Best Investment Strategy for 2022|Maximize Profit on Investment
Different things work well in different places.A cardigan sells well is a cold region but may never be bought by people living a hot region.In the same way certain businesses thrive in certain cities/location but will collapse in another city.
When planning to venture into a business.It is important to consider certain indicators to know the right business that will suit your location.For this assay,we are going to consider the following factors.These are investment testers.👇
Availability of Market
Availability of market is important in selecting a business.A market is the coming together of buyers and sellers.If buyers are always ready to buy from the sellers,then there is a favourable market for that particular business and vice versa.If there is no market for the business,it will barely survive.For example, malaria drugs have a big market in Africa when compared to Europe because Africans are more exposed to mosquitoes.
Availability of Skills
Some businesses requires minimal skill and also it is easy to get people who are skill in such business.This means that availability of skill is high or readily available for such business.For example the availability of skills required in soya bean production is readily available as compared to production of bread.
Availability of Raw Materials
Some businesses requires raw material.And as such,it is important to have quick access to the raw materials.However,if the raw materials are scarce or difficult to get,it will have a negative effect on the business.For instance it is easier to get the raw materials required to prepare zobo drink as against the raw materials required to prepare paint.
Government Priority/Policy
Government Policy is an important point to consider when choosing a business in a particular locality.Each government has priority and areas they have interest at every particular point.For instance in Nigeria government priority favours agriculture more than trading because government want availability of food for the growing population.
Now lets use this indicators to know the best business to chose in Rural area in the south east of Nigeria.I will have a score of 1 to 3 for each indicator.Then the business with the highest score becomes the ideal business.I will analyze three businesses.
Testing Three Businesses to know the best one to Invest
Here I want to run a test on Fish Production, Block Production and Soya Production.For each I will score the business with the highest possibility based on the Indicators 3,the next 2 and the one with less possibility will recieve a score of 1.
| Indicators | Fish production | Block Production | Soya Production |
|---|---|---|---|
| Availability of Market | 3 | 1 | 2 |
| Availability of Skills | 1 | 2 | 3 |
| Availability of Raw Materials | 1 | 2 | 3 |
| Government Priority | 3 | 2 | 1 |
| Total | 8 | 7 | 9 |
From the analysis.You can see that considering the Availability of Market, Availability of Skills, Availability of Raw Materials and Government Priority,it is easier and more profitable to invest in Soya bean production.This is how to test for the best business to invest in a given locations.
Remember this result differs from place to place.In a place where people are always building houses,the availability of market for block production is going to be higher in such areas.
Mmh, this is interesting. Doing business requires a lot of considerations. Just like I can't fix a buka in an estate where rich people live because it won't sell more than it will where University students live . To do business, you have to consider your target audience/ customers. THATS DOING FEASIBILITY STUDY. My humble contribution. Thanks
You are very correct on this👆
Exactly you are right @queensleey the point you mentioned is under market availability from the Indicators i used.Thank you for making a postiive contribution to the post.
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What you said is true @samuel20, each business require skill and availability like the example you gave for zibo and paint, one need to know what his or her area need in terms of business then acquire the skill.