If you are considering starting an e-Business there are still a number of advantages that you have compared to another offline business. In some ways the rules are very different in running and offline and an e-business. Some rules are the same whether you’re running an e-business or an offline business.
The key to being successful in what is called either Internet marketing or information marketing is to understand the basic structure of how this kind of e-business operates. Most entrepreneurs will tell you that it takes a long time to get an e-business started but that it will sustain itself over time.
One of the key principles in starting any business is to get to that point where you have established a sustainable competitive advantage. That means that you got a place in the market that generates significant income from a system that is difficult to copy by another busienss. This is an important, because it is easy to generate cash flow online. But there is always a question of whether or not if that cash flow is sustainable, based on the energy that it took to produce the work and the compensated receiuved.
Many people get started in Internet marketing, and are excited about the fact that they are able to generate some income. They’re excited when they are paid through a PayPal account without having to receive a paycheck. However, those same individuals may be disappointed to find that in order to continue to receive that same income they will have to work constantly. Therefor, it is necessary to make some distinctions in terminology. The ability to generate cash could be called “Internet marketing” or “Online marketing”. When these two ways of generating cash flow are done through information-based products, we could call it “information marketing”. It will takes a system to create the framework that allows the income to be received constantly, without having to be present for every minute for generating it. This is where the term e-business differs from the other terms.
An e-business is built when there is a sustainable competitive advantage that eventually becomes recurring income. That recurring income is generated without the creator or owner having to work constantly, and be present for every dollar that is made. That means that because an individual can produce income or cash flow, doesn’t mean that they have a “business”. Without this understanding, you could easily stop short of doing what is necessary to have something that will last over time.
If you need to work for every dollar that comes into your account, you will be eventually burn out. While your market position might be sustainable; while there may not be many competitors, you have a limited capacity to work. No one can work 24 hours a day and seven days a week. No one can go years without ever taking sick days. And if an individual has any relationships with family or friends, it is unlikely that they could go years without ever seeing any of them. The point here is that working for every dollar is no way to have or run a business. Your goal in starting your Internet marketing based operation is to build it into an e-business. That means that if you were to take a vacation or if you were to decide to go and visit your family, your income would not stop.
It means that if you decided to try to expand your business, by working on a new project, that you would have time to explore every aspect of it without destroying your income. Without the ability to do that, your business would stay the same size indefinitely. It’s important to start your e-business with the understanding that until you’re beyond the money-for time phase you have not yet accomplished a goal. Spending your time and working for every dollar, will keep you in survival mode. But it is not a way to build your lifestyle.
Through other articles we will explore ways that you can build this kind of e-business: the kind that allows you to expect cash to come into your bank account without having to spend the time to make it happen. You are building structures that will do that for you. Just as an offline businesses will have a structure that has managers, employees and suppliers, your e-business will have the very same kind of structure.