The Phenomenon of Business Creation

Starting a new business involves a lot of planning and key financial decisions, as well as completing a series of legal activities. The first step is developing a good idea that can become a viable product. Next, you should conduct market research to see if there is demand for your product or service, and then create a business plan. This will help you determine if your company has the potential to survive in the marketplace and attract investors, and will help you decide how much money you need to get started.

It is also important to have a strong brand, and this can be done through marketing and social media. Finally, you should set up a website to introduce your company to the world and start building trust with potential customers.

A great way to promote your business is through social networking platforms, like Facebook and Twitter. This will allow you to connect with a large audience quickly and easily. You can also find out what your competition is doing and learn from their mistakes.

The creation of companies contributes to the development and adaptation of economies, but it is not without costs (Schumpeter Reference Schumpeter1934; Audretsch Reference Audretsch1995; Baron Reference Baron2004). Several theories have tried to analyze the phenomenon of business creation, but none has been able to offer a systematic description of the experience. The present article will attempt to do so by analyzing the cognitive characteristics of those who decide to start a business.