It takes more than MBA degree nor decades of experience to develop a business leader

Every generation needs a revolution - an entrepreneurial revolution

We should really do much of what do you recommend, what is your solution to the problem.   MBA is not enough,  Even business coaching.    Maybe the protege should experience more of experience:   having failures as teacher, and training them, leaving them alone to make decision.

A good technician:   project engineer, or marketing expert does not make a good CEO or business leader.  Even decades of being on the job.  A good CEO needs to:

    1.  See both the forest and the trees

    2.  Make courageous decision even if it hurts others;

    3   Expend extra ordinary effort and passion on the venture

    4.  Be forceful at times.

Sometimes you see them to be soft, and not very observant.  They fail to see redflags early nor do they recognize opportunities early.  And get distracted easily by current events, FB posts or criticism of others

The GSB is pushing once again Entrep courses

Every generation needs a revolution - an entrepreneurial revolution

This post used to teach Entrepreneurship and Business Leadership for that GSB in many parts of the country to various MBA programs   Of course the elite Entrep Program was beyond reach and ran by former AIM staffer.  

However the rigorous program we conducted which was capped by preparation of a Business Plan was something this post reminisced with pride.   The free Linked In Slideshare attest to the brilliance of our instruction

How do you create value? Why are there value added taxes?

Every generation needs a revolution - an entrepreneurial revolution

Perhaps our understanding of value and wealth creation are vague, at the basic principle level.  All that we understand is value =  PHP = cash.

Entrepreneurs create value.  Innovation is raising value from lower level to a higher level.  So when a rund won property earns P5,000 a month, and renovation makes it earn P100,000 a month that is creating value

Value is created when a product or system meets or satisfy a need.  When what pisses of the customer is solved.  When the pain point of the customer is removed.  What the provider demands as a compensation, and what the customer can afford is the transactional value.    So how do you charge for  a knee operation:   P5,000, P50,000, P100,000 or P200,000.  

It is to be unerstood that when we reveal as a salesperson how a prdouct service or system lessens pain, makes the customer gain, then the saless person create value.  The sales presentation, the sales letter, the ad creates value.  The creation of sense of need and urgency, (scarcity) adds value to the product, service or system

What you invest in yourself ;   the skills knowledge, the solution learned create value.   It is the real wealth.  

Closing a deal at 6 numbers only, congratulations to the team

Every generation needs a revolution - an entrepreneurial revolution

This follows Peter Thiel truism  -  from zero to one.  Having something from nothing. Pure entrepreneurship.   

But this one required money.  The guy a contractor to whom the deal was passed on two is being egged to move up from being a techie man to be a businessman.  

The team encountered many problems:    1. failed financiang in the beginning  2.  failed financing the second time,   3.  selfish team members. and who are irresponsible -  they failed to deliver their promise of financing twice, and yet made sure that they got their written commitments for packaging fee.  

But finally the deal was done and lately what we heard is that the new CEO is getting  an inquirty for 5 to 20 million investment.   Because of the signed deal.  It is now bankable

I hope he gets this.    

But they have just begun:

1.  Gather docs

2.  Secu re approval from LGU, from NIA, DAR

3.  Condcut pre marketing activities.  

4.  Generate funds

5.  Get plans SDP leaflets, marketing collaterals ready.

6.  Secure ROW docs

7.  Commence some site development

GOOD LUCK MORE POWER TEAM

Go go go

Free posts helped others start a business, and even their teaching career

Every generation needs a revolution - an entrepreneurial revolution

This post shared freely ppts on entrepreneurship via slideshare.  He also had posts about his particular business. While in travel abroad, he encountered some tourists.  One of them was a professor at a State University.  After getting to know, he said that he used some of my ppt in his class.  That was great to be a reference.   When I reviewed some of the most important ppt on entrepreneurship, many of them had thousands of view world wide.

And then I learned that a boss in a memorial park project in Southern Luzon in a recruitment interview,  relied on my post about making a business plan for this business. Isnt that great.  

For both cases, this post did not get paid.   However, Dan Millert, said that you shouldl give some of your best work, ideas for free   You should help others get free.  However, for coaching, workshop, ftf seminars, you should get paid as much $10,000 per day.  (Some I know charge $2,000 per day)

For Go Negosyo, for caravans, and even one on one mentoring, they were pro bono.  

