Perceptiveness

Perceive means to see, so perceptive is a word to describe someone who is good at seeing. Perceptive is derived from the Latin word percipere which means "to obtain or gather." A perceptive person is good at gathering information and using her senses to take in the world. If you are upset but trying to hide it, a perceptive person is the one who will notice. The greatest entrepreneurs are in tune with their world. They have developed rich mental models of the markets in which they operate and have, therefore, enhanced their ability to perceive more ‘right place-right time’ opportunities. They recognize market dynamics and know how to adjust profitably. You must know what your customers want and need to make the right moves. Make every effort to stay in touch with your market. Where your products or services meet the needs of the world, there in lies your greatest success.

            For example, Toronto-based Cott Corporation is the world's top supplier of private label (although the company prefers to call it "retailer brand") carbonated soft drinks. Cott has 15 beverage production facilities located in Canada, the United States, and the United Kingdom, as well as a research facility in Columbus, Georgia. Major customers include Wal-Mart and Safeway in North America and the J. Sainsbury grocery chain in the United Kingdom. The Pencer family, Cott's founders, have in recent years sold their interest in the business to Thomas H. Lee Co., a Boston investment firm, which now runs the company with a 34 percent ownership position. During the mid-1980s, Canadian soft-drink manufacturer Cott Corporation had a problem. How could it hope to compete with Coca-Cola and Pepsi, the two giants in the soft-drink industry? Gerald Pencer, Cott’s entrepreneurial CEO, was very perceptive. Research indicated that soft drinks were one of the biggest selling items in supermarkets. Pencer decided to develop Cott as a private-label bottler. Cott contracted with supermarkets and other retail stores to provide a variety of soft drinks that could be packaged under the retailer’s brand, such as President’s Choice at Loblaws or Master Choice at A&P. Cott’s product challenged Coca-Cola and Pepsi by developing a whole new method of distribution— one that allowed retailers to make more profits by offering consumers a much cheaper soft drink. Today, Cott is the world’s largest retailer brand/private label soft-drink provider.

Many believe that being a risk-taker is a quality of a successful entrepreneur. This is somewhat of a mistruth, as successful entrepreneurs are anything but risk-takers. Of course, there are many risks when starting a business, however, thorough planning and foresight can alleviate many of these risks. Examples such as media mogul Ted Turner and hedge fund manager John Paulson demonstrate that being an entrepreneur involves being alert to and aware of business opportunities that may arise. Both Turner and Paulson were perceptive in identifying a business gap as it emerged and decided to act on it. A perceptive entrepreneur knows how to guide a small business by keeping an eye on political and economic developments. Ultimately, knowledge is the best policy to limit risk and thereby increase the chance of success.