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How Money Plays Important Role in Your Success?

How Money Plays Important Role in Your Success?

This is Rajat from Startup Frat. Today I have a very special blog very different from the usual blog that we do when we talk about tips and techniques and you know Strategies and all for sales and marketing for growing your business. But today I have a different kind of content. I hope it resonates with you. If it doesn’t resonate with you, it will improve your understanding of the market guaranteed as usual. But there are a lot of chances you may not understand humans do not resonate with this content. This is not about any tips and tricks any strategies whatsoever. I just wanted to address some questions and all that I’ve been getting over the last 3-to 4 days. I just wanted to put things in perspective because our discussions may be going in a kind of a direction where I cannot support you.

So lots of people have sent me different questions saying, hey I have this kind of a business. What do I need to do this kind of business? What do I need to do to become successful? and those questions are very very welcome. I always respond to emails and I usually try to make videos or respond to your comments individually giving your certain tips and techniques. However, whether these tips or techniques, or strategies will work for you are not or in your industry or not. There is no guarantee. Whether your industry will survive in the next 5 years or 10 years or not. There is no guarantee. This is a very dynamic marketplace, what is going to work tomorrow? what is not going to work tomorrow? is very disbalance.

So, today I just want to help you to understand, how the market works? and how to align with respect to money? Before that I start with I will tell you two store in one story of myself. Many of you are new to the group and all that may not know the story but I studied very hard in my 11th and 12th I got a National level gold medal on the CBSE board for topping subjects and all of that. Then I found my way into India’s number two rank medical college MBBS. You know not the other streams of medicine but the allopathic stream. Now when I was inside my course, when I was learning, I just realize the basic principle of demand and supply. I am very thankful for you know to the superior power for giving me that brain. “Sad Buddhi” you know to understand that caused me to change my life.

You know life later, Which was that the government was re-strategizing. They were saying that there are way too less doctors in the economy so we need to create more doctors. How do we do that? So, they were bringing different streams of medicine on part with each other. Which is homeopathy, ayurvedic, and all the different scenes of medicine on each other. So, the supplier doctor basically increased overnight. This happened in 1998 day the year that I started my medical course.

So, suddenly there was an oversupply of doctors in the economy which made me feel I am not so special anymore. This is nothing to do with whether the policy is good or bad, whether there are different things of medicine one is the better one is not. None of that, All I am saying is that I thought I was special because I had cleared competitive exam across lacs of people to you know to get all India rank within the top 100 and get my seat in the number two rank medical college of India. Which is still today is the number two rank medical college in India. I suddenly realize that there is an oversupply of medical you know people with the same skill set into the economy.

Also, there was this person in my class, class 12th in school. Back in Delhi and this guy never got any good marks, he never studied, He never did anything extraordinary in terms of studies. Then he showed up in Pune which is where I was studying and he said I am doing MBBS and I am like, how are doing MBBS? Because the thing was these private medical colleges opening up where, If you have right kind of money, your father could pay for some you know 10 – 15 lacs. You know paid seats. This is also fair I think?

If you have money, should be able to buy whatever education you want. But I suddenly realize and you know what? I did this hard work in order to come here in order to be in an industry. Because it is considered exclusive and now, I am realizing that this industry is getting oversupply. So, if you are a doctor, lawyer, charted accountant, or architect. I don’t agree with me or not, today in 2022 which is 24 years after I had this realization. We are glutted. In India we are over-supplied. If you are a doctor, lawyer, charted accountant, the architect you will probably agree with this.

You don’t feel so special more because today we’ve glutted it with an oversupply of doctors, lawyers, charted accountants, architects, in fact, people who are doing MBA and all this is an oversupply of MBA colleges. Because anything that knows you the viral things in India so much faster. The virality of things in India is so much faster than in many other countries. So, anything that becomes the trend very suddenly you love. You know you connect your avenue when you have oversupply and I need to do something. How does the demand-supply situation work?

The supply of something is limited the price will go up. There is the fulcrum, there is price. Price will go up if supplies are limited. If the supply is higher for that particular industry for that particular business line or whatever it is, the price will automatically come down. That is a basic demand-supply equation. If you are in a business, I will happily give you marketing tips, tools, techniques, etc. I will respond to emails and all. Just remember one thing that you are missing in this whole game. Tips, tricks, and techniques will automatically not make you successful.

