Rules OF The Game

In this post i am going to speak on some real rules which goes into the business world . Every one thinks that making profit is the only rule in business and that is the success of business . In Investing point of view same rule applies . No one in this world makes continues profits from Warren Buffett to last man in the business world . Everyone makes loss as well as profits . It is the ratio or percentage of your profit and loss .
Example : Take the case of Warren Buffett he makes loss as well as profits in his Investments . Instead of making both loss and profit how he is successful ?. It is simple that his profit percentage is higher than his loss percentage . If he is investing in company A which gives a loss of say 20 % , then from Company B he gets a profit of around 70 - 80% with this profit percentage he tackles that loss . Like wise in your first quarter if you make a loss of say 30% make sure that in the second quarter your profit is more than 80%. This is the rule of the game in business Loss as well as profit comes in business but what is your percentage in both .
Think and act according to the rules.

Unknown Sector To Generate Money !!!

In this current market recession we have to do more analysis to make our bet profitable.To my notice one sector is going to rock in coming years .Agriculture is the sector which is going to have a major boom in india . There is a huge shortage of supply in agricultural products ,the next report says that farmers in the world are very old people ,young generations moved to urbanized jobs . These factors will make this sector very attractive you can take your bet on Fertilizers , seed companies ,Agriculture research companies .

What an IDEA Sirji!!!!!

Nice Logic - It May Work to tackle Inflation

A man eats two eggs each morning for breakfast. When he goes to the Kirana store he pays Rs. 12 a dozen. Since a dozen eggs won't last a week he normally buys two dozens at a time. One day while buying eggs he notices that the price has risen to Rs. 16. The next time he buys groceries, eggs are Rs. 22 a dozen.When asked to explain the price of eggs the store owner says, "The price has gone up and I have to raise my price accordingly". This store buys 100 dozen eggs a day. He checked around for a better price and all the distributors have raised their prices. The distributors have begun to buy from the huge egg farms. The small egg farms have been driven out of business. The huge egg farms sell 100,000 dozen eggs a day to distributors. With no competition, they can set the price as they see fit. The distributors then have to raise their prices to the grocery stores. And on and on and on.As the man kept buying eggs the price kept going up. He saw the big egg trucks delivering 100 dozen eggs each day. Nothing changed there. He checked out the huge egg farms and found they were selling 100,000 dozen eggs to the distributors daily. Nothing had changed but the price of eggs.

Then week before Diwali the price of eggs shot up to Rs. 40 a dozen. Again he asked the grocery owner why and was told, "Cakes and baking for the holiday". The huge egg farmers know there will be a lot of baking going on and more eggs will be used. Hence, the price of eggs goes up. Expect the same thing at Christmas and other times when family cooking, baking, etc. happen.This pattern continues until the price of eggs is Rs. 60 a dozen. The man says, " There must be something we can do about the price of eggs".He starts talking to all the people in his town and they decide to stop buying eggs. This didn't work because everyone needed eggs.Finally, the man suggested only buying what you need. He ate 2 eggs a day. On the way home from work he would stop at the grocery and buy two eggs. Everyone in town started buying 2 or 3 eggs a day.

The grocery store owner began complaining that he had too many eggs in his cooler. He told the distributor that he didn't need any eggs.Maybe wouldn't need any all week.The distributor had eggs piling up at his warehouse. He told the huge egg farms that he didn't have any room for eggs would not need any for at least two weeks.At the egg farm, the chickens just kept on laying eggs. To relieve the pressure, the huge egg farm told the distributor that they could buy the eggs at a lower price.The distributor said, " I don't have the room for the %$&^*&% eggs even if they were free". The distributor told the grocery store owner that he would lower the price of the eggs if the store would start buying again.

The grocery store owner said, "I don't have room for more eggs. The customers are only buying 2 or 3 eggs at a time. Now if you were to drop the price of eggs back down to the original price, the customers would start buying by the dozen again".The distributors sent that proposal to the huge egg farmers but the egg farmers liked the price they were getting for their eggs but, those chickens just kept on laying. Finally, the egg farmers lowered the price of their eggs. But only a few paisa.The customers still bought 2 or 3 eggs at a time. They said, "when the price of eggs gets down to where it was before, we will start buying by the dozen."

Slowly the price of eggs started dropping. The distributors had to slash their prices to make room for the eggs coming from the egg farmers. The egg farmers cut their prices because the distributors wouldn't buy at a higher price than they were selling eggs for. Anyway, they had full warehouses and wouldn't need eggs for quite a while. and those chickens kept on laying.Eventually, the egg farmers cut their prices because they were throwing away eggs they couldn't sell.The distributors started buying again because the eggs were priced to where the stores could afford to sell them at the lower price.And the customers starting buying by the dozen again.

Now, transpose this analogy to the gasoline industry.

What if everyone only bought Rs 200.00 worth of Petrol each time they pulled to the pump? The dealer's tanks would stay semi full all the time. The dealers wouldn't have room for the gas coming from the huge tanks. The tank farms wouldn't have room for the petrol coming from the refining plants. And the refining plants wouldn't have room for the oil being off loaded from the huge tankers coming from the oil fiends.just Rs 200.00 each time you buy gas. Don't fill up the tank of your car. You may have to stop for gas twice a week, but the price should come down.

Think about it.

View On Human Brain !!!!

Recently i read about the human brain . I am going to share my view on that.The brain is our favorite bodily organ. It is where we feel sex, love, and beauty. It is where we get guilty, depressed, and angry. It is the most complex object in the known Universe. Brain was created before many years.Lizards got brain millions of years ago. when lizard brain appeared several things started like anger,aggression.They don,t give loyalty to there owners. They all ways think for survival. Then came mammals . The mammals brain show loyalty,love. The third brain is the human brains which deals with different areas like poetry,music,mathematics,reasoning. So , point here is humans have this three types of brain . When people are in emotions they opt for lizard .love and loyalty they go for mammal brain. When they go for thinking , romance , reasoning the human brain starts to work. The person who controls these three brain areas will be more successful in his life.

Inventions can change the Economy

Today i want to share my view on inventions. Invention is the only key for the growth of an economy.Inventions of automobile , aeroplane, pencillin, high speed computers,softwares. They are the inventions which created a greater movement in the economy by creating new business , research works for the development of new products .But the point here is how many years it takes to make this inventions to be known by all the people . The typewriter which was invented and it took around 19 years to make the people to use the product all over the world . In case of mobile phone it took only 3yrs to make the people to use the product. Recently you can go with this Iphone by apple company . When the company starts to introduce a product people stand in line to get the products . It also moves to all the country within few months . This shows that people like changes and they expect a advanced technology . The next great invention has to come to change the world economy the way this software revolution has created. There should be another revolution like this software.

!!! Empire Built By the Right People !!!!!

In the present market condition you can see lot of people do business . In single sector like telecom ,IT, Pharma, Retail there are many players . The point here is today everyone in each sector gets capital , resources but how to make themselves be at the top most in there particular sector . The answer is to have a right people for the right job. only skilled people can outperform there company from other competitors. The company which has more brain power with them will be a Great company in the future.

Entrepreneurs can Lift India Not FDI !!!!!!!

Today i am going to speak on Entrepreneurs.The Global Entrepreneur Monitor Study 2002 ranks India as No 2 in entrepreneurship among all nations. With 18% of its population in the age group of 18-64 being entrepreneurs, India is ahead of China [12%] and US [11%].we have more people on younger generations. so , our government should give more support for this young generations by supporting them with easy regulations and capital . Instead they are welcoming more FDI with red carpets into the country . At once stage this FDI investment will move out of our country by taking away all the resources.