Lesson 1: What is Online Business

There are many who do not understand what online business is. Some think that it is only for big companies. And for some it is only for technical people. There are some more who believe that it requires huge investments.

It is time their confusion is cleared. I decided to present a series of articles on the topic of Internet business or work from home business in a simple way they can understand . Not only that, they can actually plunge into online business and profit from it with the information I am providing here. So watch out for articles every other day.

What is online business?

Any business that is conducted through the medium of Internet can be called on-line business or Internet business.

A business may be also carried out off-line (outside of Internet - the traditional way) in addition to the main online route. This way the Internet business is supported or complemented by the brick and mortar model.

It has now become a necessity for all small and medium scale business or even for some professionals to have an online presence to support their offline business activities for more business and profits, publicity, advertisement, expansion or simply for the sake of prestige.

What exactly is done online? Online does not necessarily mean business done through web sites alone You can do business online through your emails, blogs, and an advertisement on a website or through an e-book. Reaching people globally online has become much easier because everyday millions of people use the Internet to find information, to buy things, to research, to find relationships or business partners and things like that.

Every year online transactions as well as the number of people entering the Internet are increasing by leaps and bounds. In fact small companies and individuals have a better chance of doing successful business online because of its anonymous nature, global reach, low investment and ease of use.

Some people ask me whether online business areas are overcrowded. Okay, in some popular areas it is. But just look at the shops in your neighborhood. You will see thousands of shops selling same things side by side. Yet everyone is getting business.

There are many who have their part-time business carried out through their emails alone.

They find or buy approved (safe) mailing lists and send information on the products they are dealing with regularly to potential buyers. At one time or other the prospect buys from the person depending upon the relationship he has built and the service he renders. This is known as e-mail marketing.

Two kinds of business can be done online: physical products and digital products. When you sell a physical product you have to collect the money first and then pack the material and safely deliver them to the clients.

This kind of online business involves extra responsibilities, labor and after-sales care. Also there is the risk of product getting lost or damaged during transportation. However, this business has potential for long-term sustainability. Everything depends on how well you service your customers.

In the case of digital products, there is no such headache of storing or warehousing the products, packaging them and sending them. In the case of digital products, once a product like an informative e-book, or music or speech can be easily stored in the computer and copies can be taken as many times as needed to meet the demand. Above all, there is instant delivery of the product ordered. As running this kind of business is much easier, most people go after information products.

However, selling physical products can be more profitable if done rightly. Information products are easy to sell as minimum customer care requirements are required.

There are quite a few books in Amazon. You may like to check out it on the
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Mindset Matters...for Internet Marketers

What is mindset and how does it matter?

Since we all have a unique mind (often not even known to ourselves) what we tend to think or habitually think soon forms a solid mental pattern from which we cannot escape.

According to Dictionary.com, mindset is:
" 1. A fixed mental attitude or disposition that predetermines a person's responses to and interpretations of situations.
2. An inclination or a habit."

What we think, say or do or even what we experience is very much determined by our mental attitudes. Attitudes, in turn, are formed by our usual type of thoughts.

In short, we create our own circumstances - including our success in Internet marketing. That there is a strong co-relation between our attitude and success is well established. Some of us know it. Yet we find it very difficult to change our attitudes for the better.

So how do we change our attitude to succeed in IM?

Well, wait for more juice on the topic in the coming days...

Yesterday, I spoke about practical aspects of Internet marketing. Rather practical obstacles of Internet marketing.

Why does theory fail when it comes to practice? Theory talks about the positive aspects. Practice deals with the negative nature of the human mind.

Mind always resists change. It doesn't want to leave its comfort zone. It wants the survival of its own beliefs settings. Change it, it will hang or crash.

So when you want change in your mental settings (what you already know), it is not possible with one click. You have to practice the new belief regularly until the mind accepts it as part of its own.

Everything comes with practice. You might have heard the saying 'Practice makes perfect'. With repetition, mind accepts and learns to live with it. Then things go easy for you. So never need to give up under any circumstances. All that is needed is patience and persistence. That is part of the game. Any game.

You can only take one step at a time. Take that step well. The next step will be secure and easy. Learn to do one thing at a time and stick with it. Complete a task already taken.

Multitasking is a necessary evil these days. But take only a few items you can definitely handle and handle them intelligently and innovatively. Focus on one item, complete it before moving to another.

If it is a huge task, break it up into small manageable chunks.

Prioritize things and do not look back at things undone.

There are many ways you can increase your creativity and productivity. Everything boils down to effective time management. Speed reading courses help in saving time.

Practical Aspects Of Internet Business

What does the online business entail besides selling? What kind of work the Internet business man has to perform in order to remain in business?

As I told you earlier, these marketers will say everything is as easy as shutting your car door. In practicality, things are different. They are far from the truth. You must be prepared.

The No. 1 resource required for the Internet entrepreneur is time. He has to make time. The more quality time you spend on your business the better results you will have.

Someone can accomplish a task in 30 minutues what another does in three hours. Needless to say it depends upon one's experience, skill levels, money power, enthusiasm and dedication.

Naturally, a beginner will need more time to accomplish even so-called easy things. Remember, Internet involves technology. It is a marriage between technology and arts.

What are the tasks a beginner is expected to do?

Reading - do you have sufficient time to read books to gather knowledge on marketing as well as some basics of technology?

Writing - do you have the writing skills? Or willing to learn basic writing skills? Or do you have the money and know-how to get writing done by others?

Knowledge - have you done some research to find the cheapest and best sources to implement the technological side like web hosting, installing scripts and programs on the server, setting up accounts, etc.? Even if you are out-sourcing, it is better to know the basics to avoid people taking you for a ride.

emails - do you have the time and ability to read and reply too many emails? Can you filter out the wheat from the chaff?

They are easy. But they don't come easy.

Instant writing software, instant automation software and all such things take several instants - sometimes hours to days - to implement.

So besides money, you should think about how much disposable time you have. If you have less than two hours to spend per day then be prepared to for a long haul before you see first sign of success.

I am not saying instant success is impossible. A minority has achieved that. In theory, you can start earning within 15 minutes of starting your online business. A few have experienced that. But those things don't repeat often.

What I am essentially saying is beware of the sales letters cleverly crafted to draw people into this business so that the marketer makes a quick buck.

Buy things on the Internet. But be prepared for a long haul.

Don't believe in instant results. Or you will be disappointed.

So you are thinking of plunging into Internet marketing? You are convinced that it is easy and is sure it is going to rain money. You have learned something from the books and you know the first steps.

Now is the time to - Look before you leap.

Don't believe the Internet gurus. Their success story may be true but the lessons will not necessarily apply to all. People are different. Different in education, mindset, skillset, budget, and so on.

Ask them how many years it took to reach the present stage.

When they tell you there is no need to work hard, they are actually saying 'buy my expensive book and you don't have to work hard. Cash will flow into your coffers'.

It is their style and they have to maintain their status after all. But you think for yourself. If there is any obvious good thing take it and leave the chaff.

When you are new to Internet marketing you really have to learn a lot on the practical side. They will say it is easy to set up a website within seconds, easy to write article in 10 minitues and so on. Just take it with a pinch of salt. If they told the truth you will become useless to them. At least that's what they think.

To tell you the truth, in the initial years, you have to sweat it out. There will be teething problems and you may even be tempted to give up. You will be suffering information overload and things will come to a standstill. That is point you turn either right or left.

Always think and take your own decisions. In my next blog, I shall expand it further.