Success

They could make your relative success against people who do not upgrade themselves with time or do not invest in their own continuing education. But if you are in an industry where the supplies are glutted. There is no point being in that industry just because that in the industry you know that is the Industry that your parents have known, that is the business that is handed down to you from your previous generation, that is the degree that you have, that is the work experience you have, whatever the hell it is. It does not matter.

Now fast forward to my story, I made the changes in my career every seven to ten years. As soon as an industry became glutted or oversupplied, I moved out of that industry. These were all tough decisions and their tough decisions for you. I don’t want all of you to just start you know quitting your job and doing crazy things. But I am just saying, however you want to spend the next seven to ten years of your life. You are very cognizant of the demand-supply situation in that market. The demand-supply situation in that market. Now, what is the Startups Frat Mantra? What is the Mantra? You learn demand generation. So, once again like I said, you do need to learn demand generation.

Which is sales and marketing in creating a constant stream of customers for your product and service and absolutely we will help you out with tips and tricks and techniques and all that. You do need to master demand generation but this thing works the best in an under-supplied industry. Now there is a problem with undersupplied Industries that the opportunities in an under-supplied industry are not immediately apparent. So, you are faced with problems because the industry is in an infantile state the demand is not yet there. For the demand would be there tomorrow and that’s where the industrial under-supplied. The other thing is there are failures. The industry does not exist and you’re trying to create something that does not exist, but when you actually go through the failure and come out to the other side. You will be the only person supplying that industry. So, you will be the amazon or apple of the industry.

So, there are failures problems of failures. There is a lot of sweat and tears involved in reinventing yourself. But either you will reinvent yourself by choice or you will be four to reinvent yourself in a situation which will not feel very comfortable. You will let me say that you will be probably forced to invent reinvent yourself in a situation where you would prefer to have reinvented by choice. So, either you will do it on your own or you will wish you have done it on your own. So, that is pretty much the thing. Now let me give you a couple of examples, What are these problems and failures in industries that could be new, that could have the secret? The secret to 10X your income. 10x you know, quantum increments in your income. At least 3 times your income. Maybe 10 times your income in a couple of years.

Let us talk about Thomas Edison, Thomas Edison created this light bulb and always lights the whole planet today. He tried 10000 times and he failed 10000 times. And then people ask you fail 10000 times, He says no I just learn 10000 times not to invent the lightbulb. Then he finally succeeded you are the only player in that industry. The person who invented the motor was not trying to fight in the same values, not trying to build a faster horse. He or she doesn’t even know you whether he or she. But he or she will not try to build faster horses, they were trying to create something in an industry which needed faster locomotion but did not realize that they need faster locomotion. Now that does not mean you drop everything and start creating.

Trying to create a spaceship or something. Bring me to the story of the spaceship, Elon Musk. He failed 5 times in launching and re-landing the same spaceship. Because launch and re-land rocket or whatever. Then the cost of actually launching was doing because they don’t have to recreate the rocket every time. So, I want to launch and bring the thing back, so I can keep using it, and thus space flight becomes cheaper. Now he failed 5 times and he actually failed multiple times, because he was trying to build a rocket from scratch. He had no degree in that area, he had no experience in that area but he was trying to do it. The reason became a multi-millionaire in the industry, is he is already a multi-millionaire.

The reason people funded his company and today he has become you know multi-millionaire or whatever. Is because people invested in his failure. Thomas Alva Edison invested in his own failure and the people who have invested in Elon Musk’s failure especially Tesla and things like that. SpaceX, I think it’s his own funded company. But I am sure there are some other investors for sure. So why are people investing this kind of money in other people’s failures? If you see Shark Tank ok mark Cuban the richest of the Sharks. He has a net worth of 4 billion and he says, my target is to invest in at least 100 new ideas every year. Every time they ask these questions to the candidates, they ask them and say, what is your model? you know where are you feeling? and where can we help you? and all that their very critical about this business model. But at the end of the day when they put their money or they are not putting their money on the sure success. They are putting their money on failure.

