Saturday, December 20, 2008
Friday, December 19, 2008
Story of an entrepreneur
Once upon a time, I came upon this entrepreneur in the middle of my trip
He is someone from a not so well to do family and as such, he had nothing to lose
In fact, almost everyone from his class had nothing to lose
He worked his way up in construction industry to be his own boss now(I saw a sun tanned face)
His advice to me and probably everyone else: Be your own boss!
He is someone from a not so well to do family and as such, he had nothing to lose
In fact, almost everyone from his class had nothing to lose
He worked his way up in construction industry to be his own boss now(I saw a sun tanned face)
His advice to me and probably everyone else: Be your own boss!
Posting from the future
There's been option to publish posts in the future for blogs for quite some time
How about online discussion boards?
How about online discussion boards?
Coffeeshop owner for a day?
Welcome to Lifestyle Experience Economy
where you can finally be a coffeshop owner/actor in music video for a day
Who would be the first one?
Existing Lifestyle Experience Provider- i.e. Richard Branson's plane to the outer spaces for the riches
updated: just found out there's a job term for it
experience architect.
the job entails creating a lasting encounter for the consumer, whether it is with products, building, or events. The experience architect must make sure that the experiences are memorable in a positive way, so that the consumer would want to attend again. Also, another point was that the experience architect should always give something special to the customer, so that it will lead to good karma. They must be able to find an experience out of everything, where they can turn everything into extraordinary feats. One example of the experience architect performing a good job would be the anti-freeze story, where the customer was able to say time and effort would premixed antifreeze. With this, architects are able to profit off of the experience. Another point that Kelley makes is about the trigger points for experience architects. There must be one or two essential elements that make up the experience. Kelley also advices that companies "mix-it-up" in terms of products to make the experience stand out more
where you can finally be a coffeshop owner/actor in music video for a day
Who would be the first one?
Existing Lifestyle Experience Provider- i.e. Richard Branson's plane to the outer spaces for the riches
updated: just found out there's a job term for it
experience architect.
the job entails creating a lasting encounter for the consumer, whether it is with products, building, or events. The experience architect must make sure that the experiences are memorable in a positive way, so that the consumer would want to attend again. Also, another point was that the experience architect should always give something special to the customer, so that it will lead to good karma. They must be able to find an experience out of everything, where they can turn everything into extraordinary feats. One example of the experience architect performing a good job would be the anti-freeze story, where the customer was able to say time and effort would premixed antifreeze. With this, architects are able to profit off of the experience. Another point that Kelley makes is about the trigger points for experience architects. There must be one or two essential elements that make up the experience. Kelley also advices that companies "mix-it-up" in terms of products to make the experience stand out more
Monday, December 15, 2008
get $12X worth of prepaid mobile talktime for only $2X
Singapore's mobile prepaid industry has witnessed a major change since Singtel introduced hot! 100 mobile prepaid reload whereby one can get $100 worth of calls by just reload $28.
By 2007, Singtel grabbed enough market share from other mobile prepaid operators to force them to introduce their equivalent versions of reload $28, get $1xx worth of calls with 50 days validity.
Did you guys ever wondered how Singtel got this wonderful idea? Singtel copied it off from its subsidiary, Optus Mobile Prepaid which has introduced such cap plans in Australia couple of years back.
How it works out? Simple. A certain percentages will never be able to finish off their calling minutes. And then a certain percentages will not able to reload before the end of validity thus forfeited their credits(Calling cards with super duper calling rates but expired within 3/6 months anyone ?)
By 2007, Singtel grabbed enough market share from other mobile prepaid operators to force them to introduce their equivalent versions of reload $28, get $1xx worth of calls with 50 days validity.
Did you guys ever wondered how Singtel got this wonderful idea? Singtel copied it off from its subsidiary, Optus Mobile Prepaid which has introduced such cap plans in Australia couple of years back.
How it works out? Simple. A certain percentages will never be able to finish off their calling minutes. And then a certain percentages will not able to reload before the end of validity thus forfeited their credits(Calling cards with super duper calling rates but expired within 3/6 months anyone ?)
