An In-Delhi-ble Impression

The weather was perfect, and we were sitting by the poolside soaking in the morning sun in the midst of the cool crisp air and lush greenery. Where could we be? Shangrila of course. Yes, we were in the Shangrila Hotel - New Delhi, near the epicenter of the world largest democracy.

Well, in New Delhi, the boulevards are grand, buildings majestic and the lawns manicured. We visited the National Museum, and came away having a better grasp of the history of India starting from the Indus Valley civilisation - Harrappan and Maruyan eras, leading to the Mughal empire and finally to its present state. We sampled the metro, and it is impressive.

We had lunch at the Delhi Golf Club under a pitched tent, as the club is all set for the All Indian Open. We had salted lime soda followed by a meal comprising naan, daal, fish tikka and sheesh kebab all fresh off the oven. We topped it off with coffee and kulfi. The kulfi was heavenly. With the right texture, it simply melted in our mouth. We could easily justify a return trip as there is no kulfi in town to match this!

The next day, we were at the Bukhara for lunch. We had gin tonic, tandoori chicken, leg of lamb, daal, promfret and kulfi. It was a scrumptious meal with excellent company. Bukhara is rated as one of the top restaurants in the world and Bill Clinton and Putin are fans to this place, as well as Salman Khan, a Bollywood star.

We visited Gurgaon. It is a massive township, intended to emulate the service hub that of Singapore. There are many office and residential highrises. It is said that India has about 1 million workers in the IT industry, generating billions of revenue from outsourcing. In typical Indian mindset, they believe in self-sufficiency and instead of seeking foreign direct investment ( FDI) aggressively where they have to forgo equity, they took the more challenging route of creating value through their skilled workforce. This is impressive as the revenue generated is enormous as well as recurrence in nature.

This is the impetus that is propelling India to the world scene as a leader in quality outsouring. It excels in areas of healthcare, education and technology.

Keywords: healthcare, education, technology

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Group and Game Theory

Do we have the desire ( gumption ) to compete in the global market? Do we believe that we can take on the world single handedly? Or do we adopt a big fish small pond syndrome?
It is not unreasonable to state that we have a long long way to go. First we need a new breed of risk-takers who understand the meaning of deferred-gratification. Not only must we be seen to be working together but also indeed working together in substance and for the common good of the group. Only when we understand the meaning of aligning of interest can we deal transparently with the issue of conflicting interest. For those who don't or choose to ignore them will soon realise the consequences underpinned by John Nash's game theory – an initial win-lose outcome will inevitably turn into a lose-lose as exemplified by the now classic poser - Prisoner's Dilemma. Take a leaf from the vampire bats - they understand the meaning of mutual deterrence. Do we?
To be an ACE entrepeneur, we must first learn to tone down our urge for instant gratification.

Keywords: ACE, game theory, Prisoner's Dilemma

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Micro-businesses - The New Big (I)

As consumers are empowered with choices, markets are becoming more segmented leading to the creation of many micro-markets. With this also brings opportunities for mirco-businesses to cater to these niches. With norms ever evolving, consumers themselves may not be aware of the needs, and it is this uncontested space that micro-businesses can move quickly into. Micro-businesses are attractive because:

1. Small gives you the flexibility to change the business model when your competition changes theirs.

Small means that you do not have substantial invested capital at risk. So when you misread the market, you do not have the heartache of an expensive legacy to burden you with. You merely move on. That is flexibility. It allows you to compete with your core competence intacted i.e. intellectual capital. Additionally, being asset light, you are better poised to maintain a high Market Value Added (MVA) Ratio, and this means that you are in a position to create shareholder value.

2. Small means you can tell the truth on your blog.

This is an interesting point. I used to work in a large organisation. They had the capital to commit, and they expanded rapidly and started recruiting, on the basis of experience and qualification. They were certainly able to hire the better ones in the market. Once hired, my first day in the office was to familiarise myself with the processes of the organisation. What a process! There was none. And I had to mull over whether I should make any attempt to right this - it wasn't in my job scope. It took a long while before the processes were documented. Lack of documentation lead to inconsistencies and gaps in service level, and the customers usually bore the brunt of such blunders. Service staff is left to their own devices to make up excuses to appease the cutomers, and usually it is just to get the customers off their back. The business model is all tripped up and paralysis sets in. Sounds familiar - imagine the disaster looming ahead!

Being small and without legacy give you enough wiggle room to maneuver - ensuring that each promise is fulfilled to the satisfaction of your customer. With a well thought through vision and value proposition, you can articulate and communicate the message clearly and with honesty - this provides the platform for you to scale your business model and avoid the pitfalls experienced by larger outfits.

3. Small means that you can answer email from your customers.

Customers enjoy the personal touch and they appreciate it if you take the time to attend to their needs. Which is why remarkable services get talked about!

Keywords: micro businesses, micro markets, MVA Ratio, shareholder value

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Making Your Mark In Marketing ( II )

VII. Like it or not, you are part of the conversations in your marketplace. Skilful marketing promotes constructive conversations.

The strategy that you adopt has a bearing on your customers, suppliers as well as your competitors. If your business model is compelling in meeting the wants of the customers and generates a good return, be sure to articulate and communicate your vision to the stakeholders. By associating the right deed ( fulfilment ) to a promise, you reinforce a positive mindset and gain the respect in the marketplace.

VIII. Services that are remarkable get talked about.

It can be a simple gesture like a sincere smile to make a day for your customer.

IX. Marketing is the way your crew greets your guests, handles a blotchup, placates an irate customer.

Little details clue your stakeholders into your value system. Any inconsistency can be picked up by the discerning stakeholders from a mile, get extrapolated, and rightly or wrongly a poor view is formed.

Keywords: mindshare, stakeholders

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Making Your Mark In Marketing ( I )

I. Marketing begins before the service is created.

It goes back to your value proposition and the competitive strategy that you have mapped out. Who is your target audience? Why are they likely to find your value proposition compelling? What is the competition up to? What you are offering - does it serves to meet their wants? You begin to identify your mavens, connectors and fete them with your best shots and get their feedback. If they are turned on, their word-of-mouth marketing can be viral.

II. Anticipated, personal and relevant advertising always does better than unsolicited junk.

With your army of mavens, connectors and salesmen, you are well positioned to create the buzz. Once the anticipation is created, audience can't wait to try out your products.

III. Making promises and keeping them is a great way to build a brand.

Imagine having to wait on queue for hours, and your value proposition is operational efficiency. It will turn off your customers. Ensure that your service level matches with your value proposition. If you are in the fast-food business, don't forget that the very reason people come is to get a fast serivce, and not necessarily good food.

IV. Your best customers are worth far more than your average customers.

When your customer made a remark like " Exact fit to my training needs at this point. Probably the only useful training I have had in 10 years", need I say more.

V. Share of wallet is easier, more profitable and ultimately more effective a measure than share of market.

You may gain market share - but the question to ask is at what price? If you price it too cheaply, you are not making a decent return, and instead of creating value you destroy value. You may make the customers happy, but you are short changing yourself. Definitely not sustainable.

VI. Advertising is just a symptom, a tactic. Marketing is about far more than that.

Definitely not an after-thought. The message you deliver has to be clear. Customers are discerning and they will appreciate the care taken in meeting their needs. After all, if they want a lifelong relationship, if has to be worth their while, and not something where the cost to maintain the relationship is so prohibitive.

Next: More tips.....

Keywords: competitive strategy, value proposition, mavens

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