Routinely when you see Shark Tank, when one shark says I want to put money, the other sharks are not even interested in that. They like Ok, I am not gonna touch this thing. Why? Because 1% thing that this failure is worth spending your time and money with. So, fortune will result only if you understand, what the market wants? However, the market needs but does not realize what it wants. Money will only come from embracing failure. There are no cool tips and trick techniques that will guarantee work for you. Show that the principles of marketing or the principal sales, the principle of entrepreneurship will stay the same throughout. But the biggest principle of entrepreneurship and sales and marketing is what? Is risk my friend? The risk of failure. Now in today’s market, we are not encumbered with the risk of losing money because it doesn’t take a lot of money to run a business, to build business today.

Laser Target Marketing

The risk of losing face today doesn’t take a lot of risk of losing face. If you do the right kind of marketing, which is laser target marketing. Which we teach in our academic programs. Nobody will come to know what you doing unless you want them to know. So, you can literally laser targeted like you know one of these American drone bombs. If you are you say go into that particular window from 3000 miles away you can target it to one particular window. So it’s like one of these hyper-targeted laser bombs. So that’s how you can laser target your marketing. Nobody will come to know what you’re doing. The risk of losing face is zero. The risk of losing money is zero. But the risk of failure is the risk of micro failure that you’ve got a go through. And then come out on the other side stronger and richer is always there. Because that is the fundamental funda of any kind of entrepreneurship.

So, do not think that any tip or trick, technique even if it is coming from me, will make you a success. Because I run two other businesses and every day I wake up I have no guarantee that what I tried yesterday and worked will mark will work for me today. May it won’t. So, that is pretty much I think the message that doesn’t think there is a Mantra of success. There is no mantra to success. The mantra of success is you got a try and you got a try and you got a try and at the end, you got a try again till you succussed. When you succussed, you got a built fort around it that protects that well from where the water is coming. You build a fort around it and you reinvest all that money into you know fortifying that fort. And getting the aid of your competition, because today you know like I told you that private medical college is in jiffy man. They were not a one day and soon they were all there. So, the competition coming is faster and faster. Especially in India, whether virality of things is so much faster.

Now let me come back to money. Where is all the money? What happened is? Money is neither created nor destroyed. So there is a marketplace, let us say this is where people come to transact and this is where they live. All those people living in their homes all of these investors in their offices and then there is the marketplace. In the marketplace, the money is playing. Money is playing with each other. So, money is circulating in the marketplace is playing with each other. So, let’s say there is money. What typically happens in a slowdown is that the money disappears from the marketplace but has not been destroyed. Money is not created nor destroyed it only changes hands.

money

Now, where is the money? It’s not there in the Marketplace. People are not interacting, transacting so much. People don’t trust each other so much. People don’t buy so much. If you want to buy the government says, you can go there, you can’t go to the cinema hall, you can’t go to a restaurant, things like that. Whatever the situation is nobody should blame. I am just saying whether the money is lying somewhere. Where is the money lying? Either the individual people have the money and they don’t wanna spend it on something they spent yesterday on or large investors have the money and its waiting for the right kind of risk-taker, or the right kind of failures, Mark Cuban says, I am gonna invest in 100 new opportunities and know that 80 to 90 of them will fail. Because failure is the essence of entrepreneurship. But the one or two that will succeed will increase my net worth.

So, they looking for people to start businesses, where the money will be invested in you. If you prove that you are willing to take the risk, you willing to take the failure, and you’re willing to build on that failure. Pursue that failure to the point of success like how again Elon Musk did to create the reusable spaceship. All I can do whatever for did to create the assembly line for a cheaper car or whatever it is like Thomas Alva Edison went on failing till he did actually create a light bulb. So, the money is waiting for you. Doesn’t matter who’s pocket it is, customer pocket, investors pocket, or whatever. It doesn’t matter, you don’t need to worry about this thing. The money is there. The money is to find you and you have to find the money and it is only through the pursuit of a goal.