Invisible photocopier @work
There's lots of ebook on Google book
There's even more somewhere in China and other countries circulated thru underground channels
It takes 3 years for someone to become pro in a certain topic
There's even more somewhere in China and other countries circulated thru underground channels
It takes 3 years for someone to become pro in a certain topic
Friday, November 14, 2008
Brand alliances
via http://www.btimes.com.my/Current_News/BTIMES/articles/Online_dating_for_brands20081031011301/Article/
WHAT do United Airlines and Starbucks coffee have in common? Take one of United’s US flights and you’ll find out.
On every domestic flight, you’re no longer served coffee. You’re served Starbucks coffee. In fact, the deal between the two companies requires flight attendants to say “Starbucks Coffee” when offering in-flight beverages.
What we’re seeing is the trend toward brand alliances. Brands that are mutually complementary team up with each other and with their partners’ brand missions. A quick look at several major US supermarkets reveals they offer Starbucks coffee. Starbucks cafés are situated in the stores.
Starbucks analysed its traffic flow and concluded people are in the mood for a cup of something while waiting around.
Successfully selling coffee to such customers optimises revenue flow for both the coffee chain and host establishments. Thus, brand alliances are born that benefit both the consumer and the bottom line.
Brand alliances are already in Malaysia, take Borders bookshop stores, for example. Each one of them has a Starbucks within their premises, reinforcing their strong brand values to the book loving patron who gets to enjoy Starbucks coffee with that favourite author. Until recently, low cost airline AirAsia had a “marriage” with global football giant Manchester United, another clear example of a marriage of brands.
During this cross-branding period, AirAsia passengers were able to purchase Manchester United paraphernalia such as jerseys, caps and other souvenirs during flight.
What’s this got to do with online branding? Brand alliances, as we know them, are in the midst of an interesting change. Some years ago, most brand builders would have been aghast at the thought of their brands being seen alongside other brands.
Brands should be perceived in exclusivity, they believed. That theory is no longer applicable. It’s impossible to be the best in each and every way. That’s why complementary companies need each other. Brand builders must identify the best companies within fields/disciplines/product categories that are complementary to their own and team up with them.
The potential for creative thinking in this type of cooperative brand building is massive. Key to its success is to ensure the values and brand propositions of potential brand alliance partners bear clear, relevant relationships with each other.
Australia’s national airline, Qantas, built a brand alliance with Hertz. Through it, the airline secures a referral fee and ostensibly offers customers an enhanced service. The World Health Organisation (WHO) teamed with British Airways to collect money for its cause.
Be prepared to see some innovative and interesting brand combinations in the future. Expect to see the trend mirrored online. The strategy ensures consumers are exposed to favoured brands in new contexts, their product knowledge expands and their brand use becomes more versatile.
Think through every aspect of your brand’s use. Determine how to fit your customers’ current product utilisation into new contexts. If you sell flowers, team up with a vase manufacturer, teddy bear supplier or balloon merchant.
If you sell computers, get together with an education provider and offer educational programmes to help customers learn more about their computers. Think intuitively. What makes sense to your customers? Identify a potential use area for your brand, select a brand whose values marry well with your brands and propose a branding partnership.
Brand alliances are set to become a dominant marketing approach. Brand alliances are cheap and effective and work in the mutual interests of brands and their customers.
A well structured, sensibly conceived brand alliance won’t dilute your brand. Be clear about what your brand stands for and what your partner brand’s values are. With a logical and meaningful relationship between the values of each partner brand, consumers will find cooperative promotions informative, expanding and useful.
Walk yourself through your customers’ experiences. Identify product categories they select; identify brands that represent those categories; then compare your brand’s values and proposition with those of likely partner brands.
The number of unallied, interesting brands is diminishing as the brand alliance game continues. Quick! Partner up before the number of potential partners shrinks, and with it, your revenue.
Comments ：Come to think of CIMB credit card promotion of BMW(MY), Brands chicken essence and Popular Bookstore(SG)
WHAT do United Airlines and Starbucks coffee have in common? Take one of United’s US flights and you’ll find out.
On every domestic flight, you’re no longer served coffee. You’re served Starbucks coffee. In fact, the deal between the two companies requires flight attendants to say “Starbucks Coffee” when offering in-flight beverages.
What we’re seeing is the trend toward brand alliances. Brands that are mutually complementary team up with each other and with their partners’ brand missions. A quick look at several major US supermarkets reveals they offer Starbucks coffee. Starbucks cafés are situated in the stores.
