Tips by Chinese, KPI for business. So easy to remember

Every generation needs a revolution - an entrepreneurial revolution

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0 “BLOOD-AND-BONE” CALCULATIONS OF THE CHINESE BUSINESS MINDSET

Chinese business owners don’t rely on theory or gut feelings.

They rely on simple, brutally practical calculations to make sure they survive first — and profit later.

These are 10 numbers they calculate again and again every day

— and every serious business owner must memorize them.

 SURVIVAL CALCULATIONS

 Break-even Point

 “How many bowls, cups, or orders must I sell each day to start making money?”

This number decides whether a business lives or dies.

 Cash Flow

 “Is the cash on hand enough to pay rent, salaries, and suppliers next month?”

Chinese business owners are obsessed with cash flow.

Paper profits mean nothing without real cash in the drawer.

 PROFIT OPTIMIZATION CALCULATIONS

 Gross Profit Margin

 After raw materials, how much percentage is left?

Too low = prices too cheap or costs too high.

 Food Cost Percentage

 For F&B, the “golden range” is 25–35%.

Above that, profits are being eaten away.

 Labor Cost Percentage

 Should stay under 20–25% of revenue.

Go beyond that, and the system becomes bloated — profits disappear.

 MANAGEMENT CALCULATIONS

 Revenue per Square Meter

 Is your space generating money or just taking up rent?

 Table Turnover Rate

 How many customers does one table serve per day?

Higher turnover = higher efficiency.

 CUSTOMER-BASED CALCULATIONS

 Average Order Value (AOV)

 How much does each customer spend on average?

Increase AOV = higher profit without more customers.

 Customer Acquisition Cost (CAC)

 How much marketing money is needed to get one new customer?

 Customer Retention Rate

 What percentage of customers come back?

Chinese businesses treat repeat customers as living assets.

 CORE LESSON

Business is not emotional.

Behind the Chinese “owner mindset”

is an obsession with survival numbers.

No fancy degrees required —

just absolute mastery of these core calculations.

 Whoever controls the numbers, controls the fate of the business.

 THE PRACTICAL SOLUTION FOR BUSINESS OWNERS

All of these critical metrics are clearly explained in the book:

“10 Indexes That Determine the Fate of a Business”

 Simple, not academic

 No accounting background needed

 Designed for shop owners, cafés, small and growing businesses

 Learn more at: https://www.smartlifebooks.online/index?utm_source=a1

This book helps you:

Understand gross profit and net profit correctly

Know your real break-even point

Detect where money is leaking

Make decisions based on data, not intuition

 Many readers have escaped losses simply by understanding the right numbe

Jamie Dimon, head of JP Morgan, US largest bank was also fired just like Jobs and Musk from his job while at CITI

Every generation needs a revolution - an entrepreneurial revolution

It seems that great CEO billionaires at one time or another was fired as   CEO in former job to mention Steve Jobs and Ellon Musk  (I too was fired by my siblings in company I founded)  Jamie Dimon was also fired by former boss Sandy Weill for not giving plum assignment to latter's daughter (nepotism)

The bitter lesson from the firing gives one 2x determination and clearer thinking to rise and go forward even harder.   It makes you stronger and grimmer and determined.  

Be a failure champion  

New generation of entrepreneurs will not build but buy existing businesses/apps?

Every generation needs a revolution - an entrepreneurial revolution

Investment bankers na lang, warehousers of businesses?

     

Apply now - wanted, now hiring

Every generation needs a revolution - an entrepreneurial revolution

JOB OPENINGS - now hiring 

at Holy Gardens Philippines

     1.  San Carlos

     2.  Greenhills (Calamba)

     3  Oton (Iloilo)

Join our team, one of the top 5 in the industry....apply now!!!

Every generation needs a revolution - an entrepreneurial revolution

We are HIRING.  

We are growing nation wide company focused on providing top notch customer service to our customers.    We have upgraded our entry level positions by as much as P4,000+ per month.  Our officers position salaries are as competitive with other industries.

We belong to the top 5 in the industries

Come and join our team.  Plenty of  opportunities for financial and career advance.

Entry level:

    1.  Customer service specialists   needed/required at Calamba, Oton, Calapan and San Carlos City (8)

    2.  Accounting staff at San Carlos City, San Fernando City, Calamba, Calapan and Oton  (5)

    3.  Drivers (transportation specialist)      at Calamba, Morong, San Fernando, San Carlos, City

    4.  Gardeners maintenance staff    San Fernando (2)   San Carlos City (2) Calamba (2) 

    5.  Lending staff -  3 staffers.    

Officers

    Malasiqui  -  1, Calapan    -1,  Calamba - 1

    Lending operations  -  1

    Main office   - 3  (Asst Gm, HR, Gen Accounting)

    Funeral service  - 3 funeral directors

Minimum qualifications

    Educ attainment -   For GT and TS high school, for officie staff, college graduate with major

                                     related to job, eg.   Accounting - Accounting Major, CSS - marketing

    Experience -   preferred but nor required;  for officer, a minimum of 3 years in supervisory position

    Passionate, high level of integrity, excellent oral and written communications, computer literate

           Gmail, AI,  blog, FB, xls, word, 

Hurry apply now.   Prepare for:    stoppage of BPO because of US law to bring home call center, the forthcoming Japan and US reset (economic woes)   We are glad PHL will be exempt for these forthcoming economic reset.   

