Monday, October 26, 2009

Polished and whisked

I’m still researching on my second series of liquidation, in the mean time here is a new blog about polished, diplomatic communication and straightforward communication patterns.

A friend of mine discussed with me a long time ago that why Americans are so successful at marketing and selling more cars than Germans, but Germans are very good at mechanics and engineering [This discussion happened several years ago, at that time Ford and GM outperforms Benz and BMW at almost all markets in sales]. The friend visited 16 countries and he has more international experience than me, he concluded that Americans always smile and Germans keep stiff face and they are not good at talking and marketing, more than that they are straightforward (plain) talking what they are thinking in the mind. But I was not convinced at all because he was making a generalization statement. One of the great examples of plain communication is Joe Biden, USA’s current vice president who lost all previous bids of USA”s presidency even though he is talented, honest senator with foreign relations and high IQ, EQ and experience.

The following are the main reasons why plain communication fails,

1. Actually we want to hear always good things about us, we don’t want to hear anything negative about us. Most of times plain communication misses the sugar coating.
2. Context wise implied meanings are very hard to understand for common folks, since sometimes plain communication labeled as contradiction.
3. Plain communication sometimes hurt other’s feeling, even though it was not intended. Plain communications sometimes gives not enough explanations and context and full sentences. Hence we often take it seriously. For example, I went to a BMW car shop and salesman said that here cars are little expensive, so you made your mind. This was very plain and he might imply that i can’t buy the car or he is just warning me before hand since I give him a sense that I just came to this country. This required some analytical from our side.
4. Trust or mistrust, once we trust others we can easily communicate very plainly, sometime we thinks that we are in some trust but the communication receiver was not that trust as producer.

I think how to communicate and what to communicate also now become an art, one size doesn’t fit all. But we can communicate freely and plainly with progressive minded friends because they want to progress with our honest feed back or understands the fully about context, but with others we have to use polished and diplomatic way of communication.

Thursday, October 15, 2009

The Hitchhiker's Guide(1) to the Liquidation

As I said before, nowadays making money is very easy, if you aren’t then government gives you some [Just Kidding]. The point is, comparatively with earlier generations, because of global economy and free trade and so many things make money available to everybody now. As long as, we have a decent education with IQ over 100 can get a decent salaried job for most of the people in this world [An idealist statement though]. Now we have money and how to manage it and how to spend it wisely and what to buy and what to avoid and where to invest and how to liquidate and rebuild the wealth is big questions. A common average human doesn’t know that hence we need a intelligent MBA grads to manage our wealth. The last decade’s extraordinary demand for a top notch business school MBA grades also because of we don’t know how to manage our own money. The downturn and economical instability also because of us, each individual doesn’t know how to manage it properly. All money going to one direction for a long time and then stops is the main reason for recessions, in other words we are putting all of our eggs into one box and let other’s decide what to do with that with the pool of money.

As far as I know people loosing money because they don’t know how to build a wealth and then liquidate it wisely at correct time and rebuild it. We average human tend to become greedy when we involve with money, we try to emotionally attached with it, and we don’t know how to treat money as a commodity and work with it as professional manner. In capitalism, liquidate an old business and rebuild a new a business is common one. I’m not here talking about a compulsory liquidation or some sort business related. Just how we manage our portfolio and how to sell stocks, assets, or other investments at right time to rebuild our wealth.

130 Years ago my great-great grandfather bought some land for Rs 200.00.Now the land value is Rs 2 million (9999% growth). Are we a good investor? I would say no, Indian stock market soars from index 1 to index 17,000(19999%) with in the same period of time because Indian stock market was created on around the same period when my great-great grandfather bought the land. Either my great grandfather or my grandfather should have been sold some of the land (liquidate) to reinvest with stocks. Imaging my inheritance amount would be Rs 200 Million [I’m not greedy just proving my point]. Let’s see how to liquidate and some important points at next post.