Business Education

Elon Musk, Twitter, and Bogus Business Numbers Teach this One Simple Lesson

Elon Musk’s acquisition of Twitter is full of drama. It’s one of the biggest deals in the world of social media. What makes it so fascinating is the many bomb drops that continue to detonate, drawing huge public attention. Among the latest is about the actual number of bots on the microblog. Musk threatened to walk away if the company can’t provide proof positive about the percentage of fake accounts, citing his offer was predicated on official SEC filings. Turns out, there might be a lot Twitter is hiding from the public and this is a prime teaching example.

Why Businesses should Never Mislead the Public or Consumers

As a business owner, you should be aware of the consequences of misleading the public. When businesses knowingly deceive their consumers, it can lead to disastrous results. Not only can it ruin your reputation and cost you customers, but it can also lead to legal trouble. In this article, we will discuss the consequences of misleading the public and why honesty is always the best policy.

One of the most influential propositions in marketing is that customer satisfaction begets loyalty, and loyalty begets profits. Why, then, do so many companies infuriate their customers by binding them with contracts, bleeding them with fees, confounding them with fine print, and otherwise penalizing them for their business? Because, unfortunately, it pays. Companies have found that confused and ill-informed customers, who often end up making poor purchasing decisions, can be highly profitable indeed. —Harvard Business Review

Deceptive advertising is one of the most common ways that businesses mislead the public. This can take many forms, such as false claims about a product’s effectiveness, exaggerated claims about sales figures, or even making false promises about what a product can do. In some cases, businesses may even resort to fraudulent activities, such as selling counterfeit products or engaging in bait-and-switch schemes. Consumers rely on businesses to be truthful about their products and services. When businesses engage in deceptive practices, it erodes consumer trust and confidence. This can lead to lost business and customers turning to your competitors. In addition, if you are caught deceiving consumers, you could face legal action from state attorneys general or the Federal Trade Commission. The bottom line is that honesty is the best policy when it comes to running a business. Misleading the public may seem like a quick and easy way to make a profit, but in the long run, it will only lead to problems. Be truthful about your products and services, and you will build trust with your customers that will last for years to come. Have you ever been misled by a business? How did it make you feel? Share your story in the comments below. And if you’re a business owner, remember – always be honest with your customers! It’s the best policy for ensuring long-term success. Interested in learning more about business? Then just visit Waters Business Consulting Group.

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Tired of New Employees Abruptly Quitting? Here’s a Novel Solution for Recouping Your Training Costs

November 4, 2022 No Comments

One of the most costly and infuriating aspects of running a business is training new employees only to have them up and abruptly quit. It takes a lot of time, effort, and extra expense to onboard new hires and get them familiar with practices and procedures. When they depart shortly after their training, it means having to fill that position all over again. Since this is such a huge hassle and a costly one at that, some companies are actually billing employees who quit. The strategy is to ensure new employees don’t receive critical industry training only to leave and use their new skills at a competitor paying higher wages and/or offering more enticing benefits packages. Companies Recovering Employee Training Costs through TRAPs Healthcare, retail, trucking, beauty, and more companies are adopting a new approach in order to reduce their workforce losses. Known as Training Repayment Agreement Provisions or TRAPs, these clauses are included in employee contracts. Nearly 10% of all American companies are now using these provisions, according to a recent report by Reuters News. When a valued employee quits, the loss can have a detrimental effect on the person’s team and department and maybe even on the entire company. Not only can an unexpected departure lead to lost revenue, but it also could lower the morale and productivity of remaining employees. —Society for Human Resource Management Other industries may follow this emerging trend if it proves successful and legal. There are already federal and state government agencies looking into the practice, and it appears to be legitimate. If it continues to grow in popularity, it should be not only a big benefit to businesses but to employees as well, as both parties will know precisely what’s expected of them and how to proceed accordingly. How to Use Employee Training Repayment Agreement Provisions Because this is somewhat new, it’s very important to take thoughtful, measured steps in order to implement such a practice. Here are some suggestions for how to use an employee training repayment agreement provision in your business: Consult a labor law attorney. The very first thing you should do is to speak with a lawyer who specializes in labor law in your state. Even if a future employee willingly signs such an agreement, there may be something on the books that does not allow you to enforce such a provision. So, be crystal clear it is legal and actionable in your state. Speak with your human resources department. Obviously if you are able to include an employee training repayment agreement provision in your hiring contracts, you’ll need to get the right people in your organization on board and in the know. You can help to develop a new section in your training process that discloses and advises potential hires and new team member about this provision. Make sure new hires are made fully aware of the provision. When you’re recruiting someone new to your organization, be sure this is made abundantly clear before you proceed with follow-up interviews and probably before the very first, initial interview. Any job candidate should be made aware of this provision well before you get deep into the hiring process. Include a mechanism to recoup new employee training costs. Of course, you’ll need a way to actually recoup those training costs. So, if you offer a sign-on bonus, that may be one way to recapture the expense. Here again, you’ll need to consult an experienced, licensed labor law attorney in your state to establish a recuperation mechanism for the provision. What else would you suggest business owners do to deal with new hires who quit shortly after being brought on? Please share your thoughts and experiences so others can benefit from your input! Interested in learning more about business? Then just visit Waters Business Consulting Group.

