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Entrepreneurship Lessons From Groupon

What you might Learn from the FASTEST growing company EVER.

When with the lessons Groupon's success can offer entrepreneurs, I thought of something my grandfather explained:"If you want to be successful at anything, follow someone who is successful!". Within my grandfather's day you had to find out directly from the person or company you were following. In the modern day world of the internet, following in the footsteps of successful entrepreneurs far less complicated.

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Groupon's success is based on, knowingly or unknowingly, following principles laid out by Napoleon Hill. He said: "It is literally true that you can succeed best and quickest by helping others succeed." Here is the essence of Groupon's success. By helping small businesses to offer group discounts, Groupon offers targeted advertising these business owners could not readily afford. By sharing the proceeds from the offer, the consumer is really paying both the local company, and Groupon. The best part of this business model is that it can also help the consumer and the economy.

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Our economy has witnessed a vicious downward spiral. Widespread job losses keep people from spending money, local businesses fail, more jobs are lost, and less funds are spent. Groupon has taken a 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 really a combination of two words, Group and Coupon. Business owners have long known the strength of coupons and group discounts. Those who receive discounts often waste more money. If they spend more than they originally planned, they do not 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. The very least number of deals should be sold before "the deal is on", and also this number is also displayed. Groupon collects from 30% to 50% of the deal price and the local business collects the remaining. The deal that you buy comes with an expiration date attached, so be sure to use your discount!

What Groupon's success methods to entrepreneurs: If you find a method to help people, you too can become successful. Look at other entrepreneurs who have become wildly successful, and you'll see that they began by creating value. Google gave us an easier way to find what we're looking for. Cable gave us home based entertainment. Groupon gives us the ability to try high end services for around half the price.

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