Limesh Parekh
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The only two common mistakes, roles and responsibilities of an entrepreneur

Reading Time: 4 minutes

If we search Google for top mistakes or roles and responsibilities of an entrepreneur, we find lots of scholarly articles and videos. But if we read them, it is kind of overwhelming and confusing. It makes us think and feel that it’s very difficult to become an entrepreneur. 

However, if we try to think logically, we would find that building a business should not be very complex it has to the simple. And surprisingly it is simple. Yes, In fact, if a business owner or a business leader just takes care of two primary responsibilities, his business would flourish and he would also have a successful and peaceful life. 

The ideas discussed in this article are more applicable to first-generation business owners. Because for others, their senior family members, generally teach them what to do and what not to do. 

Responsibilities of an Entrepreneur

Primarily there are only two responsibilities of entrepreneurs.

  • Innovation
  • Marketing

The day to day activities of a successful entrepreneur should include everything around Marketing and Innovation. If we are not doing that, we are bound to fail in the long term. At least the growth will not happen. 

Why driving innovation is the responsibility of the business owner

You might say that you are not into any hi-tech product development, so innovation does not apply to you. But that is a wrong approach. Let us scratch the surface and look little deeper

  • When I say innovation, I do not mean technical innovation in the product.
  • I mean innovation (which also means improvement) in everything that our organization is doing.
  • Which means that the business owner is responsible for improvement or innovation in the following areas
    • The way people are hired and trained in our organization. 
    • Improving marketing strategies. 
    • The way we are earning money and where do we spend money. 
    • Improving our sales process.
    • Making the buying or the procurement process more simple and streamlined.
    • Improving how cash flow is managed in our organization.
    • In fact, improving everything that is going on in the organization
  • Broadly when we say managing something we should understand improving the way it is done and making it more and more efficient.

It’s an entrepreneur’s responsibility to make sure that innovations and improvements happen in their organization on a continuous basis.

Why marketing is the responsibility of an entrepreneur

When I say marketing, I am not talking about going door to door and selling our products. But driving the marketing team or department. Marketing means generating demand for what we offer or provide. It also means creating a brand for our organization through our processes and practices.

Business owners or entrepreneurs might not do this on a personal level but it is their personal responsibility. They have to get this done.

Depending on the organic word of mouth without doing any kind of marketing efforts to promote our products and services can be the biggest mistakes done by any small business owner. 

One of the biggest myths is that marketing requires money and that only big companies need marketing. 

Common Mistakes of an Entrepreneur

In order to understand the common mistakes, let us understand the journey of an entrepreneur, as they start their business. 

  • Starting the business
    • When the business started the enthusiasm was on the peak. We did two things mainly. 
    • We used to meet and call everyone that we knew and inform them about our business, our offerings, or products.
    • Here we were generating demand for our business; We were doing marketing.
    • What is the other thing that we used to do?
    • We used to spend hours and many late nights to learn new things. Learn new concepts, new tools, and new techniques, so that we can improve our business. 
    • Here we were constantly improving our business and knowledge. We were innovating.
  • The business got stabilized or established.
    • Because of our enthusiasm and work, the business got established. All the problems started with that. 
    • We got a nice comfortable chair and a cozy cabin in the best location in our office.
    • Now are looking after creating invoices making, sure that payment collection is done, making sure that material is delivered. 
    • We are thinking about whether our person has reached the client or not, whether our office was opened by our peon on time or not. 
    • All these activities could have been delegated and monitored with very little effort.
    • But we are doing all these things on our own. We converted ourselves to a clerk.
    • And then we hire new and inexperienced people to look after innovation and marketing.

At the beginning of any business, the business owner is doing all their role perfectly well. But as business establishes, they switch over to the role of dignified clerks.

  • The Business gets stagnant
    • The enthusiasm has already vanished and replaced by routines. Now, life has become boring. 
    • Now we are looking after routine things. 
    • Either young and inexperienced people are responsible for marketing and innovation or they are completely ignored. 
    • As a result, the business does not grow. 
    • The business becomes stagnant. In business, if we are not growing then start to decay. 

