Do Good, Serve Well, Become Successful All in an Underserved Market

Cater to a niche market for rewards on many levels. Dr. Kandor, founder and president of Enabling Devices, has used his background as a biomedical engineer to help him design toys for children with a range of special needs, according to “Toys for Disabled, Step 1: What Can a Child Still Do”, reported by Charkes in The New York Times,. As the number of children with special needs grows, the need for appropriate toys increases. Other toy companies, such as the New York-based Toy Industry Association are also beginning to acknowledge this trend. However, Dr. Kandor’s company is the only one in the field who solely creates toys for children with special needs. The company sells approximately 100,000 toys and devices per year to schools, institutions and families, while predicting revenues of $6 million for the 2006 fiscal year.

Finding an untapped market can build a stronger business.

Membership Has Its Benefits

How can you show auxiliary benefits of being a customer? According to “For Card-Carrying Members, Lounging at the Mall” in The New York Times, The American Express Members Lounge, at the Mall in Short Hills, provided respite to holiday shoppers between November 7, 2006 and January 14, 2007. Ralph Andretta, senior vice president and general manager of membership rewards for American Express explained that “this [was] a test, our way of demonstrating why it’s important to keep that card in your wallet.” This was American Express’s first attempt at "customer-coddling,” outside a trade show venue. This way-station gives American Express members a second wind for shopping.

Build a stronger business by meeting the secondary needs of your clients.

Reinvigorate Your Business to Grow It

According to Patricia Ryan Madson, author of "Improv Wisdom: Don't Prepare, Just Show Up," an effective way to improve your business to take a fresh look at what and how you are doing in your business. Learn to work with situations that used to be interpreted as mistakes in a new light. Improv consultants can help alter a work environment by creating novel situations and encouraging individuals to react in new ways. This addition of humor and decrease of the fear of making mistakes can help reduce tension in the workplace. Ms. Madson and other improv consultants, including a team out of Portland, Ore., called On Your Feet (www.oyf.com), are hoping to create "a culture of yes." Developing a culture of yes can allow entrepreneurs to consider ideas that they previously may have discarded. Often "happy mistakes" can occur when one idea opens the door to another pathway of thinking. Robert Poynton, a co-founder of On Your Feet said "if anything, we know rather less about what is coming next, and how it will affect us, than our ancestors did," in "A Turtle and a Guitar Case: Improvisation and the Joys of Uncertainty." The On Your Feet site also refers to a "cool mistake," something seemingly negative that has a positive outcome when interpreted in a different light. As all business owners know, even the best made plans can fail. According to Ms. Madson, "improvisers avoid spinning their wheels because they see quickly what isn't working, or simultaneously, what might be successful that didn't occur to them at first. Improvisers, by definition, take risks and make mistakes, lots of them, but that's what leads them in fresh directions." Ms. Madson acknowledges that this change away from structured planning can be difficult; however, she suggests that this method can still help your business move forward. Mike Kwatinetz, a venture capitalist who is co-founder and general partner at Azure Capital Partners in Palo Alto, embraces improvisational thinking as a way to get companies moving. This way you are reacting to what is happening around you and making appropriate changes and improvements.

Build a stronger business by letting go of the future.

High Price Doesn't Always Accompany High Quality

Here's an example of someone who made a false start with e-marketing, reported in "Help With Your Business, Often Free, on the Web" in The New York Times. Jennifer Gordon, a Chicago based handbag designed attempted to promote her products through an e-mailed newsletter. However, she found that incorrect e-mail lists and outdated addresses led to undeliverable e-mail. Additionally, once a newsletter was sent out, she had not means of knowing if the document was ever opened.

Google Apps for Your Domain is a free group of web-based services. Small business owners can access tools to manage their website, as well as tool such as e-mail and instant messaging.

Numerous sites can also assist you with blogging. According to Ramon Ray, the publisher of smallbiztechnology.com, suggests that small business owners create blogs to increase Web rankings. Tools on blogger.com (owned by Google) and wordpress.com provide free assistance. Also, Typepad.com provides advanced blog features for $5/month. Another useful web tool allows numerous individuals to share and edit a document, kept on a company's server (Thinkoffice.org and zoho.com.)

Build a stronger business by using powerful tools readily available on the web.

