Reasons for the Celebrity Business Bust

It appears that Raffi Ahmad and Kaesang Pangarep’s dazzling names don’t ensure celebrity business longevity. Four Kaesang-owned restaurants and seven Raffi Ahmad-affiliated companies were closed.

Kaesang, the youngest son of President Joko Widodo, closed Ternakopi, Goola, Madhang, and Siapmas. Raffi Ahmad’s seven businesses reportedly suffered the same fate. This is surprising given Raffi Ahmad’s recent successes, including Mango Bomb in 2017 and Gigiet Cake in 2018–2019. RA Jeans and RANS Nusantara, furniture companies, have also disappeared.

This failure shows that economic success requires more than popularity. A well-planned strategy is vital for corporate longevity, beyond finance.

FOMO-Powered on Celebrity Business Struggles

Yuswohady, a marketing specialist and Inventure Managing Partner, says FOMO drove many celebrity business. Celebrity-owned restaurants grew in 2017, with customers waiting hours to try their food. The celebrity cuisine industry is struggling, and Raffi Ahmad and Kaesang Pangarep’s have failed.

Yuswohady thinks celebrities follow commercial trends to get fame. “Most celebrities’ companies depend on restaurant and cuisine trends. They try new trends to find the next great thing. He says they go from business to business, chasing the excitement.

Not all celebrities are businesspeople. Running a business requires talent and business savvy. Yuswohady believes that an entrepreneur’s long-term devotion to company and reluctance to quit up when the business is near bankruptcy define their excellence.

Must have skills or competences. If they own a restaurant, they need know supply chain management, procurement, marketing, and personnel management to reduce turnover. Yuswohady says these talents are essential.

Sometimes they lack the skills, but they work hard and learn. Persistence is important to business success. Entrepreneurship requires long-term dedication, not just three or six months. He concludes that even with great abilities, a firm will fail if its owner doesn’t work hard and endure.

Customer Satisfaction Matters

Mirror reports that small company entrepreneurs need self-confidence, perseverance, and desire to succeed. Hard effort and motivation are the main requirements for entrepreneurship success.

This research follows career specialist Sarah Berry, who has studied successful business owners for 30 years. Berry believes company success, include celebrity business, depends on sales abilities, goals, and action. Resilience, adaptability, and flexibility complement these traits.

“You won’t succeed without action. Doing something beats doing nothing “says Sarah.

“People often claim, ‘I’m terrified of making errors.’ But that’s not crucial since you must act, even if the outcomes are disappointing. You may always adjust and succeed “Sarah says.

Celebrity business has priviledge. Celeb status is generally helpful in establishing a business, but not essential. Quality, innovation, and customer pleasure attract consumers.

“Brand-savvy celebrities are not the most important element. Product quality, innovation, and service matter most. Product, not celebrity endorsement, drives sales “Yuswohady stresses.

Mike De Hetre, Senior Vice President of Underwriting and Insurance at Preferred Mutual, said client happiness is essential for business survival. Customers praise businesses who offer great service and goods on social media.

Conversely, unhappy consumers will immediately spread the news. Thus, consumer happiness drives corporate growth.

“Small firms are more nimble and better at predicting and meeting client demands than large ones. Mike De Hetre believes the most successful small businesses use this to launch new goods and services faster and build long-term client connections.