I am always going to love the different television shows that are based around business. Last post I spoke a bit about the apprentice, and I funnily enough met the season 15 winner of the Apprentice. His name is Mark Wright, and the man is nice in real life, so it was a shame that they tried to make him look slightly bad on the T.V. show. Another T.V. show that I wanted to talk about however is the popular T.V. show Dragons Den. Dragons Den is a real fun show to watch, just because of how stupid it can be at times. I don’t mean that it is in the same vein as The Apprentice can be with the blatant manipulation of footage and dramatisation for no reason, but it can still be quite funny.
Dragons Den is an informative programme if you are thinking of starting your own business, especially if you have an idea for a product or service you are not entirely sure would be successful. This is even more important if you have a potential product, as you can see from the way people are grilled and have very little to no answers how much promise a product really has. Many times, the people that are going onto dragon’s den are doing so with a new product or service that has yet to be really tried and tested, and the appearance on the show is their first. That is part of the reason the show can be informative, as you can begin to understand how to question your product or service without being biased. You can also learn how much testing and analysis needs to go into a product before you decide that it is ready to be sold.
Another great thing about Dragons Den is the negotiation part of the programme. If there is a product or service that one of the dragons finds to be good enough that they will invest their money in, you can usually tell how much faith a business owner will have in their own product by how large a percentage they are willing to lose. Many times, they go on the show only ready to lose 5 to 10% of their total profits. However, rarely do you see this happen. They instead decide that they are willing to give anywhere up to 50% of their product away. If one of these products were ever going to be multi-million-pound projects, you can tell that the business owner did not have that amount of faith, because you would not be willing to miss 50% of it.
Another thing to note when watching the show as a potential business owner is making sure that any projections are accurate, and not based of what you would like them to be. It is very easy to say that a product will be making millions of pounds in two years, but that is only if the best-case scenario is applied. Really, you want to undersell the product and its own potential as much as possible, both to look more realistic and to prepare yourself of how hard it can be as a start up company. Unfortunately, not many take this advice and instead do as much as they can to pump up their own product because they feel optimistic.
I hope you have read some of the past blog posts, and make sure to stay tuned for more in the future too!