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Archive for the 'business' Category

The Importance of Competitive Advantage

Friday, February 14th, 2020

幸运飞艇滚雪球计算器As an otherwise idle MBA (Master of Business Administration) there are a lot of times where I hear business plans and see business ventures that make me wonder whether the people involved actually understand the idea of going into business. Most businesses fail. But most businesses fail because they don’t have a business plan or a marketing plan. And I’d add that they need to keep these as Live Documents (continually amended in real time to reflect the changing business environment).

幸运飞艇滚雪球计算器Boring stuff, I know. Who really wants to spend all that time and effort running a business with paperwork. Live documents, phooey. I hear you. My answer… well, a business that wants to compete, survive and prosper. Otherwise, you’re correct… what a waste of energy.

One step in that direction for a business is to sit down and seriously ask yourself what your product/service offers customers. I mean, what does it really offer them above your competitors? What is your Competitive Advantage? Why you and your product/service, instead of your competitor?

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Advice on being in the Business of Making Beer

幸运飞艇滚雪球计算器Monday, October 7th, 2019

In a recent Facebook post on a local independent craft brewery website there was content about a certain beer style that I really love. A style they produce and sell in bottles. So I commented and asked for information about where to buy their bottles. Two weeks later you can still hear the crickets.

Yes, it made my expensive fancy MBA sigh. Businesses often disappoint me for getting the easy things completely wrong.

The sad truth, whatever the product or service, is that running a business is entirely unlike what the business does for a living. Being a great beer maker doesn’t mean you’re a great business person. It doesn’t make you a financial wizard, a marketing magician or a strategy guru. You make great beer. Nothing more, nothing less.

And in a fair and just universe that would be enough. Right? You make the greatest beer of anybody and the people come to pay you for the privilege of imbibing the nectar from your fermentation tanks.

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Australia Needs an Honest Conversation about Unemployment & the Economy

Wednesday, August 7th, 2019

Every so often I want to pull out my eyeballs and throw them at the media. No, at society. At a society that demonises unemployment as a personal failure, but at the same time does not understand the structural integrity of the economy being underpinned by a need for job scarcity. Australia demands about 5 per cent of our labour market must be unemployed in any given week at a participation rate currently around 66 per cent. And government will take measures to ensure that happens. But nobody is having that conversation outside economics. Certainly not in politics.

The Scarcity of Labour and Inflation

Enter the economic concepts of the Full Employment Rate of Unemployment and the non-accelerating inflation rate of unemployment (NAIRU). In short, employment and inflation are linked. And inflation is controlled using the scarcity of labour (aka jobs). In that relationship we choose a full employment rate of unemployment to be around 5 per cent; this calculates to approximately 700,000 job seeking Australians that we would rather, as an economy, weren’t able to get a job in the given fortnight.

Here’s the idea in a nutshell. If too many people get work then the scarcity of labour falls to a point that recruiters would need to offer higher wages to attract employees. The market power would be in the hands of the workers. This means the companies would have to charge more for their products and services to cover those higher wages. In turn, the rising cost of products and services to those workers increases and they would demand higher wages as their standard of living declined. Again, this leads to a spiral of price rises and resulting wage rises. Spiraling inflation.

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About the Author

Steven Clark

My name is Steven Clark (aka nortypig) and I live in Southern Tasmania. I have an MBA (Specialisation) and a Bachelor of Computing from the University of Tasmania. I'm making pictures with film. A web developer for money. A business consultant for fun. A journalist on paper. Dreams of owning the World. Idea champion. Paradox. Life partner to Megan.

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