I had planted the seeds of prosperity

Entrepreneurship from Sir Richard Branson

Every generation needs a revolution - an entrepreneurial revolution

He is an Englishman and knighted for his business contribution and entrepreneurship,  He is behind the Vigin brand and competitor of Elon Musk in space travel with his Vigin Galactica.

He was interviewed by Simon Squip on entrepreneurship on how he built million dollar companies.   He simplified this and did not put hte arduous how.

He has five steps.

1.  Find the problem and the solution

2.  Have a team

3.  Build the product and solution

4.  Get the cash upfront

5.  Take risk,.

There is no mention of VC, borrowing the first second round etc, bank loan   

The # 4 I hink is the linch pin.  Like getting dp or full payment for the product.  Ad scontractors for the software house, and projects often do  Which the scammers do.   Like cash out  I cash out muna, padating na yong pera and then disappears.   If the scammers can do, and you are legit you can do this.

We had done on numerous projects.  No money but plenty of ideas.  We built many projects two dozen plus using #4.   We could also do this on a project that stalled.

If you are interested in more coaching materials from this post.  Gmail:    profjorge.entrep@gmail com, Dm jorgeus george.   + 63 908 928 7888

Value is not equal to price

Every generation needs a revolution - an entrepreneurial revolution

Prospects often reject your offer because of price.   And sometimes becomes sore spot of the sales negotiation and the sale may be stalled.   " You are way too high"  But price is not equal to value

How to neutralize:

1.  You are the value to the transaction:    your voice your prsentation, your character, the trust of the 

      prospect in you.  

2.  You create the value in your presentation as you uncover the benefits of the product or service to the

     prospect.

     You create the value by:

     1.  Highlighting the need, the match up between the product benefits and prospect need.

     2.  Creating the sense of urgency:

          1.  The prospect's loss in case he/she does not buy

          2.  The product is of choice location

      3.  Create urgency.  

          1.  A one time promo

          2.  You have limited time and lot of ground to cover

3.  Thus defer, deflect defuse the need for price revelation in the beginning.  Do it at later part of presentation

Is this of help.?  Text +63 908 928 7888 if you need more materials, coaching or seminar or dm

                         jorgeus george.  Or Gmail.  profjorge.entrep@gmail.com

Continuity products/services

Every generation needs a revolution - an entrepreneurial revolution

What are continuity products?  Like the program /software updates, the maintenance agreement for hardware and software, extended warranty.  Most of the time they are not utilized and forgotten

I mised this and we may have lost many revenues.  Continuity products may be from 10-30% of your total revenues  We have only one.

But it could be extended to:

1.  Ground maintenance

2.  Heritage and legacy

3.  Prepaid service

We all ready encouraged our staff to work this out and include in the 2025 plans.

I am commanding them not for me but for their future generation.  

Is this of help.?  Text +63 908 928 7888 if you need more materials, coaching or seminar or dm

                         jorgeus george

 

Methods of Pricing

Every generation needs a revolution - an entrepreneurial revolution

This post answers the question or is same topic as business, product valuation

The methods are:

1.  Competitive

2.  BE pricing

3.  Time

4.   Cost plus,

5.   Package or bundling

6.  Value pricing

Which do you use?

1.  Competitive.  Your tool here is competitive or customer research.  Find out how your competitiors price their products.  Based on your positioning, you can price your product equal to lower or higher than the competitor.

2.  BE prcing.  Compute for your total cost:     Varicable cost and Fixed cost.   At what price do you neighter lose or make money

3.  Time.    PHP/hour.  Often employed by lawyers, consultants, coaches accountants

      PHP/hour     php/day.  But there is conflict of interest or disincentive for efficiency.  Normally the    seller would use the higher more expensive charge.  Not the lesser more efficient.  The                        solutiontn for this is value pricing

4.  Cost plus

     Total materials, labor inputs and add%  as profit for the seller

    Again there is COI here.  The seller tends to input more expensive materials or labor to get higher

    share fee for himself.  Take example in  nearby project.  The architect dug 6 storey foundation for 

