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Entrepreneurship Lessons From Groupon

What YOU Can Learn from the FASTEST growing company EVER.

When thinking about the lessons Groupon's success can provide 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 understand directly from the person or company you were following. In the modern day world of the internet, following within the footsteps of successful entrepreneurs is much less complicated.

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Groupon's success is based on, knowingly or unknowingly, following principles organized by Napoleon Hill. He explained: "It is literally true that you are able to succeed best and quickest by helping others succeed." This is the essence of Groupon's success. By helping smaller businesses to offer group discounts, Groupon provides targeted advertising these business owners could not readily afford. By sharing the proceeds with the offer, the consumer is actually paying both the someone's place of business, and Groupon. The best part of this business model is that it also 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 effort is lost, and less cash is spent. Groupon has taken a stride toward defeating this model. By giving group discounts, they may be encouraging consumer spending, which increases local company revenues, and helps us keep our local jobs.

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

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Groupon offers a daily deal for their subscribers. There is a timer around the right, letting you know the time is left to purchase the daily deal. The absolute minimum number of deals must be sold before "the deal is on", and also this number is also displayed. Groupon collects from 30% to 50% from the deal price as well as the local business collects the remainder. The deal that you buy comes with an expiration date attached, so make sure you use your discount!

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

The final part of this equation is rarely disappointing your customer. The big mistake many entrepreneurs make is forgetting what built them into succeed in the first place. You are only as good as you customer happiness ratio. Remember you might be only successful through your customers or clients, don't let them down!