Through that darkness of failure. The money will find you that is the journey. It has always been for the last thousands of years. Now when I talk about all the stories of this invention, etc. That doesn’t mean that all of us go out and try to create like some new crazy invention or something like that, No. The answer is no. So, where is the secret of wealth to be found? Where is the secret of events to be found? Where is the risk of failure to eat without investing a whole lot of money? Without investing a whole lot of you know this thing a whole lot of personality. You know you don’t want to boss to know that you’re thinking of something. You don’t want your colleagues to know, maybe you don’t want your friends or co-workers and family to know. Because you know you don’t want to different people to know. So, the answer is new. An existing trend in a new market. A new trend in an existing market. A new invention like I already told you about, like you already talked about or a new way of doing old things just 40x better.

What is Delta4?

There is a serial entrepreneur called Kunal Shah, who talks about Delta4. What is the concept of delta4? He says, every time you see a new way of doing old things better, the difference is to let us see on a scale of 1 to 10. Let us look at a difference between an electronic payment gateway versus standing Infront of MSCB or the electricity board every month, in like to pay your electricity bill versus paying it through PayPal or Paytm or something. Where is Paytm on a scale of 1 to 10? 10 is being the best quality and the lowest preference is 1. I would say, I don’t like to stand in MSEB like to pay my electricity bill every month regardless.

So, the old electricity board is over here on 1st number and the new electricity board is at seven or eight. Why 7 or 8? Because there is still some risk of you know your Paytm account getting hacked and all of that so. I don’t know what all that but definitely the risk of definitely the ease of doing of making payment through Paytm versus going and standing in line is at least 8 if not a 10. Let us talk about Paytm vs Phone pay. I don’t even know, maybe Paytm is 8 so Phone Pay will be there and 9 or 10. So this one is the old one a phone pay 9 or 10 or whatever. Between the among different tools which one is to be tried or not. Very close together, I don’t know even that difference. What about the difference between Airtel and Vodafone? I don’t know. I don’t even know the difference. I think they are both equally good bad or probably they are both at 7th position on 1 to 10th scale.

What is the difference between Jio fiber net and that little tablet internet that you had? Tablet internet is at 3rd position of scale and Jio fiber net is 8. So, this person call Kunal Shah says that every time you ask a hundred different people and consistently the difference between the rating is more than 4 which is called Delta 4. You have a sure-shot winner. Now you may still have problems, you may still have a failure, you may still have sweat and tears but when you get after that task. You know it’s worth spending. A few years of your life in order to solve that problem and show off at the other end of the winner. And in most cases, you show of very rich.

So, what is the difference between the old and the new over here? Payment gateway versus electricity board. Definitely, Delta 4 difference 8 – 1 is more than 4. Among the different payment gateways, I don’t know there is not very much of the difference. The difference among the previous telecom providers one or the other they are all the same. What is the distance between fiber net and old technology? The huge difference is there. Ambani, I don’t know whether people like him or hate him but money was many years underground to figure out this thing before even he launched it, and even when did he launch it? He served it free to everybody for more than a year. You can have it free. Why? Because the new technology works then nobody ever will get rid of it. Because the thing is so father ahead of all these tableted internet technologies and all that SIM-based technology.

So, how much did he risk? While going underground, fixing all of this before launching the SIM service and when he launches, he said Just use it free for a year. Because he knows there is no risk. You want to take away the risk from customer. Use it. So, a new way of doing old things, a new invention of course like the light bulb and the motor car or whatever. New trends, new trends in an old market, or old trends in a new market. Or better way of doing whatever your competition is doing by doing at least a delta4. Now, this is where the 10x thinking comes to play. If you do everything 10 times better or 10 times harder than your competitor, you will anyway bite your competitor.

There is no question about it. We teach a lot of the tips, tricks for free in this forum. We teach a lot of them ninja-level stuff in our academy program. But truth be told, tomorrow when I wake up, what is the guarantee that what we tried today that works from our business will work tomorrow. The guarantee is zero. Every day you wake up, you face the risk of failure and that is where the wealth is made and that is where the fun in life is. They are projecting that in 7 to 10 years everything that is being done by human beings today will be done by robots. It means you won’t have a job any which way. So, you might as well try newer and newer things. Because the current job is to go away soon later. So, I don’t know whether is of any interest or not. This happens to open any windows in your mind or not. I will be happy to take feedback in below comment section.

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