Starbucks analysed its traffic flow and concluded people are in the mood for a cup of something while waiting around.
Successfully selling coffee to such customers optimises revenue flow for both the coffee chain and host establishments. Thus, brand alliances are born that benefit both the consumer and the bottom line.
Brand alliances are already in Malaysia, take Borders bookshop stores, for example. Each one of them has a Starbucks within their premises, reinforcing their strong brand values to the book loving patron who gets to enjoy Starbucks coffee with that favourite author. Until recently, low cost airline AirAsia had a “marriage” with global football giant Manchester United, another clear example of a marriage of brands.
During this cross-branding period, AirAsia passengers were able to purchase Manchester United paraphernalia such as jerseys, caps and other souvenirs during flight.
What’s this got to do with online branding? Brand alliances, as we know them, are in the midst of an interesting change. Some years ago, most brand builders would have been aghast at the thought of their brands being seen alongside other brands.
Brands should be perceived in exclusivity, they believed. That theory is no longer applicable. It’s impossible to be the best in each and every way. That’s why complementary companies need each other. Brand builders must identify the best companies within fields/disciplines/product categories that are complementary to their own and team up with them.
The potential for creative thinking in this type of cooperative brand building is massive. Key to its success is to ensure the values and brand propositions of potential brand alliance partners bear clear, relevant relationships with each other.
Australia’s national airline, Qantas, built a brand alliance with Hertz. Through it, the airline secures a referral fee and ostensibly offers customers an enhanced service. The World Health Organisation (WHO) teamed with British Airways to collect money for its cause.
Be prepared to see some innovative and interesting brand combinations in the future. Expect to see the trend mirrored online. The strategy ensures consumers are exposed to favoured brands in new contexts, their product knowledge expands and their brand use becomes more versatile.
Think through every aspect of your brand’s use. Determine how to fit your customers’ current product utilisation into new contexts. If you sell flowers, team up with a vase manufacturer, teddy bear supplier or balloon merchant.
If you sell computers, get together with an education provider and offer educational programmes to help customers learn more about their computers. Think intuitively. What makes sense to your customers? Identify a potential use area for your brand, select a brand whose values marry well with your brands and propose a branding partnership.
Brand alliances are set to become a dominant marketing approach. Brand alliances are cheap and effective and work in the mutual interests of brands and their customers.
A well structured, sensibly conceived brand alliance won’t dilute your brand. Be clear about what your brand stands for and what your partner brand’s values are. With a logical and meaningful relationship between the values of each partner brand, consumers will find cooperative promotions informative, expanding and useful.
Walk yourself through your customers’ experiences. Identify product categories they select; identify brands that represent those categories; then compare your brand’s values and proposition with those of likely partner brands.
The number of unallied, interesting brands is diminishing as the brand alliance game continues. Quick! Partner up before the number of potential partners shrinks, and with it, your revenue.
Comments ：Come to think of CIMB credit card promotion of BMW(MY), Brands chicken essence and Popular Bookstore(SG)
Sunday, November 9, 2008
Kepner-Tregoe
via http://www.valuebasedmanagement.net/methods_kepner-tregoe_matrix.html
The Kepner-Tregoe Matrix is a special, well-orchestrated, synchronized and documented Root Cause analysis and decision-making method.
It is a conscious, step-by-step approach for systematically solving problems, making good decisions, and analyzing potential risks and opportunities. It helps you maximize critical thinking skills, systematically organize and prioritize information, set objectives, evaluate alternatives, and analyze impact.
Kepner-Tregoe describes the following steps to approach decision analysis:
1. Prepare a decision statement having both an action and a result component
2. Establish strategic requirements (Musts), operational objectives (Wants), and restraints (Limits)
3. Rank objectives and assign relative weights
4. Generate alternatives
5. Assign a relative score for each alternative on an objective-by-objective basis
6. Calculate weighted score for each alternative and identify top two or three
7. List adverse consequences for each top alternative and evaluate probability (high, medium, low) and severity (high, medium, low)
8. Make a final, single choice between top alternatives
The Kepner-Tregoe Matrix is a special, well-orchestrated, synchronized and documented Root Cause analysis and decision-making method.