Fundamentally we are refuting the law what should be delegated and what should not be delegated. नए धंधे में पुराना आदमी चाहिए,  पुराने धंधे में नया आदमी चलेगा उसी तरह से  मुश्किल काम में पुराना आदमी चाहिए, आसान काम में नया आदमी चलेगा – पर हम शायद बिलकुल उल्टा कर रहे है 

So how do we solve these mistakes and get back to our original role as an entrepreneur?

  • Create a list of things that we do on a daily basis. Things that consume our time and energy.
  • Start figuring out what all can be delegated to someone else in our organization.
  • For this, we might need to do two things. 
    • First, we have to create a simple and reliable process so that it can be done by anyone. Now, we have to find persons in our team who will be able to do this process. This is innovation. Create a proper system of checks and balances so that we can monitor the activities of delegated work.
    • Second, we should start focusing on communicating with our customers and prospects on a personal level. Once we gain expertise in this we are ready to create a proper process of this and we can hand over this to someone. This is marketing. 

The most important thing, however big our business grows, always keep in touch with our customers. 

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50 Responses

  1. Because An Enterprenuer likes to take The Challenges ,
    It Was a Kind of dream,and He fulfilled it ,
    But Now he would love to Take The next step that Bring more success ,power And Money As well.

    He can Hire some one to fulfill his Needs ,
    Thats A Simple But very Tricky logic

    1. Aanand ji, Thanks a lot for your comments.
      yes hiring and developing a team is part of innovation and improvements. Because one person cannot do everything so, we need a big team.

  2. Role: strategist, financier, salary-giver, technologist, father, marketeer
    Responsibility: execute with a team which has their roles defined well by way of empowerment

    1. 100% agreed with your idea and thanks a lot for your comments. Highly appreciated, it means a lot to me.

      In my opinion, leading the team and designing and redesigning strategies are part of innovation and improvements to be done. Also going forward as the business keeps on growing, the role will evolve and will keep on including other things also.

  3. Excellent Article.
    It nails the mistakes of most Entrepreneurs.
    Must read for all Business owners.
    Regards

  4. Very insightful !

    Good Analysis and
    Observation particularly impressive is the extent and depth and tenacity with which the research has been done.

    Well articulated talk about what is really needed in developing
    businesses and their future !
    It will Change many of listeners perception

    It’s refreshing to listen to someone shedding light on our reality.

    Couldn’t agree more…

    1. Thanks a lot, Nilesh bhai. I am glad that you found this useful. Please help to spread the word, by sharing this with your friends.

  5. As entrepreneur we also communicate with our employees on how you look at the future direction constantly .
    Once we have eye on cash flows monthly p&l is also important . Encourage our next level to take risks not to be rigid

    1. Thanks, Mr. Subramanian. Sir, in my opinion, the points that you shared will come under the innovation part. When I say Innovation, I mean improvements in each and everything. Improving everything. Just everything in the company.

      Developing next-generation leadership is also part of improvements.

  6. Very good article, it’s explained very much in simple way, straight to the point & not getting too much into other jargons. Limesh bhai keep writing such articles, it’s very much helpful to all entrepreneurs.

    1. The learning is mutual Sir. Whatever I have written or spoken is all that I have learned from all you and my other friends.

      I am happy that you liked the article and found it useful.

  7. Amazing article. Very helpful for the new budding entrepreneurs!! Everyone from this article can improve, and must improve.

    1. Thank you Dhruv, Also share this with other young businesspeople like you. I am glad that you found this useful.

  8. Super Awesome. You opened my eyes. Great. Thank You. I am going to do business with new zest. Please keep forwarding such business tips

    1. Pranav bhai, Thanks for your kind words. Help to spread the word, by sharing this to as many people as possible.

  9. I think most of entrepreneurs don’t understand where profit lies. They confuse liquidity with profitability.

    Understanding where sustained profit comes from is essence of any business, neither innovation nor marketing.

    1. Yes Sir. agreed. That is the reason I mentioned innovation (for me innovation is an improvement, learning and continuously changing things). Learning business concepts is also part of the same.

      Thanks a lot for your comments.

  10. Sir,Very informative ,Lagta hai jaise kisi ne dil ki baat keh di ho.I will share it with my other friends too.

    1. साहब, सबके मन की बात एक हाई है, हम सब एक जैसी हाई गलती कर रहे है शायद।
      लेकिन अगर हमें समझ में आ जाता है और हम ये सुधार देते है, तो सब ठीक हो जाएगा।

      Thanks for your comments, request you to share it with others.

