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How to make a business work

ΚΟΡΩΝΟΪΟΣ ΜΕΤΡΑ ΑΠΑΓΟΡΕΥΣΗ ΚΥΚΛΟΦΟΡΙΑΣ ΕΛΕΓΧΟΣ
Things will be much harder than they were before the pandemic and resulting lockdowns

As entertainment establishments, like restaurants, bars and cafes, reopen, their operators should have certain factors in mind. Things are not as easy as they were before the pandemic and resulting lockdowns. Those running such businesses will need to take care and practice good management.

As summer approaches people will be going out more. Due to the uncertain economic situation and people having limited spending power businesses will be trying to compete with each other.

What often amazes us is how much the success of businesses varies in this sector as well as others, including in real estate.

In Protaras and Ayia Napa, we see some businesses with staff standing outside, often women with trays full of drinks, attempting to entice people in off the street and then other restaurants are fully booked in advance and even do two or three sittings.

Similarly, in Nicosia, just on Kennedy Avenue, one establishment is busy from 10am to 3am, while other similar operations are closing down 100 metres away.

Then there was the rise and fall of Orphanides supermarkets versus the success of Lidl whose presence on the island followed.

We thought it would be worth examine possible reasons behind why some businesses fail where others succeed.

There are many factors and of course each business has its own parameters but here are some general, significant points:

  • Reasonable prices must be weighed against quality of goods and service. There is often the attitude that if prices are cheap then nothing else matters. However, experience has shown that although price is important, it is not everything. In Platres for example a restaurant where a meal costs €70 is thriving with queues out the door, whereas others which charge €20 are struggling.
  • Dedicated staff who know the particular business and have the right character for the job, is a major plus. Notwithstanding the owner’s directions, the staff have their own mind. Personality, hard work and a happy face play a huge role.
  • In real estate shortcomings in the standard of properties are becoming more evident. Developers or property owners who deal with issues identified by buyers promptly and well have a good chance of success. It is worth bearing in mind bearing in mind that a good percentage of new customers are introduced by existing clients. Therefore the service provided following a sale is especially important in small countries such as ours, where word of mouth can also really work against you.
  • It is of utmost importance to know one’s own business well. Attempting to copy another business because it is successful is not a good idea. It is unlikely to work the same for all.
  • Be humble. If someone asks you how you are doing, especially at this point in time, reply thankfully we are OK. Do not show off if you are doing well as this is provocative, but also do not say that you are suffering as this is depressing and inspiring pity should not be used as a way of attracting clients.
  • Running an honest business is everything, though this can be more complicated than it sounds depending on your financial situation.
  • Experience is key, gathering as much information as you can and learning from your mistakes, and those of others.

 

Antonis Loizou & Associates EPE – Real Estate Valuers, Estate Agents & Property Consultants, www.aloizou.com.cy, [email protected]

 

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