Send cv to letter of intent to:      jorge@holygardens.ph

Contact number                          +63908 928 7888

Controlling the key value adding activity in the business otherwise you will be squeezed by your suppliers/providers- Netflix acquires WB,

Every generation needs a revolution - an entrepreneurial revolution

Netflix acquires Warner Bros in $82.7 billion deal

When we I was a panelist in entrepreneur class for AdeMu undergrad, I asked a precentor as who will be the cook/chef in the unique resto they were to establish.  She said it was going to be their yaya.    And this post objected how come you will enter into a business you do not have control of -  your yaya does.

So if you do not know or control your business (maybe other stockholders or partners or key personnel will better not or exit the business.

It happened to Netflix early in the business when they were squeezed by the content providers.  Rents or rights to film being streamed regularly were increased by providers at exorbitant rates.  And they were bleeding.  Thats when CEO decided to buy in a movie production and streamed this for most of the episodes.  And they became blockbuster.    Ever since  Netflix went into its own production to control its cost.   

And now they did the ultimate buying into one of the biggest content providers.  Together they will go together in a business  they call story telling.

For us, we must control:

1.  JV projects

2.  IP on how to make memorial parks

3.  Marketing

For your business, what are the key activities and resources which you must have full control of?  Otherwise you will be caught in a squeeze play

Money is not wealth, production of something of value is - how Spain lost its empire despite gold and silver horde

Every generation needs a revolution - an entrepreneurial revolution

This example is about Spain which discovered hordes of silver, and silver flowing into their country contributing to 400% inflation.  Money flowed from Spain to say France where goods were cheaper.  Spaniards became populated by Hidalgos, who had plenty of money but did not work.  They had plenty of silver coming from Peru and Mexico  This wrong belief led to the demise of Spanish empire.

Many think and even in our family that money in the bank is wealth.  It is just a medium of exchange to produce more goods and services.   Not an end in itself

Jack Ma's experience with rejection; how it made him a billionaire.

Every generation needs a revolution - an entrepreneurial revolution

Rejection brings out the best in us.   It is a lesson

*THE “REJECTED ROOM PRINCIPLE”

How Jack Ma Turned a Humiliating Moment Into a Billion-Dollar Mindset**

Before Jack Ma became one of the richest entrepreneurs in the world,

he experienced something that would have crushed most people.

He applied for job after job.

Rejected.

He tried to join the police force.

Rejected.

He applied to KFC when it opened in his city.

Twenty-three people interviewed.

Twenty-four applied.

Twenty-three were accepted.

Jack Ma was the only one rejected.

But the moment that shaped him most happened inside a tiny classroom.

Jack Ma applied to Harvard ten times.

All ten times they rejected him.

By the tenth letter, the admissions office didn’t even send a long explanation.

They simply wrote:

“You are not suitable.”

Most people would have quit.

Jack Ma did the opposite.

He printed every rejection letter, pinned them on his wall, and said:

“These are reminders to build a world where people like me do not get left behind.”

That mindset became the foundation of Alibaba.

Years later, when investors laughed at his idea for an online Chinese marketplace, he remembered the classroom that pushed him out…

and decided to build a digital room big enough for everyone.

Alibaba became one of the largest companies on earth.

Taobao became the biggest e-commerce platform in Asia.

Millions of entrepreneurs got their start on his platforms because one man refused to let rejection define him.

THE BUSINESS LESSON

Most people fear rejection.

Great entrepreneurs use it as direction.

Jack Ma realized something simple:

Rejection is information.

Rejection is positioning.

Rejection is redirection.

The world saying “no” does not mean you are wrong.

It means you are building something the world does not understand yet.

This is why Jack Ma teaches his teams:

• Your value is not defined by acceptance

• Your vision is not validated by approval

• Your future cannot be decided by someone who does not see it

Alibaba did not grow because everyone believed in Jack Ma.

It grew because he believed despite everyone else.

THE NERDY TAKEAWAY

The “Rejected Room Principle” teaches this:

Rejection is not a closed door.

It is a sign pointing you toward the room you were born to build.

Jack Ma did not get invited into Harvard’s room.

So he built a digital marketplace where millions could thrive.

Sometimes the rooms that reject you are the ones you were never meant to sit in.

You were meant to build your own.