    1. Sir, it’s mutual. Everyone has same problem. Even I wrote this after committing those mistakes. 🙂

      But I think, its a good sign that we all realize it and we are changing.

  11. It’s really d thing which should be shared with everything.
    Responsibility should be there from d first day, and should be continued till the existence. Everyone should be given d opportunity of freedom,but in limit. The whole key should be with the CEO of d company, should be the owner of d company. Company should be like a family, but don’t ever forget what things r going on in everyone’s mind. So the second key should be in ur hand. In case if one key is lost or miss located the other key should be safe.
    If both d key are in one have than anything can happen. As u know d rule dat 2 keys are necessary for the locker to open.
    Loved d speech and wording above. But v sad to say in india it’s rarely used.
    This is the key of success.

    1. Thanks a lot for your idea and feedback. Appreciated. Please help to spread the word, also share this with others.

  12. Wonderful Video Limedhbhai. Love Your factual information that’s Experential Learning.

    Keep sharing such wonderful Tips and Hacks for Business Growth.
    Work Delegation is a Revolutionary Decision in any Business that needs Balancing and System, Process approaches.

    1. Thanks, Yogi ji. I am glad that you found this useful. Please do share it with your friends.

  13. Very simple start your day by keeping 5 coins in your left pocket and flip it to right once you talk to one customer then other like wise do it for five client let it be old or new.

    I have been practicing this twice or thrice every week since many years and giving great results to our business both ways in getting feedback of our services and new business👍

    1. Yes Vimesh, it is indeed simple. But most often people stop doing this, once they think that their business has been established.

      Thanks a ton. When I wrote this article and video, you were one of the inspirations for it.

  14. Wonderful talk, it’s a real problem. You focus on problem as well as solution. Great sir.

    1. Thanks a lot, Madam. I am sure this will be helpful to lots of students also. Please do share.

  15. You nailed it perfect, I have also become busy as a accountant in my office and find less time being a entrepreneur

    1. Thanks a lot, Vivek Bhai. I am glad that you found this useful.

      Infact all of us have gone through that phase.

      But we have to take the effort and come out of it.

  16. If we look at entrepreneurship over thousands of years, it probably started with organizing people into groups to achieve common goals such as hunting and farming using stories, bribes, threats, games, etc. So HR was the core. The next level was probably trading over land routes and sea routes. So LOGISTICS would have been the core of entrepreneurship. Next came industrial revolution and entrepreneurship would have been about developing or acquiring TECHNOLOGY. Next came the formation of countries and a key component of entrepreneurship would have been POLITICS. Then came computers, and entrepreneurs were SOFTWARE DEVELOPERS (eg Bill Gates, Narayan Murthy, Larry Page), etc. The next generation of successful entrepreneurs are people who develop NEW BUSINESS MODELS (eg Jeff Bezos). What will be the core competencies of the next generation of entrepreneurs – tough to say, but my guess is it could be something to do with GENETICS, to conquer disease, lengthen lifespan and have designer babies.

  17. Good Evening Limeshbhai.
    This is absolutely to the point especially for India context.
    Over last two decades I am witness to many entrepreneurial debacles which can be attributed to these two critical aspects of sustaining the vulnerability of entrepreneurship.

    1. Uday bhai,
      Maybe this is true not only for the Indian context but for the entire world. Maybe, since we see only super successful people from out of India, we feel that they know everything.

      Thanks a lot for sharing your thoughts.

  18. Limesh bhai life’s learning are well captured and most importantly in simple words and sighting real life experiences with which everyone can relate too easily.

    Keep up the good works and keep sharing your learning with everyone.

    Thank you

      1. Hello Limeshbhai,
        So very true…!!!
        As an entrepreneur since past 22 years, while reading this, I thought you were describing my biography…
        Fortunately I have started activities to come out of thin since past couple of years and it has made a change…
        I completely agree with you and btw, I try to “copy” you wherever I can…:)

  19. Limeshbhai,
    Whatever you says is eye opening & relates to many people like me.

    Milind Patkar

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