[OSL]

(11-18-2011 03:11 AM)theoogabear Wrote:  

how would you get into these fields? what would you be doing? would it be business? designing yachts?

You have to find a niche. It helps to speak the local language and have people you can trust on the ground. You ideally will have spent time in this place and have built a solid professional and social network that you can rely on in times of need.

This is why I focus so strongly on strategically building networks. It may seem cold, calculating, and douchey - but if you plan on doing international business this is critical. You will fail without trusted partners and connections. You're going to go abroad and make friends anyway. You're going to go abroad and bang chicks anyway. Why not make friends with powerful people?

People tend to see the two as mutually exclusive - making friends and making connections - I suggest you try to accomplish both simultaneously.

Designing yachts can be done anywhere. You wouldn't go to a place like Vietnam or China to design yachts, that kind of work can be done anywhere. Unless by "design" you meant "construct", which are two entirely different things. Luxury boats are generally built in Northern Europe, although Korea is rapidly taking over in this field.

In the context of this thread, you are looking at Asia to sell expensive items to newly rich Asian consumers. Typically the trend has been the opposite - selling cheap Asian-made products to western countries - but that trend is reversing.

Watch these BBC documentaries and pay particular attention to the luxury goods companies. They come in a range of fields. In fact, many of the industries I mentioned earlier in this thread are included here: luxury watches, cosmetics, yachts.....some succeed and some fail. You'll get an in depth look at how this kind of thing works. There is no clear cut way, you have to forge a path.

VIETNAM

http://www.youtube.com/watch?v=igu5G8rle3Q

Watch the yacht story carefully. I loved watching this. Pay attention to the private school and the reasons they failed - poor communication between joint venture partners. Frankly those guys are idiots, as far as business goes. How can you drop 85K British Pounds and not have your objectives clearly hammered out with your JV partner? Lunacy.

Watch the story of the magazine guy. His persistence pays off, despite his frustration in never being able to get a clear answer from his potential distributors. Although you will have to invest much more time up front to gain trust from an Asian businessperson, once they trust you, you have them for life.

I personally don't like that way of doing business. It's inefficient and not enforceable in a court of law. It's also the reason why I don't do business with friends or family, because I can't fire them or, if they compete with me, run them out of business.

You have to be prepared to run your competitors out of business and watch them starve on the street.


From all these videos, you will learn much more from the failures than from the successes. The successes are sometimes pure luck and could have failed under different circumstances or stakeholders.

BRAZIL

http://www.youtube.com/watch?v=a8iHhYlJ6Xw

Watch the cosmetics story here. Again, I love it and very well done. Great niche in cosmetics for dark skinned women, something that has a large target market in Brazil (44 million, size of S. Korea) and will only increase. Brazil is also culturally inclined to use products of this ort.

INDIA

http://www.youtube.com/watch?v=wDVAmeh5S...re=related

Watch the story of the luxury watches. They do poor market research, and make stupid assumptions that the value that these watches hold in the UK will hold value in the eyes of Indian consumers. They are a bit arrogant, or at least incompetent, in making that assumption.

I am not particularly impressed by any of the India ones. Admittedly, I think doing business in India would be a nightmare. In terms of red tape and infrastructure, it makes China look like Singapore. If Indians in India are anything like Indian immigrant businessmen in New York, they will make business deals as complicated, drawn out, and frustrating as humanly possible.


CHINA

http://www.youtube.com/watch?v=n_n4pTMJLnE

This is a different series that was not done by the BBC, but basically the same theme. None of these are luxury goods, but it is very relevant in a different way: all of the aforementioned BBC documentaries deal more with multinationals breaking into emerging markets, whereas all of the featured people in "Brits Get Rich in China" are actually entrepreneneurs and the owners of their own enterprises.

------------------------------------------------------------------------

Watch carefully and see the reasons why the failures failed.

Arrogance and decision-making based on flawed assumptions overwhelmingly are the reasons why they fail. Examples - watch makers going to India, old British guy selling air conditioning units in China through a JV (I'm sure he has been ripped off and gone broke).

In contrast, the yachts guys and the kitchenware supplier (Vance Miller) did very well. The yacht guys did their due diligence, understood that they needed a reliable joint venture partner, and then put their trust in the hands of a trusted connection. For them it worked - although it would not work for everyone. I think they got particularly lucky, and you can see at the end that the Vietnamese partners tried to re-neg on the price that they had previously agreed upon.

