Planting Ideas


Think of a carefully selected extra-special tomato seed. Potentially, that little seed can grow 25 pounds of wonderful fruit. One seed will easily produce one million times its weight in good food. But the seed with all its promise won’t grow any tomatoes unless it is planted.

So it is with great dreams. The best ideas in the world for making money, building a business, solving a social problem, or making an improvement in life are useless until they are planted in a well-prepared mind, tremendous results happen. Every great enterprise was once simply an idea that was planted

A fortune is an idea acted upon. All around us are people who have the disease of dreaming. This ailment takes on many forms, but it as common as the cold. As you grow your ideas, surround yourself with people who are positive. Positive people want you to win, achieve, enjoy life, find satisfaction, and contribute to others. Negative people want you to accept life as  it is, content with boredom and mediocrity, satisfied with a small income, and miss out rewards that come from helping others.

My Consultancy–Asif J. Mir – Management Consultant–transforms organizations where people have the freedom to be creative, a place that brings out the best in everybody–an open, fair place where people have a sense that what they do matters. For details please visit www.asifjmir.com, and my Lectures.

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Inflation and the Rule of 72


No formula is more useful for understanding inflation than the rule of 72. Basically, the idea is to compute quickly how long it takes the cost of goods and services to double at various compounded rates of growth. For example, if houses were increasing in cost at 9 percent a year, how long would it take for the price of a home to double? The answer is easy to calculate. Simply divide the annual increase (9 percent) into 72 and you get a number of years it takes to double the price (eight years). If houses go up in price by 12 percent, it only takes six years to double in price (72 divided by 12 = 6), and so on. Of course, the same calculation can be used to predict how high food prices or car prices will be 10 years from now.

My Consultancy–Asif J. Mir – Management Consultant–transforms organizations where people have the freedom to be creative, a place that brings out the best in everybody–an open, fair place where people have a sense that what they do matters. For details please visit www.asifjmir.com, and my Lectures.

Advantages of Franchising


Franchising may combine the advantages of a small business managed by its owner and the resources, especially marketing impact, available only to large firms. The franchisee may be interested mainly in securing the privilege of selling a highly advertised product. Usually one of the most important advantages of a franchise to the franchisee is the right to use a trademark owned by the franchisor that is well known and/or highly advertised. In addition, many franchisors have developed a standardized and tested method of conducting the business, whether it is producing hamburgers, conducting an employment service, or replacing automobile mufflers, that will be adopted by the franchisee.

From the franchisee’s standpoint, especially if he or she has little or no experience in the business being franchised, the most important services of the franchisor are likely to be advertising , training in the business, and advice after the business is under way. Some franchisors also assist with financing. They may build and equip the place of business and lease it to the franchise—a so called turnkey operation.

One of the major advantages of franchising for the franchisor, however, is the possibility of rapid expansion by using the financial resources of the franchisees. Through franchising, the franchisor can gain considerable control over the distribution of its products or services without owning the retail outlets. By carefully controlling the number and location of outlets, the franchisor can reduce competition among them and perhaps encourage them not to carry competitive products. This may make the franchise organization’s competition against similar products (or services) more effective by encouraging bigger investments and more aggressive marketing by franchisees. Efforts may also be made to influence prices charged by the franchisee. Where the franchisee prepares a product, such as food, or offers a service, the franchisor usually maintains a high degree of control over operations to standardize quality.

My Consultancy–Asif J. Mir – Management Consultant–transforms organizations where people have the freedom to be creative, a place that brings out the best in everybody–an open, fair place where people have a sense that what they do matters. For details please visit www.asifjmir.com, and my Lectures.

Converting Needs to Wants


Every consumer must acquire goods and services on a continuing basis to fill certain needs. Everyone must satisfy the fundamental needs for food, clothing, shelter, and transportation by purchasing things or, in some instances, temporarily using rented property and hired or leased transportation. By focusing on the benefits resulting from these goods and services, effective marketing converts needs to wants. A need for clothing may be translated into a desire (or want)  for designer clothes.