    3 storey building.   It took longer and spent more time before they were able to rise above the

   foundation  The architect, friend of the owner, got more hefty fees.    To avoid

5.  Package bundling

  What is the value of each of the component project.  Then add.  That is your price.  You may or

   may not give a discount

6.  Value pricing

     This is total project cost;   labor and materials

     +  x amount if you finish this on time

     +  y amount if below budget

Is this of help.?  Text +63 908 928 7888 if you need more materials, coaching or seminar or dm

                         jorgeus george.  Or Gmail.  profjorge.entrep@gmail.com

Words of wisdom from Peter Thomas - powerful magic words in marketing and sales

Every generation needs a revolution - an entrepreneurial revolution

This post encountered Peter Thomas at YT recently and I came across some simple tips from him at YT last week:

    1.  The magic words in sales

    2.   The magic of CLARITY

1.   Magic words (we know this a long time ago but we forgot)

    1.  Free.  But it must be of value to have effect.  It could not be cheap.  We give a lot of give away but

         They are cheap.    e.g This book is worth P1,050 but comes free if you buy.  

         Promo items can be given at each stage of the sales funnel.   X for being a lead:   inquiry, like etc'  

         requst for a sales call.    Y for a sales meeting.     Z reward for buying

2.  You.   No need to explain

3.  Yes.    Yes.   Nothing beats yes.   Affirmation.  Positivism

BONUS

4.  Hate.  What do you hate?  What pisses you off.   Sometimes negative reframing of statements draw the attention and persuade others to believe.

2.   What is the secret of the jar/package

       Sometimes the customer cant know what is really in the package or the jar.  That has to be made clear.  A response to a unclear message is no response at all

      So install a sense of the clarity on:

      1.  Who we are?

      2.  What value we offer?

      3.  What is in the jar.

If you are interested in more coaching materials from this post.  Gmail:    profjorge.entrep@gmail com, Dm jorgeus george.

Opportunity to meet a high ranking Congress leader at my recent trip to Iloilo

Every generation needs a revolution - an entrepreneurial revolution

In my trip to Iloilo last Monday, I was informed by our friend and business partner, that representative from their place, a relative of wife was conducting a meeting at 2 - 4  pm meeting.  Pershpas by chance, I could be at their house again.by 4 to 5 pm.  She was a fmr student at MBA  Health at GSB where I formerly taught

However I overslept, and besides, it was caught of awkward.  What would that end up to?  Will I be currying favors from the congresswoman.?   Was it a lost opportunity?

We are in Luzon province and she is not representing our province.

Crypto is supposed to be stable storage of value as substitute for currency; but joined market crash last Monday, lost over $500 billion

Every generation needs a revolution - an entrepreneurial revolution

Crypto loses $500 billion in value - joins market crash   Crypto agents said that its value could reach $200,000.  But with the global market crash, its just at $50,000 vicinity.   

One of the arguments for crypto is that it can be good substitute vs currency and as stable as gold and other precious metals.  But in the stock market route, crypto joined the stocks in the crash.  Perhaps, in the carry trade which is unravelling because of rise in Bank of Japan interest and rise in yen value,  some of them were invested in crypto.  Funds are probably ditching their crypto position.   

So the conservatives;  Dimon,  Buffett SEC were right about crypto.  My initial reaction to crypto is that it is not real.  Probably drug and gambling lords use crypto for Money Laundering.   You do not know where it is.   The crash in crypto values were similar to 2022 when FTX fraud were discovered.   

So be careful of investment of crypto.  I had a classmate who worked at ADB.  It was reported that she parlayed P500,000 to P14M but later on lost everything.   How sad.

I remember the advice of olds -  DO NOT INVEST IN ANYTHING YOU DO NOT FULLY UNDERSTAND.   

I dont think this post undersand crypto well enough

Took a long arduous trip for a closure in a negotiation, and to endorse the same

Every generation needs a revolution - an entrepreneurial revolution

This post left early morning yesterday to go on a long rip to a tourist town in Region 1 for closure.   Our group was unceremoniously dumped by a pair of relatives who owned a 5 hectare for a possible memorial park.  

