Peter’s Principle

Hey guys and gals this is a little experiment that I have been conducting for the past few years.  Personally, I really enjoy a good book.  Drucker, being one of my favorites, always has these incredible ideas about how to go about things so I thought I would create a paper trail for the journey that lays ahead.
Through Peter’s Principles I will be testing different strategies from Peter’s in the world. From Diamandis to Drucker to Pablo, I plan to be waving it like a helicopter.
First stop.  Entrepreneurship with Peter Drucker.  Begin, Creative Imitation, a strategy used by the elite of the elite.
“Creative Imitation understands what the innovation represents better than the people who made it and who innovated.”
The imitators have insider knowledge about how the innovation can be applied in a way that the original creators did not.
IBM and PG are the originators of the strategy starting with the computer that ENIAC made that was much better than the one that IBM had originially designed.  They repeated with the personal computer and copying off Apple.  They knew that it was uneconomical to make the PC but when ahead anyway and reaped the rewards of the bold.
So, the imitators know something that the creators do not. They saw a change that could be taken advantage of, possibly at a later time than the creators, which would be a better application of the technology than originally designed.
Matterport originally thought that it was meant for the real estate agents, contractors, and builders.  But, with the recent up dates, google street / mattertags, you can now cater to the small business owners by listing their property on google maps with a “virtual” store that they can use to “get their foot in the door” and for the users to fill their shopping cart to the brim.
Can also be used to create virtual reality art.  Scenes or views that are only visible from certain perspectives and how the light shines. Example: CCE — the little preview before a movie about a company that helps produce movies and entertainment.
Remember Seiko Watches.  They challenged the Swiss by bringing something the Swiss thought to be too much class to the mass. “By the time the Swiss had woken up, it was too late.  Seiko watches had become the world’s best sellers, with the Swiss almost pushed out of the market.  When something changes, anywhere or anything, an umbrella is opened.  The race has begun between the two horses.  Now, it is up to the riders to find the course of least resistance which will allow their vision to become the reality.  Sometimes they will do well, but the tortoise will find a way on the home stretch.  Thus, it is essential to keep your eyes looking ahead, all the while “staying greedy to new things” as a way of day to day activities.
Creative imitation is aimed at market dominance.
It is much better to be a big fish in a small pond than a shiner in the sea.

Systems Experimentalist: Fogg

 

Today, ladys and gents, it is Friday, May 19th, of 2017.  And what a beautiful day it is.

 

We will be experimenting with many different facets in the lab on this lovely Friday.

 

We shall start with testing the pricing model of this current venture with something that the industry has not yet seen, a subscription based model instead of a front-end purchase.

 

Normally, people pay hundreds of dollars for the service I am offering and then use it for the time that they need.  Yet, I have had very little traction to motivate people to spend these said hundred dollars.  Smart, they are young padawan!

Scarcity, pride, love, duty, the motivators I have found from Collier and Cialdini have not had the bump they need.  So, a new tactic will be implemented from Mr. BJ Fogg.

The man himself teaches us about behavioral economics.  A fun new field on why we do the things we do.

Quick summary of what BJ has to say, There are three pieces to behavior.  First, we have the trigger.  It is raining outside so I might need an umbrella. Next, we have the motivation.  Wow… it is raining really really hard so I definitely need an umbrella. Finally, we have the ability.  Damn, my awesome samurai sword looking umbrella is in the trunk of my car.. which is four blocks down the street from the gym.. looks like I am going to get a relaxing cold water shower on Nature’s bill today. Lucky me!

So, now that we understand the core of what BJ has found; trigger, motivation, ability. We can now move on to how I plan to experiment with it in my current venture.  As mentioned earlier, people normally pay up front for this service, about $400 per activity. But, I, being the rebellious chanticleer that I am, believe this is not the best way to win people over.  So, I am going to introduce a monthly payment plan at just $25 per month. Once, they are done with the service they can cancel that plan and they are done.  If they only need it for one month great, $25 for you, four months would be $100.  No matter what, they are receiving the service at a huge discount, through a new supply chain.. that being the payment system.  Which is creating clusters from an innovative new product and service.

I digress into other theories.  By increasing the ability, cutting the cost, I believe that people will be more inclined to give this new technology a shot.  Needing help to reach more customers, increase visibility, and the likelihood that consumers will use their company instead of the competition will be the trigger.  Which both tie into the motivation, that they want their business to be booming and not have to spend much money doing so.

I will get into more of the latter stuff, what Michael Porter calls “Customer Shared Value,” in a later post. I plan to dig into what Porter has to brought to the table and how it could help you to tweak your own systems.  It is a paradigm that I have been seeing the world through since I first learned about it, and Drucker spoke of it so many years ago yet it went unheard. This CSV is a way to truly differentiate what it is that you do for society versus the nonsense idea of Corporate Social Responsibility, or CSR.

Bake your love into your business, CSV.  Don’t toss a few cookies in your lovers way like CSR proposes.

Cheers to you all Ladys and Gents!

Much love.

 

Systems Experimentalist

This is a post about lean theory using “Running Lean” as a playbook in the day to day operations.  Below is one of many hypothesis being tested.  A Systems Experimentalist at work.

De-risking the competition.

Hypothesis:

24 guarantee or it is free as the UVP.  This will encourage buyers to go ahead and spend the money, and then hope that it is not delivered in 24 hours.  It is a win-win-lose, I win by getting the sale, they win by getting it for free, I lose by giving it away for free.
A hook has four pieces, Trigger,  Action, Reward, Investment
Update:
5/19/2017
The 24HR guarantee has not been as successful as one might have hoped.  However, life goes on my friends.
Do not let one misstep stop you from growing.
Move on with the experiments.
Long Live the Truth

Each Day

 

Each day is a problem, a challenge, for you to figure out.
Each day you solve those problems and allow the next to come up.   Each day you build synergy from the past problems.  Each day you solve bigger and harder problems.
Each day solutions are brought to you based off the questions you ask yourself.
Each day you are the determinant of your happiness.
Each day you have a choice.

Being A Leaf

Like a beam of light you were once all that I could see.

Without a moments past you are now leaving me.

The highs that you have once brought have been replaced with lows deeper than that of the sea.

Thank you for your love, for you have shown me what it truly means to be a part of this magnificent tree.