In business, your competitor is not an outright enemy; you could partner with him to achieve more. You could share space, equipment and infrastructure. The idea is called co-location. Are you not aware that telecommunication operators share telecom masts? Or that Blackberry Messenger runs on Android devices? I believe you also know that it is possible to access your Yahoo account using your Facebook or Google identity.
One of the pitfalls of co-location is sabotage- especially for similar businesses. However, this can be put under check if proper terms and conditions are spelt out before hand. Again, an independent regulator may be hired to help protect the interest of both parties.
Unrelated businesses also co-locate. Some examples include KFC and Oando Petrol Station, and Mr Bigg’s and Mobil. So, customers who visit such spots might end up killing two birds with one stone (i.e. refuelling their cars as well as their stomachs).
When should you consider co-location? Firstly, you can consider it if potential customers already exist in a particular environment. Mind you, this environment can either be physical or online. Secondly, you can consider it if it would be too expensive to rent or build a desired infrastructure alone. That means you could pay less to share someone else’s office building, electricity supply, internet access, etc.
In the long run, synergy will take you farther than solitude. Therefore, don’t be a loner. Look out for business relationships that will increase your customer base.
About the author;Charles Okoh is a writer and compere. He’s the author of a fast selling book titled Ideas are Money, and tweets via @greatcharles
