Which Business Field Should Be Chosen?

After considering her research, knowledge, and experience, a woman we'll call Linda is trying to decide between two business possibilities: selling a weight loss product or raising and selling vegetables at the local Farmers Market.


Linda has never been involved in the health care field and does not have much knowledge about its products and practices. However, after researching possible business opportunities, she has found that the product she is considering is selling well due to high demand and a good reputation. Linda believes that the income potential from the product is good.


On the other hand, Linda has many years of experience in raising vegetables. Gardening has been her hobby for most of her life, but she has never done it as a business. From a knowledge and experience standpoint, she is much more comfortable with raising vegetables than selling a weight loss product.

Linda is not as sure about the income potential from selling vegetables as she is from selling the weight loss product.


Which way should Linda go? Linda needs to consider factors such as the time required to run either business, the cost of inputs in raising vegetables such as seed, fertilizer, water, etc. vs. the cost of buying the weight loss product, and other expenses on both sides.


In the end, it might come down to personal interest. If Linda finds that she has more interest in the vegetable business, she would probably be better off going with it than with the weight loss product. If a person has more interest in one side over the other, the person is not as likely to give up during down times and, therefore, more likely to be successful.


There are other factors than what have been mentioned that will need to be looked at, too.


Linda shouldn't choose to sell the health care product just because she thinks she will make more money with it. She might be happier in the vegetable business even if she makes less than she would with the weight loss product or she might end up making more money with the vegetables if it interests her more.


I think she should go with the vegetable business.

 

There are other things to consider other than experience.

There are financial issues to consider too.
Building a farm for commercial purposes require investment in lands and structures. Both do not come cheap.
Selling Weight Loss products require less capital because there are very little inventory.

There are also market issues, Competitors and so on.

It is a good idea to put both business into Porter's 5 Forces tools to see which is a better investment. The thing with Porter's 5 Forces is that it do not take experience (maybe you can plug this into the Threat of Entry box) and happyness into account.

 

Hi SE 100,
The only thing that seems to be holding Linda back from going into farming is the sales potential of her produce.

She needs to do more research in that area. Check out the selling prices, the competition, the cost of getting into the market.

She also needs to do similar research into getting started online. With the online aspect I suggest she invest in IM training. Find out what it takes to be successful in the MMO niche. Then apply that knowledge to any other niche online.

With the added information she would be in a much better position reduce her risk of losing money instead of making money.

LB.

 

The best way to answer this is to focus strictly on what will offer the best return on investment with the least amount of risk involved.