It is a conscious, step-by-step approach for systematically solving problems, making good decisions, and analyzing potential risks and opportunities. It helps you maximize critical thinking skills, systematically organize and prioritize information, set objectives, evaluate alternatives, and analyze impact.
Kepner-Tregoe describes the following steps to approach decision analysis:
1. Prepare a decision statement having both an action and a result component
2. Establish strategic requirements (Musts), operational objectives (Wants), and restraints (Limits)
3. Rank objectives and assign relative weights
4. Generate alternatives
5. Assign a relative score for each alternative on an objective-by-objective basis
6. Calculate weighted score for each alternative and identify top two or three
7. List adverse consequences for each top alternative and evaluate probability (high, medium, low) and severity (high, medium, low)
8. Make a final, single choice between top alternatives
Six Thinking Hats
via http://www.mindtools.com/pages/article/newTED_07.htm
Each "Thinking Hat" is a different style of thinking. These are explained below:
White Hat:
With this thinking hat, you focus on the data available. Look at the information you have, and see what you can learn from it. Look for gaps in your knowledge, and either try to fill them or take account of them.
This is where you analyze past trends, and try to extrapolate from historical data.
Red Hat:
Wearing the red hat, you look at the decision using intuition, gut reaction, and emotion. Also try to think how other people will react emotionally, and try to understand the intuitive responses of people who do not fully know your reasoning.
Black Hat:
When using black hat thinking, look at things pessimistically, cautiously and defensively. Try to see why ideas and approaches might not work. This is important because it highlights the weak points in a plan or course of action. It allows you to eliminate them, alter your approach, or prepare contingency plans to counter problems that arise.
Black Hat thinking helps to make your plans tougher and more resilient. It can also help you to spot fatal flaws and risks before you embark on a course of action. Black Hat thinking is one of the real benefits of this technique, as many successful people get so used to thinking positively that often they cannot see problems in advance, leaving them under-prepared for difficulties.
Yellow Hat:
The yellow hat helps you to think positively. It is the optimistic viewpoint that helps you to see all the benefits of the decision and the value in it, and spot the opportunities that arise from it. Yellow Hat thinking helps you to keep going when everything looks gloomy and difficult.
Green Hat:
The Green Hat stands for creativity. This is where you can develop creative solutions to a problem. It is a freewheeling way of thinking, in which there is little criticism of ideas. A whole range of creativity tools can help you here.
Blue Hat:
The Blue Hat stands for process control. This is the hat worn by people chairing meetings. When running into difficulties because ideas are running dry, they may direct activity into Green Hat thinking. When contingency plans are needed, they will ask for Black Hat thinking, and so on.
You can use Six Thinking Hats in meetings or on your own. In meetings it has the benefit of defusing the disagreements that can happen when people with different thinking styles discuss the same problem.
A similar approach is to look at problems from the point of view of different professionals (e.g. doctors, architects, sales directors) or different customers.
Example:
The directors of a property company are looking at whether they should construct a new office building. The economy is doing well, and the amount of vacant office space is reducing sharply. As part of their decision they decide to use the 6 Thinking Hats technique during a planning meeting.
Looking at the problem with the White Hat, they analyze the data they have. They examine the trend in vacant office space, which shows a sharp reduction. They anticipate that by the time the office block would be completed, that there will be a severe shortage of office space. Current government projections show steady economic growth for at least the construction period.
With Red Hat thinking, some of the directors think the proposed building looks quite ugly. While it would be highly cost-effective, they worry that people would not like to work in it.
When they think with the Black Hat, they worry that government projections may be wrong. The economy may be about to enter a 'cyclical downturn', in which case the office building may be empty for a long time.
If the building is not attractive, then companies will choose to work in another better-looking building at the same rent.
With the Yellow Hat, however, if the economy holds up and their projections are correct, the company stands to make a great deal of money.
If they are lucky, maybe they could sell the building before the next downturn, or rent to tenants on long-term leases that will last through any recession.
With Green Hat thinking they consider whether they should change the design to make the building more pleasant. Perhaps they could build prestige offices that people would want to rent in any economic climate. Alternatively, maybe they should invest the money in the short term to buy up property at a low cost when a recession comes.
The Blue Hat has been used by the meeting's Chair to move between the different thinking styles. He or she may have needed to keep other members of the team from switching styles, or from criticizing other peoples' points.
