Halliburton Company Business Strategies
Here are strategies which Halliburton employed in going from ground floor to one of the largest companies in the world. The idea is to adopt these strategies to your business and also experience great success.
Setting Up Business Along Your Area Of Knowledge And Experience
Your success in business is surer if it is in the industry where you have gained some knowledge and experience by completing apprenticeship or understudy program or having worked as an employee. These knowledge and experience are very important to the success of start-up businesses.
One of the reasons why most start-up businesses fail in their first year is that the owners have little or no knowledge or experience of the industry they are into. They may have been enticed to get into such business because they saw other people succeeding and making lots of money in it.
Erle Palmer Halliburton had garnered a good amount of knowledge and experience of the oil well cementing industry before deciding to set up his own business. Even though he had no money to start the business, yet his knowledge and experience of the industry proved to be his greatest asset that enabled him to move to the top.
Unyielding To Initial Rejections
Know that as a new comer to the industry, the first prospects you may approach to use your product or service may not give you any attention to talk about your business. Some may even tell it to your face how poor your product is compared to existing ones, that you may start wondering if you have not wasted time and money creating it.
I have been there before, and every successful entrepreneur has experienced it. You must never be discouraged when this happen to you. Move away from such people and continue reaching out to more prospects. You will be pleasantly surprised to find customers who will think your product or service is the best thing to ever be created.
Having been rejected in Burkburnett, Halliburton didnâ€™t feel dejected or sorry for himself, instead he moved to Oklahoma, where he found patronage.
Providing Quality Product Or Service Assures Huge And Continuous Patronage
If you want to experience monumental success in business and retain it, you will have to strive higher to always offer your customers the best quality product or service they cannot get elsewhere. This will make them to build trust in you, and have you occupying the number one spot on their minds whenever they need the kind of product or service you provide.
The rising demand for Halliburtonâ€™s services at the early stage of his business was as a result of the quality of service that he provided consistently.
Raising Capital To Expand
As your business takes firm root, the next stage is to expand it. You really need to expand it as quickly as you can to prevent other people from copying your business model and reaching new markets before you.
There are different ways to raise funds to expand a business, but the one that is not so commonly followed, although very effective is selling part of the business to investors or other companies.
When the Halliburton couple wanted to expand their business in 1924, they sold 48 percent of it to some oil companies to raise the capital they needed.
Identifying Your Competitive Advantage
You should know what your competitive advantage in your industry is. This is what you do, or the value that you provide customers that no one else in your industry can do as well as you do.
You should assess your business deeply and discover the special skills or abilities that enable you to create high value products or services so effectively and efficiently, which none of your competitors have.
Having discovered these skills, you can then develop and use them to the fullest â€“ they will allow you to be on top of the competition as you can satisfy customers more.
Halliburtonâ€™s competitive advantage in its industry, which made it indispensable in the Oil servicing industry all through its history, was its uncommon ability to develop processes and specialized equipment that reduced cost.
Protecting Your Work Legally
Donâ€™t take the risk; ensure you protect your inventions, books, software, and other intellectual property by legally documenting it. This is very important, if someone else gets the patent before you, it means you will not be allowed to make money from the invention even if you think you were the first person to have created it. But if you are the first to get the patent, you will have the right to produce the item sole for a number of years before other people are allowed, by then you would made a lot of money from it.
Halliburton was smart enough to patent all his companyâ€™s inventions. This enabled the company to make money anytime someone needed oil well cementing service, as they could either be hired or their patented equipment rented, either way they are making money.
Investing In Research And Development
To have an edge over others in the industry you need to possess certain capabilities that can enable you create uncommon and not-easily duplicated products, services, processes, and systems that will keep your competitors far behind you. To possess these capabilities, you will certainly need a well funded research and development unit.
Having a research and development department should be a priority need for any business that desires the top position in its industry â€“ it is indeed pivotal to business success.
No doubt, Halliburtonâ€™s success and continued dominance of the oil well cementing and stimulation service industry is traceable to the work of its research and development unit, which it funded heavily. In the course of the companyâ€™s history, the department created innovative equipment and processes that enabled it to be highly sought after.
Read Halliburton Company Success Story here.
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