3. • The rule of 85/15 tells that “ 85% of running a
successful business is “Common Sense” & the
rest 15% should be in your “Business Plan”.
• The assumption is that most of the results in
any situation are determined by a small
number of causes.
4. Common Sense
It is basic ability to perceive,
understand, and judge things.
Common sense is of paramount
importance in business.
5. • As we know, Common Sense is not so
common, it can lead a business to
“Competitive Advantage” (CA) & thereby a
“Superior Profitability”
Profitability
7. Business Plan
• A Business plan is the list of steps with timing
and resources, used to achieve an objective.
• Business plans may be internally or externally
focused.
• Business plans are guided by Objectives &
“Common Sense”.
8. Research to conclude 85/15 Model
• Met 20 successful business man.
• Sample size: 20
The success of the Business depends on:
1. Common Sense (17 respondents)
2. Business Plan (03 respondents)
3. Luck (00 respondents)