Key points:
Six Thinking Hats is a good technique for looking at the effects of a decision from a number of different points of view.
It allows necessary emotion and skepticism to be brought into what would otherwise be purely rational decisions. It opens up the opportunity for creativity within Decision Making. It also helps, for example, persistently pessimistic people to be positive and creative.
Plans developed using the '6 Thinking Hats' technique are sounder and more resilient than would otherwise be the case. This technique may also help you to avoid public relations mistakes, and spot good reasons not to follow a course of action, before you have committed to it.
Comments : It does work but require more than colours. To be exact, giving definitions to the issues that need to be discussed
Each "Thinking Hat" is a different style of thinking. These are explained below:
White Hat:
With this thinking hat, you focus on the data available. Look at the information you have, and see what you can learn from it. Look for gaps in your knowledge, and either try to fill them or take account of them.
This is where you analyze past trends, and try to extrapolate from historical data.
Red Hat:
Wearing the red hat, you look at the decision using intuition, gut reaction, and emotion. Also try to think how other people will react emotionally, and try to understand the intuitive responses of people who do not fully know your reasoning.
Black Hat:
When using black hat thinking, look at things pessimistically, cautiously and defensively. Try to see why ideas and approaches might not work. This is important because it highlights the weak points in a plan or course of action. It allows you to eliminate them, alter your approach, or prepare contingency plans to counter problems that arise.
Black Hat thinking helps to make your plans tougher and more resilient. It can also help you to spot fatal flaws and risks before you embark on a course of action. Black Hat thinking is one of the real benefits of this technique, as many successful people get so used to thinking positively that often they cannot see problems in advance, leaving them under-prepared for difficulties.
Yellow Hat:
The yellow hat helps you to think positively. It is the optimistic viewpoint that helps you to see all the benefits of the decision and the value in it, and spot the opportunities that arise from it. Yellow Hat thinking helps you to keep going when everything looks gloomy and difficult.
Green Hat:
The Green Hat stands for creativity. This is where you can develop creative solutions to a problem. It is a freewheeling way of thinking, in which there is little criticism of ideas. A whole range of creativity tools can help you here.
Blue Hat:
The Blue Hat stands for process control. This is the hat worn by people chairing meetings. When running into difficulties because ideas are running dry, they may direct activity into Green Hat thinking. When contingency plans are needed, they will ask for Black Hat thinking, and so on.
You can use Six Thinking Hats in meetings or on your own. In meetings it has the benefit of defusing the disagreements that can happen when people with different thinking styles discuss the same problem.
A similar approach is to look at problems from the point of view of different professionals (e.g. doctors, architects, sales directors) or different customers.
Example:
The directors of a property company are looking at whether they should construct a new office building. The economy is doing well, and the amount of vacant office space is reducing sharply. As part of their decision they decide to use the 6 Thinking Hats technique during a planning meeting.
Looking at the problem with the White Hat, they analyze the data they have. They examine the trend in vacant office space, which shows a sharp reduction. They anticipate that by the time the office block would be completed, that there will be a severe shortage of office space. Current government projections show steady economic growth for at least the construction period.
With Red Hat thinking, some of the directors think the proposed building looks quite ugly. While it would be highly cost-effective, they worry that people would not like to work in it.
When they think with the Black Hat, they worry that government projections may be wrong. The economy may be about to enter a 'cyclical downturn', in which case the office building may be empty for a long time.
If the building is not attractive, then companies will choose to work in another better-looking building at the same rent.
With the Yellow Hat, however, if the economy holds up and their projections are correct, the company stands to make a great deal of money.
If they are lucky, maybe they could sell the building before the next downturn, or rent to tenants on long-term leases that will last through any recession.
With Green Hat thinking they consider whether they should change the design to make the building more pleasant. Perhaps they could build prestige offices that people would want to rent in any economic climate. Alternatively, maybe they should invest the money in the short term to buy up property at a low cost when a recession comes.
The Blue Hat has been used by the meeting's Chair to move between the different thinking styles. He or she may have needed to keep other members of the team from switching styles, or from criticizing other peoples' points.
Key points:
Six Thinking Hats is a good technique for looking at the effects of a decision from a number of different points of view.