Making Food Faster by Adopting High Tech Tools

In "Making Fast Food Even Faster" (The New York Times), Fitzgerald examines the technical advances in the Fast Food industry. HyperActive Technologies, which uses artificial intelligence to predict customer flow, landed their first corporate customer, Zaxby's Franchising, a chain of 400 restaurants in Athens, Ga. in January 2007. It took four years to have a restaurant chain by their product. This is just one example that exemplifies the Fast Food industry's minimal adoption of new technologies.

However, restaurant technology companies are becoming more popular as "'it's the last $100 billion industry that still makes all its products by hand,'" according to r. Coulter, co-founder and chief scientist at HyperActive. Other companies are looking for new areas to access in the food service industry, such as "speed of service" and outside call centers to manage orders. New offerings, such as a wireless tabletop hub to improve table turnover provided by ESP Systems, are being assessed by restaurants.

Additionally, increased interest in new technologies does not always translate into implementation of them. The food industry is primarily focused on food quality and restaurant image. Roger C. Matthews Jr., head of the restaurant group at the investment banking unit of the Goldman Sachs Group, sats that this market is risk-averse as no restuarant can afford a computer failure at peak time. Additionally, other low-tech and low-cost alternatives are available, according to Ron Paul, president of Technomic, a food and restaurant industry consultant. More specifically, Neal E. Sessions III, director of information technology at Zaxby's says that "'the restaurant technology environment generally lags other industries by three to five years.'"

One way to build a stronger business is to take technologies you know and apply them to new industries.

Watch Your Root Canal as a Web Movie

In "You've Had the Root Canal. Now See the Movie," in The New York Times, Eisenberg discusses the addition of internet movies to dental practice. Dr. Jerry Gordon, who directed and starred in "Root Canal Demonstration" shows his patients a root canal through a YouTube video. The video cost $2,000 to make and has been viewed 11,000 times in two months. Dr. Gordon's practice has grown due to the addition of the video. In 2006, 26 new patients found him on the Web before the video, compared to 68 afterwards. Other dentists, such as Dr. Kristy Vetter (www.drvettersmiles.com) have found the sheer act of opeing a website has increased new patients in the paractice, "'we've had three to five patients in the last month or so that came that way, instead of by referral.'" Dr. Vetter is also considering adding video clips to her website.

However, not all dentists believe that publicising videos of dental procedures is good practice: Dr. Roger P. Levin, cheif executive of the Levin Group, a dental consulting firm in Owings, md., remarks, "'I don't see videos of dental procedures on YouTube turning into much of a marketing tool, most people simply don't want to see how our procedures are done.'" Others, such as Julie Supan, YouTube's spokeswoman, see a rising trend in the viewing of on-line tutorials.

Educating your target market is a smart way to build a stronger business.

What Does Money Trigger for You?

According to a journal article in Science, one's innate impulse does not encourage one to share, when thinking about money. Carey investiages this claim in "Just Thinking About Money Can Turn the Mind Stingy," in The Wall Street Journal. In an experiment involving 52 undergraduates, individuals who were primed to think about money worked on a difficult problem longer and were less likely ask for help or offer help. These "money thinking" students also placed themselves physically father from other people in a room (16 inches further apart). The researchers in this experiment suggest that the effect of money on people's interactions can be seen in everyday life, as those with finiancial resources often hire people instead of asking acquaintances for help. George Lowenstein, a professor of economics and psychology at Carnegie Mellon University in Pittsburgh, "'this study shows its pernicious side, how the pursuit of money can be isolating.'"

Build a stronger business by emphasizing beneficial aspects of your business other than money.

Think Outside the Box

According to Delaney in "Google: From 'Don't Be Evil' to How to Do Good", in The Wall Street Journal, Google.Inc has engaged in a project which will merge the boundary between the profit and non-profit areas. In this $30 million proposal, efforts will be made to predict and prevent disease pandemics, increase the poor's access to public services, and create new jobs. They will also be joining other efforts to improve access to plug-in cars and renewable energy sources. According to the Foundation Center, these grants and proposals "make it larger than any in-house corporate foundation in the U.S." Both company and foundation resources are being utilized in this initiative. Other groups, such as eBay and Pierre Omidyar's Omidyar Network are also working to merger the profit and non-profit worlds.

Thinking outside the box and expanding your business's reach will build a stronger business.

