Business Models which work?

I disected a business model to bits and pieces and found that following models work..

 

  1. product can be anything… but make huge investments in marketing, create buzz and price it heavy.. attrach niche
  2. product can be anything.. but rely on own consumption and spread the word to others… mouth-to-mouth publicity works
  3. Product needs to be free to reach large volumes
  4. Product needs to be presented by a brand ambassador.. everything will go fine
  5. Product offering same feature at <70% of competitor pricing
  6. Innovative product with affordable price

PASSION philosophy :Thanks for everything (Do read my principles)

The story began with a piece of article.. suddenly out of blue a vision (1996).. I realized this word PASSION,  and the article penned by me is shared below. It got evolved into a framework through my doctorate studies.  Hope all keep appreciating my efforts to unify objects (People, Product, Process, Project, Purpose, Policies, Perfection, Promotion, Perseverance, Pre-nomination, Placement and so on… a combination of multiple Ps). I hope to educate more and more through this edu-entertainment  format..

Passion ! Where does it begin? I would say ‘ An urge of love, a strong feeling towards an object, an emotional desire to possess it, mold it and have a protective security from the object. Obviously it requires enthusiasm and zeal to be passionate.

I as a wanderer in today’s world of chaos thinking of passion as a beginning from the mother’s womb, where a child yearns to see the outside world. A great enthusiasm from the child is an experience to the mother in the form of pain and pleasure. The moment the child feels the breeze of earthly air, a cry is raised from inner self, heralding it’s presence with an ambition to do certain meaningful activities in life. At it’s primary stage, a child craves for objects with a possessive attitude.

A child needs to be secure for which, the paternal and maternal instincts unfold in the form of fulfilling a child’s needs and wants. The same feeling is carried forward till a child starts getting attracted to objects and wants to acquire it – A sense of independence to find own means to achieve ends. From here onwards starts the path of KARMA, of what a child can do to secure not only itself but also it’s near and dear ones.

At the threshold of youth, a child suddenly finds admist a cut throat competitive world where a child feels insecure and doesn’t know how to move forward in the world of love and hatred. Insecurity is a feeling arising out of lack of confidence, trust and zeal towards achieving an object. Sincerity is a characteristic, which ultimately pushes you ahead in your pursuit of goal. How do I conquer Insecurity?

 

Think of someone.

Rich in good thoughts

Urging to love and understand

Solver of problems and sincere

Taker of other’s feelings and emotions.

 

TRUST is a qualitative feeling and supplements PASSION. Are you Passionate?

If you are positive to the above question, tread on path of success through genuine hard work and sincerity. Associate yourself with a person belonging to the category of trustworthy mortals. If you neglect to the question, you are a person who needs to be truly protected, loved and molded to face the world alone. I feel happy guiding people, bringing them to the path of success – A success of achievement.

A successful PASSION will require the following desired qualities from a person.

 

Live and let live.

Urge to succeed and let others succeed.

Motivate oneself and others.

Identify potential in you and others.

Negate the feelings of failure.

Achieve what you should achieve.

Respect yourself and others.

Yearn for love and truth.

 

 

 

 

 

Tan

Dr Joe is a skin specialist who believes that he can make even a crow look fair.

One day a startup founder Jim goes to his clinic…

Joe ‘hey your face is fully tanned.. I will recommend pills for you’

At evening Jim is surprised to read the tablet side effects ”potential skin cancer”

Jim begins reading all the medicine components and finds that sun protection creams too have this element if excessively used”

Jim rushes to Dr Joe..

Jim ”common.. you cannot experiment with human”

Dr Joe smiles..

Dr Joe ”dear face sells.. many want to look beautiful. It is like cigerate smoking is dangerous to health, same way excessive cosmetics is dangerous too”

Jim ”I guess.. you may need to just use orange peel, curd, honey and mix it or a combination of milk to remove tan”

Dr Joe ”Genius.. all through google right”

Jim ”yes”

Dr Joe ”Tanning is a process to protect your skin from UVR…  Ultra Violet Rays..  the only issue is when your skin keeps darkening further.. over pigmentation or you have sun burns”

Jim ”I do not want to eat those tablets at all”

Dr Joe ”Ok… Just apply fuller clay (multani mitti) flour for 10 minutes every night and get going”

After 5 months..

Jim comes up with a product ”TAN CLEAR” and meets Dr Joe

Dr Joe ”oh.. so now you have become medical representative”

Jim ”no.. I actually researched further and came up with my own product.. herbal one”

Dr Joe ”common.. not again.. network marketing?”

Jim ”No.. but it would be great if you recommend my product to patients”

Dr Joe ”smart boy… what commission?”

Jim ”50%”

Dr Joe ”cool… done”

 

Why do startups fail?

Startups is not about only getting right founders, right mentors and right incubators to scale up, but it is more about a research on arriving at a business model for an idea. The business model needs to be a paying one or impactful.

We find multiple startups imitating and the clones too get successful somewhere only because the investors prefer investing in safe bets.