It allows necessary emotion and skepticism to be brought into what would otherwise be purely rational decisions. It opens up the opportunity for creativity within Decision Making. It also helps, for example, persistently pessimistic people to be positive and creative.
Plans developed using the '6 Thinking Hats' technique are sounder and more resilient than would otherwise be the case. This technique may also help you to avoid public relations mistakes, and spot good reasons not to follow a course of action, before you have committed to it.
Comments : It does work but require more than colours. To be exact, giving definitions to the issues that need to be discussed
Thursday, October 30, 2008
the age of turbulence
after reading these books
the black swan
mean markets and lizard brains
Deflation: How to Survive & Thrive in the Coming Wave of Deflation
+many other blogs and sources
markets will react differently when it is during transition to deflation, during deflation and during inflation. How long will the phase lasts? It depends on chance("the black swan"), how market participants react to them(behavioural finance and "mean markets and lizard brains") and government interventions. Read up on trend movers and market moves. Certain industries who were disadvantaged during transition to deflation will be benefiter when the transition is completed.For example, specific financial industries("Deflation: How to Survive & Thrive in the Coming Wave of Deflation")
the black swan
mean markets and lizard brains
Deflation: How to Survive & Thrive in the Coming Wave of Deflation
+many other blogs and sources
markets will react differently when it is during transition to deflation, during deflation and during inflation. How long will the phase lasts? It depends on chance("the black swan"), how market participants react to them(behavioural finance and "mean markets and lizard brains") and government interventions. Read up on trend movers and market moves. Certain industries who were disadvantaged during transition to deflation will be benefiter when the transition is completed.For example, specific financial industries("Deflation: How to Survive & Thrive in the Coming Wave of Deflation")
Friday, October 17, 2008
Free educational institutions email, high interest bank account
Google and Microsoft marketing email hosting services to educational institutions at no cost
OCBC providing high interest account for newborns...
These companies are willing to forgo potential present revenue because they believe that by making the user familiar with their product while in academia they insure future revenue in perpetuity. This is a common practice for technology providers as evidenced by the "educational discounts" available for both computer software and hardware available in the campus store and elsewhere.
source: https://confluence.cornell.edu/display/SPPS/Overview
OCBC providing high interest account for newborns...
These companies are willing to forgo potential present revenue because they believe that by making the user familiar with their product while in academia they insure future revenue in perpetuity. This is a common practice for technology providers as evidenced by the "educational discounts" available for both computer software and hardware available in the campus store and elsewhere.
source: https://confluence.cornell.edu/display/SPPS/Overview
Wednesday, October 15, 2008
Power of branding
Q: How does a Web kit based browser became instant success overnight?
A: add "Google" to it
E: endorsed by many thousands. Not Opera, Flock, Konqueror or any other
A: add "Google" to it
E: endorsed by many thousands. Not Opera, Flock, Konqueror or any other
Monday, October 6, 2008
low yat plaza landmark mall sim lim tower and coming soon Mines Shopping Fair
What do all these four have in common?
They are being positioned as IT lifestyle malls
Some succeeded, some failed miserably
They have one thing in common though, their locations
For more information, please use any online maps and you shall find out their whereabout
They are being positioned as IT lifestyle malls
Some succeeded, some failed miserably
They have one thing in common though, their locations
For more information, please use any online maps and you shall find out their whereabout
Sunday, September 7, 2008
The Only Question That Count for VC
taking cue from The Only Three Questions That Count by Ken Fisher, the most important question to ask before a VC decides whether to invest a company is : How do you monetize it? (kudos to the one who mentioned it to me =) )
Wednesday, August 13, 2008
Believe what they do, not what they preach
We are looking at this part of the region very closely ... at businesses with international exposure.
"We definitely like energy and resource-based sectors and we also like consumer and retail because these sectors reflect the growing affluence of the population and the growing economic base...
BTimes, 13th August 2008
"We definitely like energy and resource-based sectors and we also like consumer and retail because these sectors reflect the growing affluence of the population and the growing economic base...
