3 Ways to do Business

50% of people in the age group 22-30 think that they should start some business of their own. While majority of them do not start, of those who actually take up entrepreneurship, 60% of them will not be having exact plan of how the business is going to run. This is because of their age, lack of experience and High confidence that they can succeed in any field.

Today let us see different types of business and their models.

The 3 different Ways to do business

Connection

One of the safest and best type of business is connection. Connection model is type of business which connects two entities, the entities can be consumer, company, seller etc.

Some of the Companies working on connection model are:

• Facebook: Connects people to people, Connects brands to people.
• Google: Connects people to websites.
• Amazon: Connects seller to consumer
• LinkedIn: Connects job seekers to HRs, Connects people to people.
• Quikr: Connects buyers to sellers.
• 91Acres: Connects Real estate owners to buyers.
• Quora: Connects Writers to Readers.

In connection model, Business usually make money by Ads, Premium services or Revenue sharing basis ( e-commerce only).

What Businesses are being done in this model today?

• Though LinkedIn, Monster and other employment sites exist, Connecting HRs to suitable candidates remains a major problem, hundreds of companies are still working on it.
• Digital marketing: "Best brands are often not well known"- digital marketing agencies connect consumers to producers.

Simplification/Solution

• People love options, but when subjected to huge number of options,  they feel confused and dissatisfied irrespective of the option they choose.
• People are busy, they want everything to be done easily.

Simplification model exists because of the above two reasons, Companies that work on simplification model often try to simplify processes.

Companies working on it are: 

• MakeMyTrip: Simplify Travel decision making.
• Software companies: Softwares are majorly focused on simplifying tasks.

Businesses trending in this model are

• Blogging: Bloggers are often known to simplify and provide best information in particular niche.
• Tutorials: Tutorials are known to simplify learning process.
• Psychologist, Numerologist, Astrologer...

Product

Companies which builds specific products which doesn't exist in the market are the product based companies.

Product based companies usually tries to invent/discover Something New.

• Intel: System Processors
• Snapdragon: Mobile Phone processors.
• Apple: From Phone processors to Camera.