Businesses that actually work in Nigeria
Nigeria (and Africa) is endowed with thousands of business possibilities and opportunities. Despite this reality, a lot of people want to be sure before they take their chances.
Truth be told, there’s no single formula that assures success in business, but there are some rules you can follow. And in this article, I’ll share with you businesses that have the best potential of increasing your chances of success.
The first type is a cashflow business. It’s about selling a product or service that’s already existing (and selling) in the market place. With this type of business, it’s possible to start making money almost immediately because there’s already an established demand and market for the product or service. Food, beauty products, housing, education, retail and other ‘essential’ products and services are just a few categories of cashflow businesses, and there are thousands of entrepreneurs who have built successful cashflow businesses.
But beware, while cashflow businesses have a high potential to succeed, factors like strong competition, poor access to market and saturated (or falling) demand are some of the biggest obstacles you may face. So, be sure to do your homework well.
The second type of businesses that work well in Nigeria are disruptive businesses. These are businesses that create new products that serve the needs of customers, and they change the market in interesting ways. They almost always change the game. A typical example is the introduction of mobile telephony in Nigeria in 2001 where MTN and ECONET disrupted the business of telephony.
More recently, we had Konga and Jumia. They introduced a new, easy and convenient way for people to buy things they need online. Jobberman is another disruptive business. It revolutionized the way people find jobs, and how companies can target and recruit the right kind of talent.
While disruptive businesses have a good potential to be lucrative and face very little competition, they take time to build and grow, and often have a higher risk of failure than cashflow businesses. And that’s because nothing like it exists in the market and it could take some time before consumers are aware of it. But when they take off, they can become very successful.
So, there they are. Whatever industry or market you’re interested in, you should consider your options and weigh them carefully.
By Olufemi Korode
Olufemi Korode is an Entrepreneur | Imaginative writer | Public Affairs Analyst |Social Scientist and an expert in Risk Management. He can be reached at : Korodeolufemi@gmail.com