As easier-to-use software has enabled millions of nontechnical consumers to operate personal computers and as falling retail make these computers affordable to most households, computers have become fixtures in many offices and homes.

Companies that adopt the marketing concept focus on providing solutions to consumer problems. They promote product benefits rather than features to show the added value that computers will receive from the product.

My Consultancy–Asif J. Mir – Management Consultant–transforms organizations where people have the freedom to be creative, a place that brings out the best in everybody–an open, fair place where people have a sense that what they do matters. For details please visit www.asifjmir.com, and my Lectures.

 

Convenience Stores


Convenience stores are actually mini supermarkets. They carry many of the same food and nonfood items that are sold in supermarkets, but they offer a limited selection of brands. The products are normally packaged in small sizes, to allow shelf space for other items. Convenience stores do not have meat or fresh produce departments. One of the most significant changes in convenience stores has been the addition of gasoline.

Since convenience store prices on non-gasoline items are typically higher than supermarket prices, we should ask why people shop at them. Many shoppers tolerate the higher prices because the total of their convenience store purchases is quite small. They are willing to pay a little extra for the convenience of being able to make purchases quickly and easily. Consumers recognize that they are paying a little more for these products than they would at a supermarket. But most people are not willing to invest the extra time and effort to go to the supermarket to save a few cents on one or two items. In effect, the convenience store retailer charges the consumer a premium for this time savings.

My Consultancy–Asif J. Mir – Management Consultant–transforms organizations where people have the freedom to be creative, a place that brings out the best in everybody–an open, fair place where people have a sense that what they do matters. For details please visit www.asifjmir.com, and my Lectures.

 

Franchises


A franchise is a contract arrangement by which the owner of a trade name, trademark, copyright, or process grants permission to others to use this property in selling goods or services under specified conditions.

The purchaser of a franchise (franchisee) obtains the advantage of offering a well-known or unusual product that may already have wide appeal. The franchisee  also receives the benefit of mass buying and advertising. Typically, the buyer of a franchise may pay a flat fee for the franchise as well as an additional percentage based on sales. The franchisee may also be required to pay a fractional share of the franchisor’s promotional costs and to purchase certain supplies from the franchisor.

Contract and sales laws pertaining to franchises are comparatively new. If the franchise involves the resale of goods or food, both the franchisor and franchisee will usually be liable under a breach of warranty if the food or other merchandize is not wholesome or proper from the consumer’s standpoint. However, tort liability to a third person is usually the responsibility of the franchisee alone. In a case where the franchisee’s truck struck  and negligently injured a pedestrian , the franchisor would normally have no responsibility.

My Consultancy–Asif J. Mir – Management Consultant–transforms organizations where people have the freedom to be creative, a place that brings out the best in everybody–an open, fair place where people have a sense that what they do matters. For details please visit www.asifjmir.com, and my Lectures.

 

Product Specificity


Product specificity means the extent to which the use of a product depends on local socio-technical conditions. This is a function of the type of applications to which the product can be put, its inter-relatedness to other products, the local culture, and government regulation. Cars, for example, would sell better in a large country with a good highway system, space to park cars, good credit systems, and availability of gasoline, than in one without. Such complementary conditions for selling automobiles can be taken for granted in the United States, but not in Nigeria. In some countries, air pollution standards limit the level of pollutants that a car can emit.

Baking foods requires baking ovens, which many households in many countries may not have. Foods that require refrigeration may not do well in countries like Nigeria, where very few people have refrigerators. In the local culture there may be taboos associated with certain products. Local culture can also make some features in local products unnecessary.

My Consultancy–Asif J. Mir – Management Consultant–transforms organizations where people have the freedom to be creative, a place that brings out the best in everybody–an open, fair place where people have a sense that what they do matters. For details please visit www.asifjmir.com, and my Lectures.

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