since not everyone is made up of money, some
people may look into investors and funding.A venture capitalist is an investor who
either provides capital to startup ventures or supports small companies that wish to
expand but do not have access to equities markets. Venture capitalists are willing to
invest in such companies because they can earn a massive return on their investments
if these companies are a success.(Venture Capitalist). Venture capitalist is most useful
once the business is thriving and requiring a higher capital, but for a business that is just
starting it is better to get Equities. Equity financing is the method of raising capital by
selling company stock to investors. In return for the investment, the shareholders
receive ownership interests in the company.(Equity Financing )

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Once a business has begun the must begin in looking into who will help run the
business with them and while they are away, such as managers and leadership . A
business cannot survive without management because management is its means of
support, it is the core of the business no matter what type of business, restaurant, law
firm and retail store it is a key component. Management is concerned with acquiring
maximum prosperity with minimum efforts. A major fundamental to a business are
Human Resources(HRM). There are multiple types of Human Resources(HRM), there is
the Labor relations directors,Labor relations directors and recruiting managers .
The recruiting managers will be responsible to hire,recruiting and training staff .
They may hire a staff that would do certain higher level position jobs such as recruiting
and or other jobs that the recruiting managers would do . Maintain their staff up to date,
updating requirements for positions to be filled . To assist in the recruiting they must
construct a strategy for hiring. They must assured with the staff that he or she hires, it is
common for many jobs that won't hire those with criminal records or those that are
undocumented.
Payroll Managers will oversee the payment for all the organization and to all the
staff. They will ensure that all employees are paid on time and paid the correct amount
for the labor, if any problems do occur they will be the one to deal with the situation . As
will to prepare reports of all payments and transactions, audit W-4s, payroll balance
sheets, YTD earnings and review and analyze current payroll, benefits and tax

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procedures. The payroll manager should be well trusted to the inspiring business
creator.
Labor relations director will oversee policies in the organizations.The labor
relations director must have a wide knowledge on economics, wage data, labor laws
and common bargaining trends.Labor relations managers use skills in data collection
and analysis, negotiation and policy-making, along with knowledge of labor law and
collective bargaining procedures to maintain an organizations positive relationship with
its employees(Bisk). They will form labor contracts as will as negotiate with the staff so
they may also have an opinion, the labor contracts may be over wages, benefits,
lengths and risk that may occur at the workplace (What Human Resources Managers
Do).
Its is also a good idea to get a marketing director so you and the other managers
can come and give all ideas to the marketing director so the they may use all the good
ideas and adjust them to fit with what your business is selling or providing . For
Example if the business is food related they may use what food they are serving in a
creative way, like Chick-fil a using the cow as a mascot, the rebel cows painted on
billboards Eat Mor Chikin, they have had this motto since 1995(Jose Nunez(Mentor)). The marketing director should use target marketing as a strategy, by
targeting a certain group of people, such as the youth . The marketing to the youth is
strategy used all around the world for years, since they will ask their parents to buy
them a certain product or buy it themselves. Most youth will buy anything that is in style
such as clothing, food, electronics and entertainment, an example of this is in 2008

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when Beats Solos came out all youth wanted a pair as they saw artist wearing them
and that Beats company was founded by Dr Dre a music producer and rapper . A late
popular trend is the Yeezy shoes made by Kanye(Yeezus)West .
Once the business is operating the owner should make sure that the quality does
not decrease, but increase. The quality should meet or exceed the customer's
expectations, because if not they will not return and look for an alternate source of that
product or service. Quality products make an important contribution to long-term
revenue and profitability. They also enable you to charge and maintain higher
prices(Linton). The quality of the product or service will cause the business to have
good or bad reputation, for example customers that go to Chick-Fil a expect a fresh and
hot chicken sandwich, if they were to receive a cold chicken sandwich they will be
disappointed and probably not go back(which won't happen), but if the customer were to
receive a fresh and hot chicken sandwich which they are expecting they will pleased
and will continue to go back to Chick-Fil a . For other business like retail stores they
want to assured that what their purchasing will work or is of quality. For a real example
could be Chipotle, Chipotle was and still very popular but they had a decrease in
business and sales when it was found that they cause an E-coli outbreak,Chipotle
Mexican Grill closed 43 restaurants in Washington and Oregon in early November 2015
in response to the initial outbreak. All these restaurants reopened in November 2015 .
Chipotle Mexican Grill worked in close consultation and collaboration with health
officials throughout the investigation to determine whether it was appropriate to reopen

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these restaurants. Chipotle reports disclaimer icon taking the following actions, among
others, prior to openingFDA Investigates Multistate Outbreak of E . coli O26 Infections
Linked to Chipotle Mexican Grill Restaurants)
Customer service handles company issues in stores, over the phone and even
by email. Companies that produce highly technical products, such as software or
satellite television, often have technical support staffs to resolve problems(Suttle) .
Having a excellent product or service is good and all, but if the customer service is bad,
just because you have good products what makes you think they like to be treated badly
or the help was useless and didn't solve anything(Nunez) . Good customer service we
be a crucial factor for all management and staff to know, management will be able to
help solve or satisfy customer problems, but if no management is around or the
situation has to be solved right away it's good for the staff to know what to do it certain
situations, such as if a customer were to turn violent or aggressive, they should just give
what the customer wants (to certain extents) so the problem does not get to
hostile.Once we had two men come in and there were threatening our staff (women) to
hit them and was trying to get in the kitchen yelling, so i called the police and told them
to leave while they came(Nunez).The way Jose Nunez settle that situation was a good
example of what to do if a customer becomes hostile .

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If they get their business gets successful enough they could look into oversea
production or adding their franchise overseas . A product that sells well in your home
country may not necessarily have the same appeal elsewhere, so it's crucial to invest
time and energy into researching potential foreign markets(Taylor) . Many places find
different thing appealing or useful. Some countries have religious beliefs that they truly
enforce. India has a very popular religion called Hindu, they find cows to be sacred,
they think of them as The CareTakers, they wouldn't like fast food restaurants cooking
up Whoppers or Big Macs made from their CareTaker. Depending where they decide
to expand to they should travel there and do their research on the location and their
beliefs.
In conclusion for those who are wanting to start their own business, they should
know the time-consuming and life-altering effect of starting . There are many more
things that go into running it than just providing the product . They will have keep up with
the taxes, inventory , paying employees, keeping records and managing employees .
For these task the business owner should hire specific managers or directors to assist
with all these task. Allow the managers hire the working staff that they believe that will
help the business succeed and grow. By following the fundamentals presented in this
paper it will assist, ensure the person a well organized business that will lead to
success.