Just Because It's Popular Doesn't Make it Right to Bribe

According to a study first reported in Transparency International and later referenced in Winik's article, "World's Top Bribe-Payers", in Parade Magazine, the following nations’ businessmen were the most likely to offer bribes when conducting international business:

1. India
2. China
3. Russia
4. Turkey
5. Taiwan
6. Malaysia
7. South Africa
8. Brazil
9. Saudi Arabia
10. South Korea

The Swiss and the Swedes were the least likely to offer bribes.

Build a stronger business through ethical behavior.

Let Go of Aggravations is a Way to Increase the Quality of Your Life and Business

You can easily improve your life by limiting the amount of useless purchases and aggravations you allow into your life. The following items are just a few that clutter up your life, with suggestions on how to limit them:

• Calls from telemarketers - Gain back your time by registering with the National Do Not Call Registry at donotcall.gov (888-382-1222).
• Antibacterial soap - Scientists have proven that antibacterial soap is no more effective than regular soap. A good, 20-30 second, lather with any soap is effective.
• ATM fees - Search out places that do not charge you an ATM fee. For instance, Citibank does not charge its customers to use other back's ATMs, Wawa does not add a surcharge, and many grocery stores and drugstores do not change you to take out cash when you are using your debit card for a purchase.

What else can you eliminate to free up your time and energy? Make these decisions to build a stronger business.

Humor and Wit Have A Place in Building a Stronger Business

With the national landscape swiftly changing, even the "water cooler" discussions about the prior evening's television-viewing have heated up from rehashing season premieres or the weather to highly-contested political debates and controversial government bailouts. Rich Masters, a specialist in teaching people how to prepare for televised talk shows, has several suggestions for keeping a cool head during these possibly heated discussions.

• "Zing it!" Have one or two "zingers" ready, quotes that can help you break the ice or clinch the conversation. Think like Jon Stewart...have something amusing and memorable to add to the discussion that supports your argument.
• "Don't Squawk Alone" Having someone like-minded to "jump in" gives you a chance to collect your thoughts.
• "Give in-- a little" Don't be afraid to concede a smaller point to win the larger argument. Besides being agreeable can throw your opponent off-guard as well.
• "Stay Calm and Polite" As Masters explains "If you are smiling it will leave the person with a positive impression." And luckily they cannot hear your thoughts.

Remember injecting humor into a situation with a pithy saying or a witty retort, maintaining relationships with like-minded people, being willing to concede on the small stuff, and remembering to take conflict in stride will help you maintain relationships as you build a stronger business.

Is Social Media Valuable for Entrepreneurs?

It may seem like a no-brainer: these days, businesses should use social networking tools like Facebook and Twitter as part of their marketing strategy. As reported in The Wall Street Journal, in 2009 social-media adoption by businesses with fewer than 100 employees doubled to 24% from 12%. If you're not addicted to social networking yourself, you're bound to know plenty of people who are.

But social media may not be as useful as we think. A survey of 500 small-business owners found that just 22% made a profit last year from promoting their firms this way. A lot of time and energy can go into maintaining the company's presence on social sites, and rewards in sales - if they come - can be slow to arrive. Indeed, using social media "could harm you if you end up inadvertently saying something stupid, offensive or even grammatically incorrect," says Larry Chiagouris, professor of marketing at Pace University's Lubin School of Business.

In order to see benefits from this kind of marketing, you have to be patient, dedicated, and consistent. Stephen Bailey, of John Fluevog Boots & Shoes Ltd., says his company saw a 40% increase in online sales in 2009, the first full year they consistently engaged in social media marketing. There are several free services available to help companies track Web traffic from social media sites, including Hootsuite, Google Analytics, CoTweet, and Lodgy.

For some businesses, social media makes sense. Like everything else, though, it's not a silver bullet. Build a better business by using a smart marketing mix.

Business Schools Tap Veterans' Potential

There's a growing effort among business schools to attract former military members into their MBA programs. Veterans are often prized for their leaderships skills and alternative perspective. In addition, "they've been responsible for lives, which brings a gravitas to classroom discussion," says Deirdre Leopold, director of admissions at Harvard Business School. Harvard, which relies on students' personal experiences to drive the school's case study method, reports that veterans comprise 3% of the class of 2011.

Even though business schools are seeking them out, veterans often have trouble paying MBA tuition, which can cost upwards of $150,000 for two years. As a result, schools have started offering large scholarships, often in partnership with the government. An increase in government funding through the Post 9/11 GI Bill, and the Yellow Ribbon Program, which gives a lump sum payment to each student beyond the GI Bill's offer, have also helped.