This commonly happens in Asian negotiations - the idea of contract law is relatively new in Asia and Asians like to think that an agreement, once made, is flexible and can be changed at whim. This is appalling to a western businessman, but something we have to comprehend, accept, and navigate when operating in emerging markets. Alternatively, your Asian counterpart is expecting that, as things change in the market, you will also suggest changes to the agreement. It can be beneficial to you as well.








------------------------------

[theoogabear]

what major would be relevant to this? strictly business?

[pitt]

YMG I am impressed with the amount of information you have.

Anyway, you seem to emphasise a lot about making connections with powerful people and i am not saying that this will misguide anybody but i find many people to rely on connections in order to do business. The funny thing about this, is that most of people wait for these powerful people to cross their way and then they think they have the opportunity to prosper in life. When this powerful people dont cross their way later in life they found themselves still stucked in a hole and then they say that they were unlucky or that they didnt have any opportunities to succeed in life ..EXCUSES...

Not to get too personal but have you ever done any businesses with some of the powerful people you met, be it from linkedin or any other source?

I personally have met many successful entrepreneurs but all my business money always came from my own hustling and action, actually if i have to say someone has helped me then it will be friends or just everyday people that give me one or other tip.

[Ami5]

India

BRICS countries (Brazil, Russia, India, China, South Africa) can be dubbed as the centerpiece of fastest growing economies on planet, and they hold almost a similar level of red-tape and corruption. Certainly, this shouldn't be attributed to the reason of less spread of Luxury market in a particular country.


I must mention about an article I read in Forbes on Luxury Markets.
Later on I went on to do some further research on the same.

Every demographics has a different connotation for 'Luxury'.
You simply cannot dwell into selling yacht everywhere and expect people to behave same - more than your marketing strategy, it is the way people define luxury and the sector they're willing to put money into, which is going to get you results.


The Forbes article researched that Indian customers, for instance, are much less willing to buy a million dollar watch or a Mont Blanc - they are much more into gadgets. Once you tap into this field, selling high end gadgets and so on, you are ruling the markets.
Moreover, Indians - in general, are highly obsessed with ROI.
And I guess this ranges everywhere from buying a car, to a girl's pussy!

Among the BRICS countries - it comes off as no surprise that this country still has not a big room for LVMH - Louis Vuitton, as quoted by Marketing Manager of LVMH itself.
Top players have partnered with some Indian counterparts to sell their products, as they find Indians are more reluctant to spend on a million dollar watch - they would rather prefer gadgets or condo.

One of the largest car maker in this country is not the one with best designs, technology or marketing schemes - it's the one which has the best mileage on its cars.

One of the largest banks is the one which has the highest rate of interest, rather than services.

One of the best selling pen company in India, is the one with the best ink-flow length. (How much pages you can write with a pen, in simpler words)

THIS, and you are good to go. So, rather than constructing an ultra luxurious airplane or selling a yacht, you are much more into the right shoes if your products have more 'returns', and simply, wrapped up in 'style/glamor'.

This can surely be helpful for those guys who are willing to kick off their own stuff - for you stand a tough chance while selling the customers your yacht against a world-class player.

[OSL]

Again, and I dont want to have to keep repeating this point, you have to take it on a CASE BY CASE BASIS.

If you were my JV partner and we were entering a startup for risk management software for the mining industry, I would want you to have a background in tech or mining.

If you were my JV partner and we were entering a startup for beauty products for the Chinese market, I would want you to have an extensive list of trusted local suppliers in major tier one and tier two cities. I would also want you to be fluent in Mandarin. If not, then I'd want you to have experience manufacturing and distributing beauty products in the China market with one of the bigger retailers, so I'd be able to get an assessment of what the market conditions are.

If you were my JV partner and we were entering Vietnam to sell yachts, I would want you to be like the guys in this video - powerful with direct access to clients, fluent in the local language, and able to make the government move on projects like building a marina. Can you understand why I stress the need for powerful networks?

Did you catch that in the video? Did you even watch the videos or are you asking me questions without reviewing the content I've listed?

Like gaming girls, every situation is going to be different and you have to calibrate. Asian girls in Asia don't understand cocky sarcastic humor. White girls in America respond well to it.

You asking me what major is the best is like guys on game forums asking for what the one perfect pickup line is. It doesn't exist, you have to create opportunities and learn how to be flexible and be prepared to seize opportunities when they appear.

For every different business, industry, team, partners, timing, market conditions, competitors - you will face a different set of circumstances and will need a different set of skills. Very often, if you are in charge of this venture, your job will not be to have acquired all of these skills yourself, but to effectively delegate these jobs to the right people.