The reinterpretation of parable of talents

Every generation needs a revolution - an entrepreneurial revolution

One of our tasks on earth is to invest, to make the world grow   One of the greatest sin is being indolent.   We should work harder.

x-x-x-x-x-x-x-

HE “FIVE TALENTS PRINCIPLE”:

How a 2,000-Year-Old Lesson Reveals the #1 Rule of Growth in Business

In Matthew 25, Jesus told a story that might be the most important business lesson ever recorded.

A master was leaving on a long journey.

Before he left, he entrusted three of his servants with resources.

One received five talents of silver.

Another received two talents.

The last received one talent.

A talent was not a coin.

It was a lifetime’s worth of wages…a massive investment.

The master expected them to do something with it.

The servant with five talents went immediately to work.

He invested.

He traded.

He multiplied.

He turned five into ten.

The servant with two did the same.

He doubled what he had.

But the servant with one talent?

He dug a hole and buried it in the ground.

No action.

No risk.

No effort.

No return.

The unseen longer bolt problem

Every generation needs a revolution - an entrepreneurial revolution

Its more of the longer bolt not the missing bolt.  The longer bolt not seen by many was causing problems in the axle assembly.  Until Henry Ford found it.

You have to have sharp eyes and perceptive mind to see problems in business

-x-x-x-x-x-x-x-x

**THE “MISSING BOLT PRINCIPLE”:

How Henry Ford Saved Millions by Fixing the One Thing No One Saw**

In the early 1900s, Henry Ford’s factories were pumping out cars faster than any business in history.

Production was smooth.

Demand was endless.

The Model T was unstoppable.

But Ford noticed something strange:

A pile of defective rear axles kept stacking up in one corner of the plant.

Not hundreds.

Thousands.

Each defective unit cost Ford money… in repairs, delays, and scrap metal.

Engineers inspected the part dozens of times.

Machines were recalibrated.

Workers were retrained.

But the failures kept happening.

Finally, Ford walked down to the line himself.

He watched the entire process …slowly, carefully, silently.

After nearly an hour, he pointed to a tiny spot most people overlooked:

A single bolt.

It wasn’t loose.

It wasn’t broken.

It wasn’t missing.

It was just… too long.

Workers had to torque it slightly harder to fit.

Not enough to notice.

Just enough to strain the axle over thousands of repetitions.

Ford ordered a simple fix:

“Shorten the bolt.”

Within days, defects dropped dramatically.

Within weeks, the problem disappeared.

Within months, Ford saved the modern equivalent of tens of millions of dollars.

All from one bolt no one else thought to question.

THE MARKETING LESSON

In business, your biggest losses rarely come from massive mistakes.

They come from tiny inefficiencies you stopped noticing.

Ford understood something revolutionary:

Small flaws become big expenses when multiplied.

That’s why great companies obsess over:

• onboarding friction

The post it principle - inventions rarely come from a plan to invent but from accidents or aberration that solve a problem and later become a billion $ industry

Every generation needs a revolution - an entrepreneurial revolution

Post it which sells in over 100 countries did not come out as a planned innovation. It came out of aberration.    Failure is just a byway for another innovation

Post it was failed formulation for a glue.  It stuck but not hard enough causing temporary removable sticking.  and became useful for posting of notes and music notes in a musical instrument

Sometimes great invention come from a solution to a problem:   "What pisses you off?"

=x=x=x=x=x=x=x=x=x=x=x=

The “Post-It Principle”: How a Failed Glue Accidentally Stuck a Company Together

In 1968, a chemist at 3M named Spencer Silver was trying to invent a super-strong adhesive.

Instead, he made the opposite… a weak, pressure-sensitive glue that barely stuck to anything.

It was useless.

Or so everyone thought.

For years, he tried convincing other departments to use it. Nobody cared.

“Who wants a glue that doesn’t stick?” they laughed.

Then one day, another 3M employee named Art Fry faced a totally different problem.

He sang in his church choir and kept losing his bookmarks in the hymnal… they kept slipping out.

He remembered Spencer’s “failed glue” and had an idea:

What if he used it to create reusable sticky notes that could stay in place without tearing the paper?

The first prototypes were small yellow squares… simple, cheap, and oddly satisfying to peel and place.

3M called them Post-it Notes.

They became one of the most successful office products in history… used in more than 100 countries, generating billions in sales.

The Marketing Lesson:

That’s why:The biggest breakthroughs rarely come from invention.

They come from reinterpretation.

Spencer didn’t create something new… he saw something wrong in a new way.

That’s the power of repurposing mistakes.

• Netflix didn’t invent movies… they reimagined distribution.

• Uber didn’t invent taxis… they reimagined access.

• Airbnb didn’t invent travel …they reimagined trust.

Innovation isn’t about starting over.

It’s about seeing overlooked value in what already exists.

The Nerdy Takeaway:

Failure isn’t the end of the story…it’s the raw material for your next breakthrough.

The “Post-It Principle” proves that sometimes your worst idea just needs the right problem to make it brilliant.

So the next time something doesn’t work…

Don’t throw it away.