BTimes, 13th August 2008
Wednesday, August 6, 2008
Invest because of China, but not in China
"Invest because of China, but not in China" Cho Yan Chiu, Hong Kong Economic Journal
envision the vast opportunities created as a result of billions of middle class' demands and consumptions in China and its implications
envision the vast opportunities created as a result of billions of middle class' demands and consumptions in China and its implications
Monday, August 4, 2008
VC funding - Comparisons btw Singapore and Malaysia
originally posted at
http://bleongcw.typepad.com/simple_is_the_reason_of_m/2008/07/barcamp-malaysi.html
http://bleongcw.typepad.com/simple_is_the_reason_of_m/2008/07/barcamp-malaysi.html
To make this discussion really interesting, I still draw out the three sections of "Invest", "Value" and "Fund" and broke it between Malaysia and Singapore, so that I can sketch out some notes from the discussion. Of course, since I am here to learn more about the Malaysian venture funding for technology companies, I started off with asking William questions about various funding schemes available and the features of funding in Malaysia, then supplement the significant differences between both countries. Of course, the same discussion extends to seeking the funding sources and finally the valuation of the companies. Of course, together with feedback from the floor helps to mold the discussion that can be of value to everyone. Here are some of the interesting points of discussion:
- The nature of funding for technology start-ups: First of all, the funding situation in Malaysia is slightly different from Singapore. In Malaysia, there are designated funds for the ICT entrepreneurs namely, (i) Cradle Investment Program, (ii) MIRC - MCA ICT Resource Centre and (iii) MDEC Technopreneur Pre Seed Fund. The range is from RM$50K to RM$150K. A good summary of these funds can be found in this blog. It is pointed out that these funds except for (iii) are on reimbursement basis. In fact, it is difficult to get access to the funds with only the ideas. While the nature of the micro-financing fund run by IDM office (MDA, Singapore) together with the business incubators (for example, Thymos Capital LLP which I am part of) is focussed on turning ideas to prototypes, the direct disbursement of funding to the entrepreneur gives us a different perspective from our Malaysian counterparts. The interesting note is that in Malaysia, funds can be easily accessed through networks where the entrepreneurs have access to prominent Chinese businessmen. One interesting thing about the Malaysian funds is that they used the physical infrastructure from CyberJaya to support the ICT entrepreneurs. For Singapore, the upcoming Fusionopolis will have incubator for the entrepreneurs to seed ideas as well.
- Criteria for investment: Venture capitalists from both countries share very similar sentiments about funding a company. The Malaysian investors preferred companies which are profitable, pegged with a good team but with the additional notion that the entrepreneurs are also good at selling. I don't think the Singaporean side defers that much except that in most of my encounters with the venture capitalists, the profit margins & business models are extremely important. In fact, contrary to the opinions of developers and technologists that an idea is worth a million dollars, investors from both countries thinks that the execution of the team for the business is more important. As I put it later after the discussion to a group of young Malaysian entrepreneurs, I prefer less talented entrepreneurs with good execution and passion to complete a project than talented entrepreneurs with a bad dose of not meeting deadlines and poor execution.
- The mindset for seeking funds past and present: I thought that one investor from the audience made a very good point about the past and present views of young entrepreneurs about venture funding. I have encountered similar comments from older private investors in Singapore, but this investor made a very astute observation about the difference in attitudes between young and older entrepreneurs. Perhaps, two to three decades back, an entrepreneur will seek funding from their family, gathering funds from their parents and relatives, and then go all the way with the notion that they must succeed. Today, the younger entrepreneur do not seek funding from family but from external sources and put it in a way that they are less liable if they screw up. It is almost like the investors bearing the risk. In some sense, this is attributed to the rising affluence for the well-educated people in countries. In fact, I press the argument that the ways of seeking financing in Silicon Valley do not work in southeast Asia, and talking to a few investors in Malaysia reinforced my point, even the more established foreign venture capitalists who prefer to go for companies looking for growth financing rather than something innovative that can change the world.
- Rapid strategies for start-up growth: Young entrepreneurs can be talented and driven, but they don't think hard enough to ensure a positive cashflow. In fact, a more experienced entrepreneur will attempt to find ways of raising capital that is outside the traditional venture capital format. I have been talking about finding ways to list companies in places like AIM which is more commonly used in the West. Of course, a lot of entrepreneurs I have encountered have no idea of how to transition the start-up into a growth stage company or even make attempts to acquire or merge with their competitors. Both investors from Singapore and Malaysia lamented that the entrepreneurs only think about their domestic markets but not further out. I find this quite ironic but I think that expanding the horizon of entrepreneurs in southeast Asia is important for a robust entrepreneurial scene to grow.