Learn how to rapidly size people up and make effective decisions. You have to be able to judge in an instant whether someone is credible, competent, and willing to endure during the hard times.

My advice to you is, if you are inclined to have an international career or business - choose at a young age the specific country on which you'd like to focus. Good choices are ones that are earlier in the development stage and with large, young, and growing populations. It helps if they have abundant natural resources.

I picked China and it turns out I don't need my background in China - although if I decide to penetrate that market I now have accumulated the right instincts about how my industry works in that market to be able to move quickly and effectively. Moreover, I have a strong network in my field and outside of it to be able to find the right contacts.

Pick an industry that is unlikely to fail in the long term future. I have an entire thread up about this in the lifestyle section somewhere.

The best way to learn is to read the stories of and watch documentaries of successful entrepreneurs. I've learned far more about business through my internships in Korea and China than I did studying economics as an undergraduate.

The only way to really learn business is to fail at it a bunch of times initially, learn from your mistakes, then be prepared when the right opportunity comes along.

I was fortunate enough to have a father who made a fortune by building businesses in four different industries to profitability: retail clothing, jewelry, restaurants, and commercial real estate. He came to the US in the 70's as an immigrant - and then sent all of his children to ivy league undergrad and grad schools. I'm very grateful to have been fortunate enough to both learn in this hands-on setting and be able to become bilingual.


Oogabear, I know you are a young guy so if I came across as harsh in my response, know that I'm just trying to offer some "tough love", as it were, for guys who want to get advice from me.


AND, take this all with a grain of salt. If I successfully cash out this business and become wealthy, then yeah. I have good instincts but I don't have the track record to back it up.

I talk a lot about international careers on this forum because I have a track record of consistently hacking myself and other people into companies abroad and getting job offers.

I do not have a track record of becoming a multimillionaire at age 25.



If you want advice or my opinion, I will always be willing to give it. I'm on this forum to get advice about travel spots and offer what value I can to young and older guys about international business and careers - and that will not change.

[Ami5]

(11-18-2011 06:25 AM)pitt Wrote:  

YMG I am impressed with the amount of information you have.

Anyway, you seem to emphasise a lot about making connections with powerful people and i am not saying that this will misguide anybody but i find many people to rely on connections in order to do business. The funny thing about this, is that most of people wait for these powerful people to cross their way and then they think they have the opportunity to prosper in life. When this powerful people dont cross their way later in life they found themselves still stucked in a hole and then they say that they were unlucky or that they didnt have any opportunities to succeed in life ..EXCUSES...

Not to get too personal but have you ever done any businesses with some of the powerful people you met, be it from linkedin or any other source?

I personally have met many successful entrepreneurs but all my business money always came from my own hustling and action, actually if i have to say someone has helped me then it will be friends or just everyday people that give me one or other tip.

YMG has quoted at several occasions, and I would vehemently support that connections with powerful people provides you with the real impetus to succeed in your realm.
Exploit the power of LinkedIn - although handful, but I have met some of the contacts on LI, and have initiated discussions which nonetheless are insightful and enriching.

If you put efforts to hustle on LinkedIn, so as to say, I am certain you are going to receive immense benefits pretty soon.
Think - your friends and everyday people probably do not have strong qualifications in the specific field you are willing to get into.
Invest your hustling to get in touch with the professionals and experts of that realm and you are going to receive quality suggestions, added with a broader network, perhaps some business propositions and certainly an expanded horizon for ideas.

[OSL]

(11-18-2011 06:25 AM)pitt Wrote:  

YMG I am impressed with the amount of information you have.

Not to get too personal but have you ever done any businesses with some of the powerful people you met, be it from linkedin or any other source?

Thank you Pitt.

In response to your question as to whether I have personally benefited from business due to my network:

1. I am starting this business with the former managing director of the company where I used to work, which is top 3 in its niche in the world. He had managed three different offices in Asia and is from Europe - we have sourced leads for sales from his network for our industrial clients based in those regions. I have access to his network by being connected to him.

2. Our initial batch of clients are from connections I have built through academia, which is my direct contribution. He has access to my network by being connected to me.

We have not sourced anyone through linkedin yet. Everyone in our initial client base has been sourced directly through his industrial network and my academic network. I see no reason why we can't use linkedin as a method of getting more clients on board.

Ultimately, to answer your question, YES. Networks have helped immensely and will be the difference between 2-3 years of product creation with no cashflow and having immediate client subscriptions.