They did not agree to our proposed sharing and curtly categorically said in messenger that they did not want the deal, and secondly, gave  us a deadline on a govt permit that was taking time with an ultimatum of "forgetting it"  

I went to the place, met with one of the relatives who works for a a BPO in MM.  I said we, our group

company business is exiting for personal reasons because of what we all ready know as bad communications regarding the deal and endorsing this with a new group who can take over

The replacement was again shown the land, the right of way, and the three memorial parks and 1 public cemetery

Unusual design of gate and fence of a memorial park

Every generation needs a revolution - an entrepreneurial revolution

On the way to a tourist town, we saw in Sta Ignacia an unusual desgin of a memorial park with  slats of horizonal  flatbar, skylights to an overhead acrylic roof, plenty of solo shrubs of different color and fences with unusual graphic lines and shapes:    black white, brown, grey.

It will surely attract attention.    Answers one of the criteria of  good business -  being unusual and extra ordinary.  

What happened to GE, formerly one of top companies in US, what Jack Welch has wrought?

Every generation needs a revolution - an entrepreneurial revolution

GE used to be darling of Wall St.   It was tops of the top 20 companies 20 years ago.

What caused its decline:

1.  Investing too much in non core business:   lending, health care.  The GE capital was badly hurt by 2008 crisis.   They had to be bailed out to the tune of $100 billion   It stood against the management principle of focus, on core business.  What was GEs core business:    Jet Engines, power generation.   They could have been growth more.  The acquistions distracted them from core businesses

2.  They engaged in too much acquisition .  However they financed this by cutting off employee payroll.

They destroyed their human capital.  The staff worried too much in being laid off.

Jack Welch was an idol before in management.  It seems it was a misplaced adulation.  

 

Turning around a failing business - look at the numbers

Every generation needs a revolution - an entrepreneurial revolution

Business restructuring, turn around, transformation

Every generation needs a revolution - an entrepreneurial revolution

How to save a failing business

Every generation needs a revolution - an entrepreneurial revolution

Its a  must knowledge for somebody who want to save a failing business.  Find the signs and how to turn around.

The Malolos Diocese takes over pastoral duties at Guanzon owned Grotto

Every generation needs a revolution - an entrepreneurial revolution

There was the recent news that the heirs of late Anita Guanzon who was cured on her trip to Lourdes Grotto in France, recently signed an agreement to take over pastoral  duties at the said church.

I remember that I pledged that if we would get a certain high visibility project, we will help build/finish the church of the grotto.  - the upper Basilica.  For us at the time our donation was huge compared to our revenues.  But help we did.

Lately though as we tried to contact the recipients of our donation, they never answered our calls/emails.

Malolos takes over pastoral care of Lourdes Grotto in San Jose 

Be unique, be you, be a franchise - in choosing a product. Do not be a copy cat - a product, a business like any other

Every generation needs a revolution - an entrepreneurial revolution

It is a common complaint in the Philippines that other businessmen are gaya gaya.   Poor imitators, copy cats.  It is the easiest way to enter into business:   to observe and mangopya -  to copy.  But this is the best way to court failure.  As a commodity, your margins are low because of stiff competition.

Thus we see trending or uso:   dozen copy cats:   pandesalan, kapehan, pares, ramen car wash, grab that blossom overnight and in a couple of months disappear.  

If you must choose a business it must be:

    1.  Unique  - a business like no other walang kaparis

    2.  A franchise -  they will go to you only because you are the only one offering this

    3.  A  physical  feature that is not available to every one  - like a distant location, sea of clouds, waterfall, hot spring, sea, lake view

It could be a unique decor:   lights, fountains, plants.  

Thus in Makati Avenue, they change menu and themes, set up bands every ninety days.  Otherwise, only flies will crowd your establishment

Seith Godin calls this the "Purple Cow"  This is unique marketing and product development. Os there such a purple cow.   

Rather than rely on military strategy for plans, or Michael Porter, or other gurus, just concentrate on being a better product, unique to others.   Like a taxi driver who knows your first name, and who invests in radio, in fragrance, and seat covers to make your riding experience enjoyable.  Or a hotel in a cave, or ice castles or restaurant under an ocean park. 

Sometimes the best businesses are made by nuts/By crazy guys