Tags
income generation, increase income, locking mechanism, Strategic management, strategy, switching cost, switching costs
A few days ago, my daughter shared with me about a pet store’s business model that is different from other shops. That conversation we had triggered my mind to share some thoughts with you on this important topic of where to strategize your income streams from – is it from the front end or back end of the business. I shall explain.
Generating income from the front end
One common way of earning an income for the business is to sell a product or a service “neat”. There is little or no interest in earning a continuous income streams from the same customer again unless it is selling a different product or service e.g. working on a different project or meeting another felt need.