Most Effective Networking Strategies Successful Entrepreneurs Practice

April 13, 2018 No Comments

Networking strategies can really help grow a business. But of course, you must put in the time and effort for any networking opportunities to achieve a tangible ROI. Statistics vary, however, many reveal it takes up to seven contact points before landing a sale. Regardless of these figures, the time-honored practice of networking pays off. (If it didn’t people wouldn’t bother wasting their time.) So, it’s really about taking the right approach. Why Successful Entrepreneurs Network Networking isn’t new in any sense. It’s an activity that helps to promote a business. But, that long track record doesn’t mean that it always works. There are several networking mistakes people make all the time and don’t realize it. That is, until they don’t see any fruits from their labor. Sales is about influence. There are methods of persuasion that work very well in business. But, there are also several fundamentals that need to be in place if you want to succeed. If those fundamentals aren’t in place, you can pretty much kiss your chances for success goodbye. —Entrepreneur.com Successful entrepreneurs network because it gives them an opportunity to grow their network and not necessarily to sell their products and services. Did you catch that? Networking is more about growing a circle of regular contacts rather than selling products and services. Think about it this way, would you go to a networking event that’s run in a hard-sell environment? Most Effective Networking Strategies You can Use So, now that you know networking is about extending your contacts and getting familiar with others and not selling, how do you do it right? In other words, what are the most effective networking strategies? Well, here are some helpful bits of advice about how to network: Be confident in your value. It all begins with your confidence. If you aren’t self-confident about your own personality (and comfortable with your faults), you’ll give off the wrong vibe. Go into any networking situation with confidence in your value. Don’t expect anything in return. Successful people aren’t afraid to give and not receive anything in return. Now, that sounds scary but it’s actually a sound business practice so long as it doesn’t cost very much. In other words, you can give expert advice, speak to a class, or do something else others find valuable. Find common ground right away. When you meet someone, be sure to find common ground as soon as possible. This way, you’re more comfortable. And, be sure to give genuine compliments often. Don’t sell your product or service. We’re back to the same philosophy about growing your network. When appropriate, speak about your work. For example, how you’ve solved a customer’s problem. But, do not go into a sales pitch. Let other see your value in more ways than one. What other suggestion do you have for networking? How and where do you find networking opportunities? Please share your thoughts and experiences by commenting! Interested in learning more about business? Then just visit Waters Business Consulting Group.

Now, It’s Time to Talk about Remote Layoffs and How to Cut Ties the Right Way

March 18, 2022 No Comments

When it comes time to let someone go, the situation can be difficult — especially if that person is remote. You may feel like you need to handle the situation in person, but that’s not always possible. So, let’s discuss how to lay off or terminate a remote worker with professionalism. Read on to learn what you should do and what you should avoid doing so that the process goes as smoothly as possible for everyone involved. Remote Hiring and Work Means Remote Lay Offs and Terminations When it comes to layoffs, there’s a lot of talk about sending people home. But when remote work is factored in, that can mean terminating employees who are located in other states or countries. And suddenly, the logistics of layoffs become a lot more complicated. For employees, losing a job can be a traumatic event. And for a leader, cutting someone from your team comes with its own kind of pain. Still, for any number of reasons, layoffs may be a hard but necessary move. Over the past two years, more and more companies have had to navigate this decision in a newly remote landscape, which can make an already challenging process even more difficult. Handle it poorly and you’re liable not only to upset laid-off employees, but also generate fear and anxiety amongst your remaining workforce. —Inc.com It’s no secret that the way we work is changing. With advances in technology, more and more people are working remotely. And while this can be a great option for employees, it can also present challenges for employers. One of those challenges is layoffs and terminations. When you have employees scattered all over the country (or even the world), it can be difficult to let them go. But with the right planning and execution, it can be done effectively and humanely. How to Dismiss a Remote Employee and Do it Professionally When you’re terminating a remote worker, it’s important to be clear and concise in your communication. You’ll want to avoid giving false hope or being vague about the situation. Be sure to thank the employee for their work up until this point, and let them know that the decision is final. It’s also crucial that you provide a clear timeline for the termination process so that the employee knows what to expect. This will require actual interaction. Do not send the bad news via email (or worse, text). Give him or her the courtesy of being professional by doing the following: Be prepared. This is something you’d definitely do in person. Although you’re not in the same physical location, it’s a good idea to know what you’re going to say. You can even prepare a shortlist of talking points to refer to but don’t create a script to read word for word. Instead, be prepared to speak as you would in normal circumstances, it’s okay to even rehearse so you can stay focused and not be unnecessarily distracted, which would be very discourteous. Set a time. Just like you would if you were letting someone go who works in the office, you should set a time to meet. Be sure to clear your schedule and to have ample time for the interaction. If something comes up unexpectedly beforehand, simply reschedule. If there’s an untimely interruption during your talk, simply dismiss it and deal with it later. Go face-to-face. Sure, you’re not sitting across the desk from someone in a room, but for all intents and purposes, that’s still what happens. Again, don’t deliver the bad news through email, even if you are an elegant writer. Give him or her the professional courtesy that he or she deserves and unless it’s a totally irretrievable situation, do not burn your working bridges. Answer questions candidly. Last but certainly not least, be professional enough to answer any questions and do so honestly unless you really don’t have an answer. In the case of the latter, simply tell him or her the truth but don’t dwell on it and don’t make it into an excuse. What other suggestions do you have for letting a remote employee go? Please take a few minutes to share your thoughts and experiences so others can benefit. Interested in learning more about business? Then just visit Waters Business Consulting Group.