http://www.youtube.com/watch?v=wqR7SFUt7Ao
The “Star Principle” is one of the most interesting books written by Richard
Koch. He described in his book how to be rich and why the STAR Bussiness is so important to everyone.
The definition of the star business is the #1 player in its market niche, and its
market is growing fast (at least 20% - 30% per year). These two simple characteristics,
set apart the business success stories, which make their backers tens of millions of pounds, from the run-of-the-mill businesses that just about breakeven but never make anyone rich.
In his book he claims that if we want to be rich then we need a Star business. During his
book he suggests that:
1. If you are founding a business, look for a gap in the market where you will be number one from the beginning. And look for a niche big enough that you can sustain rapid growth for many years.
2. If you establish a leadership position, do everything you can to retain it. More importantly, if you fail to get a leadership position, or you find your niche is not as big as you thought, it is better to cut your losses and direct your efforts elsewhere.
3. If you are an investor, look for embryonic star businesses that you can back, where you can have an active say in their management (and ensure they remain stars).
4. If you lack the resources to found or invest in a business, try your utmost to find a star business and go to work for them .It express that, working for a star business is much more fun and a much better learning experience than working for big corporate.
For my opinion his advice are very helpful but not every time you can be successful in such big companies. The competition is very hard and sometime they have sometimes they are difficult for innovation. Also with the problems that WALL STREET and crisis has done it is difficult to say if you can reach your goals because nothing is secure anymore. This company can be sold, merge or something like that. For one point they are more secure that the small one but from the other
hand they have long strategies that doesn’t live you much space. If you main goals is to be rich for my opinion (at least in Albania) it’s better to start from your own small steps as LITTLE BETS book explain.
Related to star principles ´i agree with Ermelinda, In Albania it is difficult to create a new business and pretending that this business to be a star, but being on 20 first employes of a star business, of course that it is a possibility to grow up professionally, and having a good salary too, to create good relationship with other businesses and state and government institutions, and maybe to follow your own business.
YanıtlaSilSometimes i also agree with you, and some other time i may not agree with you, when you say that it is difficult in Albania to create a new business. Who said that it would be easy doing everything in our life? No one, but if we put our focus not to the difficulties of the fact, but to what we want to achieve, i think that it is worth try it.
YanıtlaSilNo doubt that to be entrepreneur of a “star” is the best but regarding working at “star’, i don’t think it is always the best way to be successful. I agree with you that there is too much competition in these organizations (especially when you start working there not since the beginning but at a point that everything is established) and sometimes more chances to succeed are in smaller organizations.
YanıtlaSilWorking at a star business gives much more opportunities … but you have to be a born leader maybe….there is room for everyone…..
YanıtlaSil