Emergent trends can be alluring but can obscure the bigger picture of a business’s longevity.
Take Jordan. She’s an entrepreneur who started a VR gaming franchise. Despite her initial success, market volatility and the fleeting nature of trends left her without a business.
Hopefully, Jordan learned a few lessons from her business. Fortunately, we can benefit just from hearing it.
Here are the takeaways from my mind:
Avoid FOMO
Actually, you can’t avoid FOMO (the fear of missing out). However, you can avoid basing your decisions on it. Instead, I like to choose franchises based on what franchises people need in their lives.
Distinguish Between Long Term and New Trends
Immediate profitability doesn’t guarantee longevity. Focus on franchises with a proven track record unless you’re financially prepared for shortfalls.
Value Adaptability
A franchise’s resilience to market fluctuations will determine its longevity. You want to get a franchise that performs well in good times and bad times.
In short, channel your inner Warren Buffett. (You can hold off on the Coke and peanut brittle.)
- Base your investments on prudence, not novelty.
- Be cautious. Be methodical.
- Focus on consistent growth and sustainability.
Of course, it’s not as exciting, but you’re far more likely to outperform investors who roll the dice in the long term.