In this article, we will illuminate the differences experienced previously in beginning a business prior to the internet and contrast that to the current ease and actual dollar benefits received. This article will certainly clarify the reason for the popularity of the internet home based business.
After the second World War when manufacturing was 50% of the GNP (Gross National Product) the budding entrepreneur could chose a product and use his own labor to start production in his garage. Today, with the enormous amount of cheap labor existing worldwide, these types of things are being manufactured using this low cost labor and delivered to our shores.
We are still manufacturing 21% of the worlds manufactured commodities, but now entails either large expenditures of capital equipment, technical expertise, patent protection, or governmental help such as import duties.
With our economy being in a effective freefall for the last couple of years, and with the explosive growth of the internet, many hopeful entrepreneurs are opening virtual businesses to market someone elses physical and /or informational products. This has turned out to be the most common method of generating revenue on the internet and is known as affiliate marketing.
With affiliate marketing, new business start up cost are significantly reduced. Eighty percent of the United States households have computer equipment and printer with access to the internet. This is the main prerequisite for becoming involved in internet affiliate marketing.
Most of these new businesses are operating from the family home. Instead of having an expense for their office, they have a business deduction to defray living expenses. If they are maintaining their normal employment, and take the benefit of their business deductions, they can amplify their monthly cash in the pocket by $100-$400 per month by simply changing their W-4.
As we all know, all is not gold that glitters. While there are people on the internet making a excellent living teaching people how to tie fishing lures, the vast majority of marketers are not successful. Just as when you are hunting and want to hit your target, you get “ready”, you carefully “aim” and then you “fire”. Unfortunately, many of these hopeful entrepreneurs make “ready”, “fire” and only then “aim”.
It is not unusual for these inexperienced entrepreneurs to use their own personal experience to determine the niche in which they wish to become involved. They select their website domain name, erect the website and wait for the traffic. These are all areas that are vital to the development of organic traffic (free traffic). Some awareness in these areas should be developed previous to taking these preliminary steps.
Previous to the development of this virtual internet economy, the old brick and mortar business used the different franchises to have the required proficiency immediately available prior to opening the business. The old saying, “Anyone can be successful in business if they can afford their mistakes.” was considered a truism.
While the mistakes on the internet are not nearly as expensive as is experienced in a physical business, such as having inventories and operating cost, a considerable amount of aggravation can be avoided in starting a virtual business by using some of the developed business templates.
These templates have the websites developed, the niche and keywords have been chosen, and marketing materials have been prepared. You have the prospect of developing earnings while you develop the skills in these essential protocols.