Business and its Processes (Value Creation, Marketing, Sales, Value Delivery & Finance) Explained

A successful business, roughly defined, provides something of value that other people want or need at a price they’re willing to pay, in a way that satisfies the customer’s needs and expectations so that the business brings in sufficient profit to make it worthwhile for the owners to continue operation.

Business contains these five interdependent processes:

1. Value Creation: Value creation is the process of discovering what people need or want, then creating it. You have to find what people need or want and then you have to also create it. It can be a product, service or anything else of value. Remember, if your product, service, etc does not provide value the customer is not going to buy it.
2. Marketing: It is the process of attracting attention and building demand for what you’ve created. It is process of making your company, product, service, etc known to the potential buyers. Note- It is not the actual enclosing of deal, it is just about getting known and talked about between customers.
3. Sales:  It is the process of turning prospective customers into paying customers. It is the actual enclosing of the deal. It is the process in which the company/person get payed.
4. Value Delivery: It is the process of giving your customers what you’ve promised and ensuring that they’re satisfied. It is the process in which you gain and try to keep the trust of the customer in your company or in you , so that he will come again or recommend you to other potential customers.
5. Finance: It is process of bringing in enough money to keep going and make your effort worthwhile. Your company has to earn profit to keep running. This is the step in which you get to know about where the money is going or coming from into the business.

These are the only five processes that are important to keep a business running and in profit.