The same qualities that make veterans attractive to business schools have also caught the attention of corporate recruiters. "They automatically know how to work in a team and they have respect," says Stacy Blackman, an M.B.A. admissions consultant and president of Stacy Blackman Consulting in Los Angeles. Bill Brenton, director of the leverage finance group at Credit Suisse Group, says a recent internal study found that employees with military backgrounds tend to be very successful, often due to a sense of discipline and ability to build camaraderie.

Build a stronger business by utilizing people with transferable skills from non-traditional backgrounds.

Making Web Site that Fit Your Phone

Companies are increasingly turning to Web communities to build their brand, provide customer service, and unveil new products. Online forums, which often allow costumers to address a problem before they have to call a service line, have saved millions of dollars in deflected calls. A unique challenge is arising for these companies, however, as more and more people choose to access the Web on their mobile phones. Web sites created for computers usually don't load as well onto phones, so many companies, including Hewlett-Packard, are discussing ways to build new Web sites specifically for wireless users. "We definitely have work to do to get our Web site mobile friendly, [and] we know our customers want it," says Lois Townsend, H-P's directory of community.

There's an upside to creating content for cellphones, however: it provides a greater opportunity to be interactive with customers. Lithium Technologies Inc., plans to create a platform this year through which companies can draw feeds from services like Facebook and Twitter onto their own sites. It will work on any phone. Phillip Soffer, Lithium's vice president of product marketing, says that "because the community is active and based on addictive behavior, it's the kind of thing that works well on mobile phones." Other companies are also seeking to bring large corporate sites to the mobile Web. Jive Software Inc., which currently powers communities for companies like Nike, is working with a program designed specifically for the iPhone. In focusing on smart-phone users, Jive is hoping to tap customers with a desire for deeper functionality.

Build a stronger business by building and cultivating an online community that's as convenient as a cell phone.

Welcome Your New Hires

Although simply finding someone great to fill an open position in your company can seem like the most critical part of hiring, it's equally important to smooth the transition and make sure new hires are able to hit the ground running. Karen Lawson, author of "New Employee Orientation Training" and president of Lawson Consulting Group Inc. in Landsdale, PA, offers these tips for managers:

• Inform your staff of the new hire, even with a simple email. Informal meetings or memos can help ease tension and let everyone know how the new employee's responsibilities will dovetail with their own.
• Make sure the new hire has a space to call their own from day one, so they feel welcome and settled. Don't leave the arrangements until the last minute, since they can take longer than you anticipate.
• Take the time to greet new employees in person and show them the ropes. The first impression is critical. "This is not something that can be delegated," says Ms. Lawson. "It really sets the tone." It's also a good idea to keep the office's social network in mind. Assigning a "buddy" on the hire's level and pointing out who runs the office sports team can make the new hire feel more connected right away.
• Help the new hire feel familiar with your office culture by taking the time to mention the unwritten rules, like the need to clean out the coffee pot or where bosses tend to congregate.
• Sit down with your new employee to set clear short- and long-term plans. Management's expectations should be clear from the beginning, as should review processes. Ms. Lawson recommends weekly meetings for the first month or so: "Bringing an employee on board is a process that needs to take place over weeks and months. It's not just a one-time event."

Build a better business by preparing for new hires so they can get oriented quickly.

Investing in Your People

As reported by Barry Meier in The New York Times, a set of internal marketing documents disclosed in the Fall of 2009 shows that the company Medtronic, a producer of medical devices, definitely had its own best interests in mind. The document showed revenue projections calculating how much the company could get back by paying for training fellowships for doctors. The answer? Up to 200%.

Although the direct-fund training program has since come under ethical scrutiny, it shows that, in terms of your bottom line, you can build a stronger business by investing in your people.

The New Style of Business Training

Before the recession, companies often sent their star managers to executive training programs held at business schools around the country. With budgets in the hundreds of millions, top professors, and a generous schedule, these programs usually focused on general leadership development, rather than company-specific problems.

Now, however, companies are searching for cheaper alternatives with a more immediate impact. "Companies are asking for external experts to come in and do something very specific," says Josh Brand, a former senior director of executive education at Babson College and co-founder of Freemont Learning, Inc., an executive development firm. In a time of economic uncertainty, the focus has shifted to moving the company - not just the individual - forward.

