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Entrepreneurship Lessons From Groupon

What you might Learn from the FASTEST growing company EVER.

When thinking about the lessons Groupon's success can offer entrepreneurs, I thought of something my grandfather informed me:"If you want to be successful at anything, follow someone who is successful!". During my grandfather's day you had to understand directly from the person or company you were following. In the modern day arena of the internet, following within the footsteps of successful entrepreneurs much less expensive complicated.

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Groupon's success is dependant on, knowingly or unknowingly, following principles organized by Napoleon Hill. He was quoted saying: "It is literally true that you are able to succeed best and quickest by helping others succeed." Here is the essence of Groupon's success. By helping smaller businesses to offer group discounts, Groupon is providing targeted advertising these companies could not readily afford. By sharing the proceeds from the offer, the consumer is really paying both the someone's place of business, and Groupon. The best part with this business model is that it likewise helps the consumer and the economy.

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Our economy has seen a vicious downward spiral. Widespread job losses keep people from spending money, local businesses fail, more tasks are lost, and less cash is spent. Groupon has taken one step toward defeating this model. By offering group discounts, they may be encouraging consumer spending, which increases local business revenues, and helps us keep our local jobs.

Groupon is a combination of two words, Group and Coupon. Business owners have long known the power of coupons and group discounts. Individuals who receive discounts often waste more money. If they spend more than they originally planned, they don't mind.

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Groupon offers a daily deal with their subscribers. There is a timer about the right, letting you know the length of time is left to purchase the daily deal. A minimum number of deals should be sold before "the deal is on", which number is also displayed. Groupon collects from 30% to 50% from the deal price as well as the local business collects the remaining. The deal that you buy has an expiration date attached, so make sure you use your discount!

What Groupon's success means to entrepreneurs: If you find a means to help people, you can also become successful. Look at other entrepreneurs who've become wildly successful, and you will see that they started off by creating value. Google gave us a simpler way to find what we're trying to find. Cable gave us in home entertainment. Groupon gives us the opportunity to try high end services for approximately half the price.

The ultimate part of this equation isn't disappointing your customer. The important mistake many entrepreneurs make is forgetting what built them into succeed in the first place. You might be only as good as you client satisfaction ratio. Remember you might be only successful because of your customers or clients, don't let them down!