How to Develop a Business Strategy: 8 Steps [Video]

Starting a new business or defining your business strategy? Let me show you some fundamental things to consider to uncover how you will differentiate yourself from competitors and approach growth. In this video, I’ll share an example of a workflow I like to use, but you can adapt it to suit your needs. Let’s get started!

Step 1: The Executive Summary.
Begin by outlining your mission, your 60-second elevator pitch, and other key details. While answering these questions, you might realize that some answers are challenging or that your vision differs slightly from your team’s. This is normal, and bringing everyone together to go through this process will help clarify these points. Answer what you can initially, and once you complete the full workflow, you can revisit and refine it.

Step 2: Market Research.
The next step is market research. Here, your primary goal is to understand what’s happening in the market: potential partners, key distributors, and competitor activities. Look at your competitors’ partnerships and distribution strategies to understand their strategic advantages. Record your findings and observations in the conclusion section.

Step 3: Define Your Value Proposition.
Define what sets you apart from competitors—why should someone choose you over them? Then, if desired, continue with further research like a SWOT analysis to assess strengths and weaknesses, and a competitive analysis, where you examine competitor team sizes and investments. These are optional but can provide a deeper understanding of your market and open your eyes to new opportunities.

Step 4: Understand Your Target Market.
Identify your buyer persona and your “anti-buyer”—someone from the target market who likely won’t purchase from you. Many businesses target the right audience but overlook who in that audience is unlikely to buy, resulting in wasted resources. Define three main customer segments and the characteristics that make them your target market. Below, include details on the anti-buyer: potential customers who seem ideal but have reasons not to choose your product. If you’re unsure, keep this in mind when interviewing potential customers.

Step 5: Customer Qualifying Questionnaire (Optional)
This step helps define your customer qualification process. Ask your team to share feedback from current customers: their requests, pain points, and so on. By the end, use this knowledge to list improvements or additions that could attract more customers or satisfy existing ones.

Step 6: Set Your Goals and Strategies.
Now, take all information from previous sessions to draft your strategy and goals for the next year. This section should guide your team’s direction. Follow the steps and tips provided here.

Step 7: Define Your Growth Strategy. Watch this video. https://youtu.be/NkTfDbG7kO8

Step 8: Create an Action Plan.
Define your key objectives and outline tasks required to achieve each one. I typically use this section to create 60- or 90-day action plans.

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