Introduction
The demand for educational services, especially in developing countries such as Nigeria, remains moderately high in market forecasts. Educational services, like any product, are sold in the market, which is understood as a set of existing and potential buyers and sellers of goods. The market for educational services, in this case, is a market in which demand and supply for educational services interact closely. Thus, education is a service industry, so the creation of a brand and its maintenance depends on many factors: the teaching staff, the material base, learning environment, the number of employed or otherwise successful graduates. Innovations in education are being introduced in order to meet the needs of applicants and students in learning and acquiring much-needed knowledge.
However, the field of educational start-ups in Nigeria has not yet fully developed, so pioneering in it would bring relatively low profits at the start. Teixeira et al. (2017, p. 94) add that “it is vitally important that start-up firms are aware of the options when deciding whether to adopt a particular technology because they often have low resource availability.” The location would be one of the crucial factors in the future profitability of the start-up, as the place needs to be easily accessible for people from different regions.
It is important to remember is that market research does not start with the product, but with the needs of consumers. Ritz et al. (2019) supply that customized consumer behavior models require speicalized skills from marketers. It must be determined in the marketing strategy in order to properly address customers and build communications competently. Lopez Garcia et al (2019) state that digital marketing is crucial for continuous development and building audience loyalty. In addition, knowledge of target audience helps choose the right channels for promotion and make rational use of the budget.
Educational Start-Ups in Nigeria
The start-up would require an extensive advertising campaign based on the target audience which is young people who look for educational opportunities. In this regard, advertising the courses in schools and local unemployment and youth centers would provide the best results as it specifically covers the major part of target audience. There, interest will be fueled not only advertising, but by the customer behavior as well – the demand would tend to increase if the students are to recommend the courses to other people. Kanten and Darma (2017) conclude that business performance depends not only on marketing strategy, but rather on consumer behavior analysis and satisfaction. Overall, physical location and placement of advertising would have more importance at least at the start of the enterprise.
The most popular digital channels for attracting customers to an online business are the search engine optimization (SEO), social media marketing (SMM), e-mail marketing, and content marketing. Soegoto and Utomo (2019) also state that social media in particular are very influential in the increasing economic progress. In order to develop the best promotion strategy for the start-up, the company would need to test different channels and find out which works best at certain points of marketing plan. Jin et al. (2017, p. 2) supply that “an active social media presence increases the likelihood a startup will close the round, the amount raised, and the breadth of the investor pool.” The main placements for the business could be Instagram, Facebook, TikTok, Google search engine, advertising on YouTube channels, and context advertising in mobile apps and on websites. Morgan et al. (2018) emphasize that only the systematic analyses of the use of different research approaches and methods can provide new ideas and strategies for business. Overall, social media and SEO can provide rather good results if applied correctly.
Four Capabilities and/or Infrastructures for Business Growth
Naturally, the formation of a school in unfamiliar location and conditions requires new principles and methods of its management, especially today. Pidgeon (2017, p. 339) states that “the leaders must set goals for the organization and make decisions that ensure those objectives are met.” Kraśnicka et al. (2017) state that, for example, support for innovations from the managing lead provides stimuli for new solutions and helps effectively implement creative ideas. Ji and Yoon (2021) also suggest that organisational competitiveness comes from the utilization of strategic human resources nowadays, which is especially relevant for start-ups and educational sector. Thus, the first capability that the start-up would require is a well-educated management lead that will oversee all processes and make decisions based on external and internal changes.
Secondly, modern companies exist in a highly competitive environment which constantly forces them to adopt new approaches. An educational start-up needs to carefully examine external factors operating at the macro level (economic, political-legal, socio-cultural, technological), as well as competitors and consumers. The environment and market analysis are the base of any marketing strategy, as they provide data that help the company understand the competition and set the prices. According to Wandhwani et al. (2020), historical assumptions are one of the key aspects of the entrepreneurship research. The only way to ensure that the company’s marketing team is performing effectively is through data analysis – that is, by implementing data-driven marketing. The principle is simple: the organization needs to analyze the data in order to understand who its customers are, what is happening with the business at the moment, and what it needs to prepare for.
Another capability that the business needs is the strategic management which allows to make long-term plans and prognoses. Thus, the need for long-term strategy arises directly from the previous capability, as it uses collected data to make crucial managerial decisions. Horst and Murschetz (2019) highlight that the convergence of strategy and entrepreneurship adds to organizational success through developing visions and facilitating strategic planning. A well-thought out strategic plan can help discern possible competition, assess the market situation, and rationally use the budget for the company’s development.
Conclusion
Finally, strategic management provides ground for the collaboration of different teams working in the same enterprise. Cross-functional collaboration can be one of the key developmental factors that allow the company diversify its offers and create new approaches and technologies. According to Williams et at. (2018), the conglomeration of strategic thinking approaches is one of the firm’s true benefits. Farrell (2017) adds that multidisciplinary teams are more encouraged to share expertise, insights, and past experiences. By providing a comprehensive plan of a company’s strategy, management offers opportunities at bringing together different departments to develop new products and technologies. Mitra (2020) states that, by diversifying its approaches, the enterprise ensures full understanding of concepts of entrepreneurship, innovation and development, linking them with human resources and environment. Therefore, the most important resource capable of creating a flexible, adaptive and effective socio-economic system is the organizational culture of an enterprise.
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