Books prices and marketing strategies in Singapore bookstores
originally posted at
http://practicallife.wordpress.com/2008/07/24/books-prices-and-marketing-strategies-in-singapore-bookstores/
http://practicallife.wordpress.com/2008/07/24/books-prices-and-marketing-strategies-in-singapore-bookstores/
I have been observing prices on two largest chain of bookstores in Singapore - Borders and Kinokuniya. Read more to find out what I have found.
Borders
Borders in singapore once achieved the most profitable store by area size in the world. It generated more revenue dollars per square meter or square feet than any other stores. I personally like Borders as they have a large store and allows most of the books to be browsed.
While some people do try to exploit the goodwill e.g. stacking many books and read them at one corners for hours or whole day long, it provides many genuine customers an opportunity to read and evaluate if they want to buy the book. Sadly, recently, they started to wrap some of the books but this is still quite minimal compared overall numbers of books.
It also concentrates on English books and no Chinese or Japanese books are on sight.
For many years, Borders did not have any discount or membership cards. Last year, they launched Borders Preferred card. The card holder is entitled to have 10% further discount from book price or after any ongoing store discount. This is pretty unique.
It entices customers to come to their stores. Almost every month, an email would be sent with a e-coupon for a big discount on purchase of one book. Yesterday, I just bought 1 book with 25% discount voucher and additional 10% with the card. I also bought two more books at a normal discount (see how it works to attract customers with big discount of one item and customer tends to purchase more?)
Kinokuniya
It has the largest bookstore in Singapore by area and located in Ngee Ann City (Takashimaya). Many o fthe books are wrapped so one can’t really browse the content to evaluate. Larger and more complete collections are offered here ranging from non-English books to less popular interest.
Kinokuniya has a long-running membership program that entitles the members to have 10% discount of normal book prices or 20% during certain promotion period (over the weekend usually). The books they have is more complete while borders usually stock 1-3 copies and stop selling if it has slow turnaround time.
Facts
Book prices in Singapore from those two bookstores are excessively expensive. A book that sells for US$ 29.90 (~ S$ 42) would be listed at S$ 60.00. This mean most of the books are have 50% over their RRP in the US. Compare this with Amazon price, you’ll know that even the RRP is already high. Amazon never sells at RRP, simply because RRP (Recommended Retail Price) already have a significant margin included for bookstores to make money.
Typically, a book can provide at least up to 30% margin for the retailers. So in this case, the bookstores grossly increased the price by 80% to Singapore local price. It can even be higher margin if the publisher provide a special or higher discount for the retailers for buying in bulk.
Now, provided that the bookstores provide 10% discount, they store still earn at least 70% in gross profit margin. I would believe they earned a hefty amount of money even after substracting all operating expenses. No wonder Borders in Singapore can achieve the most profitable store in this small-population country.
So the next time you buy books even with 35% discount, think that you may be still contributing 50% of your book to the bookstore. It is a good deal but not a great deal.
One may argue that buying from Amazon is cheaper but become more expensive when added with shipping cost. True, but I still feel that companies should maintain a reasonable profit margin and no higher than that. Obviously reasonable could be different from consumer and seller point of view.
Wednesday, July 30, 2008
Temasek Gets Sweet Deal As Merrill Raises Capital; Temasek among bidders for German shipping group Hapag Lloyd
It is clear that Singapore is making inroads in financial industry. Marina Bay Financial Centre + stakes in world’s top investment banks = ?
I am single and available =)
Imagine a site where user are able to upload their avatars(icons/pictures to represent themselves at online forums) and transform them into something which acknowledge them as single and available?
Tuesday, June 3, 2008
Structural change in palm oil demand
Palm oil today is found in a variety of food and beverages produced by multinationals. After the banning of usage of trans fat by FDA about a year ago, US imports of palm oil soared. Today palm oil is everywhere, from biscuits, cosmetics, herbicides, to soaps. You can obtain latest information about palm oil development thru Malaysian Palm Oil Board's web site and newsletter.You can also keep abreast of latest news on palm oil thru Google News here.
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