Strategies to Improve Your Business-Market Fit

Business

Being effective can mean a variety of different things, especially when you’re asking different people. These differences in perspective aren't just occurring at an individual or employee level, but also at the organizational level. 

 The effectiveness of an organization or business is argued to be the center stone of organizational behavior (OB) -  the study of what people think, feel and do in an organization.  For the purpose of this blog, we’ll be mainly talking about businesses, and how you achieve an effective business.

So how do you measure if your business is being effective? What does being effective mean? 

That’s a question you need to ask yourself when you’re starting out a business. It should be tied in with your goals building – both long and short term. What do you think makes a business useful, and how can you get there? 

 

Some answers I hear are:

·  High productivity, low cost.

·  A good and healthy work culture.

·  Business-Environment fit.

·  A solid foundation of Human Capital.

 

These are just a few out of many different measures of effectiveness. The key is to be able to define what makes your business run efficiently in your eyes, and how best to reach success. Now, don’t confuse this with your goals, effectiveness is at a higher level than your goals. Your goals should be developed in order to achieve effectiveness within your business. For example, if one of my measures of effectiveness was a good and healthy work culture, my goal should be more specific and help to achieve that measure e.g. team huddles every week, 1 team building exercise or activity outside work a month etc.

Although you can choose whichever measure works best for your business, I will be focusing on one that is often overlooked – Business-Environment Fit.

The Business-Market fit is a theory that is based on the Open-Systems perspective. I won’t go into Open-Systems, but if you’re curious I definitely recommend reading it.This theory of effectiveness states that businesses are effective when they achieve/maintain a good fit with their external environment. 

Let’s break that down.

 

Source

Your business is effective, when the inputs (the efforts, and items, and people going into your business), the processes (how you run your business), and outputs (your products and services) match and align with the needs and expectations of the environment/community your in.

For example, your soap company isn’t going to be effective in a small town environment that was built on a well-established soap factory and store. You would be competing with tradition, culture, and history. However, all isn’t lost if your business doesn’t align with the environment it’s in. There are 3 different strategies to change this.

 

1) Change Your Products 

Change your outputs, or the company’s products in order to align with the market’s needs. Take a look at Zara, a fashion company and the main brand of the world’s largest retailer Inditex changes its products by continuously adapting the design of its clothes to maintain a good fit with the market within a highly volatile fashion environment. This Spanish company receives feedback from over 6,000 stores in order to rapidly design, manufacture and deliver new styles. The result? There is never an overstock of products that people don’t want to by.

 

Source
2) Manage Your Environment

You might be thinking that maintaining an aligned business environment fit is mainly going to be focused changes made on the business but this isn’t the case. You can actively manage the environment or market that you’re in, and the way to do this is through marketing.

What is marketing but a company’s attempting to psychologically manipulate the environment it is in an attempt to increase demand. You can also influence the environment by restricting your products to certain retailers or just your own store. Or the more aggressive way of restricting your competitors access from valuable resources.

 

3) Change Your Market Location

The third way to maintain a healthy fit is to change up your location. Aim at different demographics, revise your targeted buyer or even market to an entirely different location. If the environment you’re in is too challenging, you should move to a different market or environment that can sustain you.

 

Source

 

There are three strategies you can use in order to achieve a good business-market fit. If you have any questions or comments e-mail us at hello@ghostit.co!

 

 

Join Our Email List

Thanks! We will only send you awesome things or helpful tips on how to improve your business.
Hmm, something went wrong try again!
Rahul Bhatia

Co-founder of Ghostit

Related Posts

Strategies to Improve Your Business-Market Fit

Strategies to Improve Your Business-Market Fit

Author :

Rahul Bhatia

Being effective can mean a variety of different things, especially when you’re asking different people. These differences in perspective aren't just occurring at an individual or employee level, but also at the organizational level. 

 The effectiveness of an organization or business is argued to be the center stone of organizational behavior (OB) -  the study of what people think, feel and do in an organization.  For the purpose of this blog, we’ll be mainly talking about businesses, and how you achieve an effective business.

So how do you measure if your business is being effective? What does being effective mean? 

That’s a question you need to ask yourself when you’re starting out a business. It should be tied in with your goals building – both long and short term. What do you think makes a business useful, and how can you get there? 

 

Some answers I hear are:

·  High productivity, low cost.

·  A good and healthy work culture.

·  Business-Environment fit.

·  A solid foundation of Human Capital.

 

These are just a few out of many different measures of effectiveness. The key is to be able to define what makes your business run efficiently in your eyes, and how best to reach success. Now, don’t confuse this with your goals, effectiveness is at a higher level than your goals. Your goals should be developed in order to achieve effectiveness within your business. For example, if one of my measures of effectiveness was a good and healthy work culture, my goal should be more specific and help to achieve that measure e.g. team huddles every week, 1 team building exercise or activity outside work a month etc.