As a result, executive-education consultancies are scrambling to create customized programs that provide managers with the skills to weather the downturn and come out on top. "When you have trained leaders in bad economic times, it makes a world of difference," says Tim Bray, vice president and chief learning officer for Quintiles Transnational Corporation. And it's the consulting firms, rather than business schools, that are able to offer the flexibility and support companies are looking for. In addition, web-based courses, traditionally offered to middle management, are now being used for top-level executives as well. The Center for Creative Leadership in Greensboro, NC, has even started offering ready-to-use courses that, while less specific than an on-site visit, cost a fraction of the price.

This trend is a good one; you can build a better business by offering your management team focused training and education to achieve specific outcomes.

Close A Few Doors

Keeping too many options open is not always the best idea, according to "The Advantages of Closing A Few Doors" article in the New York Times. In the third century B.C. Xiang Yu, who took his troops across the Yangtze River, performed an experiment in decision making by crushing his troops pots and burning their ships. He explained this was to focus them on moving forward. In a series of experiments at MIT, students played a game that paid cash to look for money behind three doors on the screen. (you can play yourself, without pay, at tierneylab.blogs.nytimes.com) Students were allotted 100 clicks and once they opened a door with the click of the mouse, each subsequent click earned a varying sum of money. The students could switch rooms to search for higher payoffs but each switch used a click. The best strategy was to quickly check all three rooms and stay in the one with the highest rewards.

A new feature was soon introduced to the students which baffled the students. If they stayed out of any room the door would shrink and eventually disappear. Instead of ignoring the shrinking doors, the students wasted time rushing back to reopen those doors that their earnings dropped 15%. The penalties for opening the shrinking doors increased (a cash fee was assessed) they still frantically attempted to keep all the doors open.

Another feature was added-the players had the option of making the door reappear at no cost if it had disappeared yet they still persisted on frantically preventing the door from disappearing. The players would probably say they were fixated with keeping their doors open because they wanted to try and keep their future options open. Dr. Ariely disagrees. They did not care about maintaining flexibility in the future; instead, they were motivated by the desire to avoid the immediate pain of watching a door close.

"Closing a door on an option is experienced as a loss, and people are willing to pay a price to avoid the emotion of a loss" says Dr. Ariely. The cost in the game was lost cash; however, the costs in life can be wasted time, missed opportunities which are less obvious.

Since conducting the experiments Dr. Ariely has made a conscious effort to cancel projects and give away his ideas to colleagues. He suggests we should resign from committees, prune holiday card lists, rethink hobbies and remember the lessons of door closers like Xiang Yu.

Sometimes you've got to say "no" instead of "yes" to build a stronger business.

Business Tips TV Launches

Outsourcing Chutzpah

The article "Calling In The House Therapist" in The New York Times recommends hiring a coach to get through the remodeling process. Ms. Lund and Mr. Coccoluto selected an architect whom they felt was most qualified to renovate their 1820's colonial-style farmhouse; however, the architect wanted to place the garage doors at the back of the house which would cost more and make the backyard smaller and the homeowners preferred the garage doors on the side of the home.

The homeowners consulted with Bruce Irving, a remodeling coach who helps homeowners negotiate the challenges of renovation. He recommended they talk about their feelings with the architect so as to prevent ending up with a home that would make them feel uncomfortable.

They did so and expected her to grow angry but instead she quickly agreed with the change and redid the blueprints within ten days.

"Bruce gave us the chutzpah to tell our architect what we wanted," said Ms. Lund. "Sometimes you need someone to tell you that, because we're so used to internalizing our emotions. He's almost like having a house therapist."

Renovating a home can be a difficult and frustrating task so it's not surprising that coaches like Mr. Irving are proliferating. Remodeling coaches act more like marriage counselors than like building consultants, and, like therapists, they are best when brought in as early as possible.

They can help homeowners figure out what they want in a renovation and make sure the project is actually carried out properly. In the past only multi-million dollar jobs had project managers btu with the housing boom and growth in remodeling there is a new market of homeowners who know nothing about building and are searching for help. Some in the field estimate that there are about 100 such coaches around the country. Remodeling coaches help to reduce confusion and help homeowners make knowledgeable decisions.

Sometimes you need to outsource chutzpah to sufficiently convey your preferences to build not only a better house, but a stronger business. Have you heard from any of your customers lately?