What Strategies Can Danny Abuel Use in Order to Introduce His Business in the Market?

I. Statement of the Problem

What strategies can Danny Abuel use in order to introduce his business in the market?

II. Areas of Consideration

Strengths

1. Lower employment cost
2. Business with own’s passion
3. Low cost of capital

Weaknesses

1. Credibility of psychic ability of Dan.
2. Wide scope of services offered which cannot fully provide like Finding Soulmate and speed reading.
3. No suitable location for the business.
4. One-man team. No assistance to help him with the business.

Opportunities

1. Low-cost training attracts more clients.
2. Danny can put up a training center on his own land at the end of the lease contract of Suman Emporium.
3. Danny’s protégés can be the future franchisee or partner of his business.

Threats

1. Presence of well-known and established competitors in the field. (e.g. Jaime Licauco in Makati, Jose Silva for the Silva Method) – Mr. Danny could hardly compete with.
2. Presence of cheap local mind readers everywhere which are sometimes bogus – could create a negative impression and lessen their potential customers.
3. Mind-Reading is not “a thing”, or only a few believes.        

III. Alternative Courses of Action

1. Forming a partnership with a co-psychic
2. Benchmarking on other well-known competitors
3. Stick to Danny Abuel’s original plan of renting out a friend’s game room
4. Creating a clear marketing program

IV. Analysis of Alternative Courses of Action

1. Forming a partnership with a co-psychic

Danny Abuel can opt to form a partnership with a well-known expert co-psychic to be his business partner. Though there are things that should be considered on having a business partner: one is that the profit will be divided, the two will be mutually and individually liable for all the bills, the company will be authorized by two managers so there would be no total control of the business that there is a possibility of clashing of opinions which could also prolong the decision making. And sometimes, disagreements could wreck a partnership which would cause division or worse discontinuity of a business. But there are more positive than negative things in forming a partnership, especially for Mr. Danny Abuel, who wanted his business to be known.

It is advantageous for him to have a partnership with a well-known expert of high success rate in the field and someone who has the same interest, to help him pursue the business. He could start it by formulating a business partnership agreement and contract, and eventually in the long run, he could collaborate with his customers and future investors to further expand the business by means of franchising it. This can help the Brain Power Psychic Development Center attract more clients.

There would also be a merge of existing clients. The partnership will complement each other in terms of skills and techniques that they will impart to each other which could develop to an even much higher level of expertise that would lead to greater financial gains. There will be a distribution of work and sharing of the expenses from starting up to maintaining the company operations which could minimize individual risk and expenses. Their good relationship will strengthen their business as there will be one who will look up to it when the other one is not around or they have each other’s back. As the saying goes, “Two heads are better than one”.

1. Benchmarking on other well-known competitors

Danny Abuel should choose to spend on marketing his business to the public because it is relatively new. He can use market research and benchmarking to help in planning his marketing strategy and methods. Benchmarking is a way of discovering what is the best performance being achieved – whether in a particular company, by a competitor or by an entirely different industry. This information can then be used to identify gaps in an organization's processes in order to achieve a competitive advantage.