Although you can choose whichever measure works best for your business, I will be focusing on one that is often overlooked – Business-Environment Fit.

The Business-Market fit is a theory that is based on the Open-Systems perspective. I won’t go into Open-Systems, but if you’re curious I definitely recommend reading it.This theory of effectiveness states that businesses are effective when they achieve/maintain a good fit with their external environment. 

Let’s break that down.

 

Source

Your business is effective, when the inputs (the efforts, and items, and people going into your business), the processes (how you run your business), and outputs (your products and services) match and align with the needs and expectations of the environment/community your in.

For example, your soap company isn’t going to be effective in a small town environment that was built on a well-established soap factory and store. You would be competing with tradition, culture, and history. However, all isn’t lost if your business doesn’t align with the environment it’s in. There are 3 different strategies to change this.

 

1) Change Your Products 

Change your outputs, or the company’s products in order to align with the market’s needs. Take a look at Zara, a fashion company and the main brand of the world’s largest retailer Inditex changes its products by continuously adapting the design of its clothes to maintain a good fit with the market within a highly volatile fashion environment. This Spanish company receives feedback from over 6,000 stores in order to rapidly design, manufacture and deliver new styles. The result? There is never an overstock of products that people don’t want to by.

 

Source
2) Manage Your Environment

You might be thinking that maintaining an aligned business environment fit is mainly going to be focused changes made on the business but this isn’t the case. You can actively manage the environment or market that you’re in, and the way to do this is through marketing.

What is marketing but a company’s attempting to psychologically manipulate the environment it is in an attempt to increase demand. You can also influence the environment by restricting your products to certain retailers or just your own store. Or the more aggressive way of restricting your competitors access from valuable resources.

 

3) Change Your Market Location

The third way to maintain a healthy fit is to change up your location. Aim at different demographics, revise your targeted buyer or even market to an entirely different location. If the environment you’re in is too challenging, you should move to a different market or environment that can sustain you.

 

Source

 

There are three strategies you can use in order to achieve a good business-market fit. If you have any questions or comments e-mail us at hello@ghostit.co!

 

 

Ready for a content marketing strategy that increases your traffic and conversions?

Check our

Read Our Latest Blog Posts!

How to Mimic Word of Mouth Marketing in Digital Content Marketing

Unlock the power of word-of-mouth marketing in the digital realm with our comprehensive guide to leveraging testimonials, influencer partnerships, user-generated content, and employee advocacy in your content marketing strategy.

Content Trends to Capitalize on in 2024: A Ghostit Insight

Stay ahead in 2024 with our insights on content trends. Explore the rise of AI-assisted content creation, the impact of short-form videos, the immersive world of interactive and AR/VR experiences, the power of user-generated content and influencers, and the growing momentum of employee advocacy.

Maximizing the Impact: A Comprehensive Guide to Measuring the ROI of Your Employee Advocacy Program

Unlock the full potential of your business with a strategic employee advocacy program. Take a close look at the importance of measuring ROI, focusing on internal metrics for fostering a positive workplace culture and external metrics to drive brand visibility, engagement, and revenue growth.

How Reebok Used Employee Advocacy to Exponentially Boost its Social Media Presence

Reebok's success in employee advocacy stems from integrating brand values into corporate culture, prioritizing employee messaging for trustworthiness, fostering a fun atmosphere with #FitAssCompany, and emphasizing transparency. This blog offers valuable insights for building and scaling effective employee advocacy programs.

The Best Ways to Scale Your Employee Advocacy Program

Discover the key strategies to successfully expand your employee advocacy program on a large scale, from securing executive buy-in and fostering a cultural shift, to preparing abundant and engaging content, addressing global variables, educating your employees, and implementing effective measurement and adjustments, all vital aspects explored in this comprehensive guide.

Why Leadership Buy-in For Your Employee Advocacy Program is a Must

Executive leadership plays a pivotal role in driving thriving employee advocacy programs. Learn why their full involvement is essential for embedding the program within company culture, motivating employees, setting clear goals, and signaling significance.

6 Green Flags to Look for When Choosing an Employee Advocacy Agency

Learn the six essential green flags to ensure your employee advocacy program's success. From brand alignment and engaging content creation to seamless platform training, these are the traits a good agency possesses.

The Future of Employee Advocacy

Discover the future of employee advocacy as it evolves beyond the basics, embracing employee-generated content and the power of AI to create more authentic and diverse messaging for reaching new audiences in the ever-changing social media landscape.

The Intersection of Mental Health and Employee Advocacy

Discover why mental wellness is crucial for a thriving employee advocacy program and learn effective strategies to support your workforce's well-being, enhance creativity, elevate engagement, and project a positive brand image.