No one risks an innovation till it is proven. This leads to innovation moved back to government funded initiatives or individuals who are seriously committed to innovations and give grants.

Almost startups globally fail as any thing in excess becomes a waste. How many startups can we have in mobility space or e-commerce or wallet or anything for matter. The unique differentiator is missing

What should be an ideal cost of experimentation?

Create a market base through need and subsequently just have 1 feature MVP (Minimum viable product feature) and push it in market.. If it succeeds, you add more modules.

Startups fail because of too much focus on either technology or marketing and the right balance is missed out.. Apart from that for strange reasons mentors/advisors are paid /not paid at all.. or even in board, may get may be 0.5% etc, so it is not a lucrative proposition for them.. So next time another startup gets into a graveyard, it is not because an entrepreneur failed, it is because the market validation was inadequate and the competency skills to scale it up needed more attention.

 

 

Letter to Startups

Dear Aspiring Entrepreneurs,

Please do not try to seek employment in garb of initiating a company..  Startup is a search for an appropriate workable business model for a venture…

Here it the catch, we should not assume investors will invest in startup just to ensure business model will work or not, so what will an investor want…

a) Appreciate whatsoever links, contacts, network, legacy experience which Investors, Incubation heads will  bring to table..

b) Do not  try to close venture just because an Investor has stopped funding the venture as here your true capability of being tough entrepreneur is at test…

c) Bootstrapping calls for startup entrepreneurs to not take too much money in form of salary from investor’s purse.. It calls for spending the money wisely on all aspects of business.

d) Make the product a success story rather then a failure and be open to any client opportunity which comes to you..  If you are focusing only on product development and not marketing then you are going to be a risk of failure

e) For a change, startups should have courage to take loans may be excluding collaterals and run a business too

f) Have patience, strong will power and the project will do well for sure..

 

 

 

 

startup secrets

never begin approaching investors till you have not completed your product.

never focus only on seeking investments.

budget your startup with following economics

X – DEVELOPMENT COST

X – MARKETING COST

2X investments needed

X is something which can be decided by only you..

so with this economics, you realize you do need always a cofounder.

so 2 technical folks can get into initiating something, but partnering with 2 marketing folks may give better leverage

always remember.. the X component has to be as lean as possible.

 

Do you wish to be successful entrepreneur?

How many of us have been determined to be an entrepreneur?
How many of us decided to purchase a 100 buck product and tried to sell it at 150?
How many of us visit a technical book shop and show a natural inclination to read technology and draw a technology roadmap of products or project?
As a rest less soul, an entrepreneur needs to keep researching, using google, using every social media to identify competition around self.

Enterprise Solution
Imagine your product cost works out at 1 million
You wish to reach out to 50 potential customers..
The product pricing comes to 20000
and ensure you save on maintenance and travel costs through cloud solution etc

Aggregation Platforms
Imagine your product cost works out at 1 million
You have 10000 potential customers..in your universe
The product pricing comes to 10 only

You choose the currency of your country.

Can we really penetrate and get more clients?
Building a brand takes many years. Out of good will, out of marketing thrusts, out of strategy to reach out.  It happened for PASSION too..  1996, folks correlated PASSION with love and then.. slowly and surely PASSION got acknowledged in academic institutes and students as facilitator for live projects and then.. PASSION PRO came in.. Pune.. the vehicle brand and slowly and surely with even a news letter to push the brand, PASSION IT  got circulated and we found the business model working out and then the word PASSION kept growing.. it seeped into the entrepreneur eco system.
After the usual copyright and trademark in place.. and spending almost 30 to 50% of revenue earned in advertisement and marketing, decided to get lean.. leaner and more leaner.. and began using the social media power to reach out to people.

Is entrepreneurship tough?
Absolutely.. if you are not determined and are not passionate about your initiative and do not wish to make personal sacrifices, nothing can move ahead..
Many a time folks wish sleeping or dormant partners and it fails as only an entrepreneur needs to understand that overspending on media is meaningless and overspending on expansion too. As long as the first client sets do not accept you, nothing works out.
For free bee’s many come in.. charge money.. and all are gone.

Who can succeed in this journey?
The one who are courageous, become visible, push themselves and focus on quality product and services.

PASSION will reach millions and no doubts about that.. It is the strong zeal to achieve an object and seek security from that object. Whether it is wishing to have a baby, or wishing to learn or wishing to have a boy friend or girl friend or marriage or whatsoever.. finally security plays an important role in mind of entrepreneur..

Can an Entrepreneur really scale up with no money?
Many did that successfully through small funds..  As long as willingness to return back debts exist, as long as courage exists to work in team and without being greedy and understanding pain points of a domain and solving a solution.. things will just work out for you. No point of end less discussions, thinking and not working an idea and taking steps to make a product or service

Just ACT, SCOPE AND SET  your initiative through right probing and innovation.
Nurture and Own your venture

passion framework

PASSION FRAMEWORK can be used in any of life goals. Try it out once