You are correct about your other point, though. Nobody should rely on their network to get places. That is a terrible thing to do and I have never told anyone to do that. If anyone has gotten the impression that having a strong network directly leads to business success, you are sadly mistaken.


Thank you Pitt, for bringing this point up.


--

[OSL]

(11-18-2011 06:40 AM)Ami5 Wrote:  

India

Among the BRICS countries - it comes off as no surprise that this country still has not a big room for LVMH - Louis Vuitton, as quoted by Marketing Manager of LVMH itself.
Top players have partnered with some Indian counterparts to sell their products, as they find Indians are more reluctant to spend on a million dollar watch - they would rather prefer gadgets or condo.

One of the largest car maker in this country is not the one with best designs, technology or marketing schemes - it's the one which has the best mileage on its cars.

One of the largest banks is the one which has the highest rate of interest, rather than services.

One of the best selling pen company in India, is the one with the best ink-flow length. (How much pages you can write with a pen, in simpler words)

THIS, and you are good to go. So, rather than constructing an ultra luxurious airplane or selling a yacht, you are much more into the right shoes if your products have more 'returns', and simply, wrapped up in 'style/glamor'.

This can surely be helpful for those guys who are willing to kick off their own stuff - for you stand a tough chance while selling the customers your yacht against a world-class player.

Good contribution.

Ami, may I ask where you are from?

You are a sharp guy. I would guess India, based on the India intel.

[Ami5]

(11-18-2011 07:04 AM)youngmobileglobal Wrote:  

Good contribution.

Ami, may I ask where you are from?

You are a sharp guy. I would guess India, based on the India intel.

Thanks YMG.

Yes, I am from India.
I guess India intel comes out from the fact that I have a family, which runs a large socio-cultural business since past 25 years. This has benefited me a lot.

Just as you are penetrating into Asian, particularly the East Asia, I am fastening up to get into the conventionally feared, Eastern European (Russia) region.

YMG, on India-China differences/similarities, you may want to read this article. It's not heavily informative, yet it might spark you to look closely into this direction.
Both India and China have one of the oldest civilizations in the world, possess more than one-third of the world's population, and are perfectly similar and perfectly contrasting in some manners. Tapping into the differences/similarities might prove helpful to you in due course.

[OSL]

+1 Thank you Ami.

I always viewed E. Europe as a barren wasteland for opportunities (I hope you found a gem).

Poland is the best performer in that region, if I remember correctly (if not including Russia, who is actually not doing so great lately).

[OSL]

This is relevant to where this thread is going:

http://www.youtube.com/watch?v=RTveImPn0...re=related

"If you want success, stop PUSHING for it and start PULLING.

This in response to Pitt's point about networks, which I may admittedly not have elaborated on enough.

MJ Demarco, author The Millionaire Fastlane (highly recommended) says that he built his website, limos.com, and then he had venture capitalists lining up at his door AFTER he built it.

If he had approached them with an idea, they wouldn't have done squat.

I am in the same situation. I have a list of leads that I know, based on market inefficiencies, that would demand our product. This list of leads has been compiled from a network I've built within and outside of academia/industry, and through my partner's vast international experience in the field.

We know that there is a strong need in this niche market for this particular product, the barriers to entry are very high, and launching it will be cost effective.

However, we won't make a dime until we actually have executed on the many thousands of steps required for us to begin pulling in cash flow.

Once we've toiled and worked insanely hard to get our product suite up, then yes, the value proposition is immediately clear and there will be something tangible to sell.

Due to the network we have built up, we IMMEDIATELY will have access to people who trust us and will lock into long term contracts. Do you understand how the contacts/networks help?

It's not like some rich Chinese guy is handing me 100K a month just because I speak Mandarin and am buddies with his son. It doesn't work that way.

However, once everything is in place, having the right people in place to help you out or advise you, or even buy from you, or acquire your company, is priceless.




---

[Giovonny]

I read that Nike made more money from China then they did from the US. And, Apple Computers is getting more and more of their profits from Asia.

Micheal Jordan was recently there promoting his brand.

The emerging Asian consumers are sending more and more money to western companies.

America might not be in great shape right now but our products are still considered "cool". As much as people are criticizing us, they still copy our trends and styles.

You know what the rich corporations want...They every Asian wearing Nike shoes, Polo jeans, an Abercrombie shirt and plugging away on their smartphones and Ipads, checkout out Facebook and Youtube, while sipping Starbucks and eating Mcdonalds, getting ready to watch a Hollywood movie.

Welcome to consumerism!