Are you in Coronatime?
On April 3rd 2020 a veteran trader said that no one gave an economic model to work inside something like corona when people cannot even meet one another, before the pandemic hit.
And then..
Yes
Yours truly .. This brutally good looking author, came up with a economic model for Coronatime in October 2019, before the pandemic even hit
But this is not it..
Today by reading these words you will meditate on this modus operandi
Maybe.. Just maybe.. This will be a trigger for something greater.
Now..
Who is this Extremely Good Looking fella?
Peter.. Who?
Screw that.
Let's see what he says in this article:
(We paraphrase)
Entrepreneurs Are Morons:
1) They Think its about profits while it is about Cash flows. Growing Bodies Need Food.. More Food..
2) When the business expands, you can't do it all
Gibe responsibility to others
D.e.l.e.g.a.t.e
3) You think you know more than the market?
You have one brain
Market have thousands
They demand
Supply them
You think one market needs you while another one is dying to look at your offerings
Don't be rude
And Finally
4) Do what Your Business Need not what You need
Your favourite activity and inclination is irrelevant.
Your Business needs different skills than you want.. So go get em. Put those “chul” aside.
Your Business needs different skills than you want.. So go get em. Put those “chul” aside.
Summary:
CashFlow
Delegate
Listen to The Market
Do What Your Business Need
Do these Four and You will succeed
This is the summery of PRE corona world
You need to work with OTHERS
which is represented by way of
Cash (give me this piece of paper because I did some work so I can give it to someone else and get something else)
Delegation (You have learned how to dig a ditch when someone else does it for you)
Market forces (I need others to give me things, so I need to give others what they need, for that I need to listen to what they have to say.. All hail market research)
Business first (take care of business and business will take care of you. Because people only pay when they get what they want from you)
[0:15 am, 17/07/2020] Dheeraj Dadhich: This is the summery of PRE corona world
You need to work with OTHERS
which is represented by way of
Cash (give me this piece of paper because I did some work so I can give it to someone else and get something else)
Delegation (You have learned how to dig a ditch when someone else does it for you)
Market forces (I need others to give me things, so I need to give others what they need, for that I need to listen to what they have to say.. All hail market research)
Business first (take care of business and business will take care of you. Because people only pay when they get what they want from you)
[0:16 am, 17/07/2020] Dheeraj Dadhich: Now
Comes the Atma-Nirbhar
The Lone Ranger
Remember
In Communism
Not just the country was "communist".. But everyone was too
As is above, so is below
Kings and Subjects mirror each other.
Think of the reaction we just had to "Corona time": Everyone thought Atma-Nirbhar (people joke that it means "you are on your own")
This reaction was neither accidental nor unpredictable.
Systems and supply chains Do breakdown. Institutions were already alien and on the verge of betrayal if you were paying attention.
Atma-Nirbhar is not just for your own country.. Why does the country have to be Atma-Nirbhar?
You got a valid reason? Here are a few:
Less dependence on critical functions
keeping cash in the entity
Not funding the competitive and hostile interests
Not getting cheated on a deal as seller at times knows more about the long-term faults than the buyer
Ad infinitum..
Right now.. I don't even need to tell you reasons for Atma-Nirbhar as you "know" That you have to
Something is in the air
You "knew" the benefits of outsourcing, globalization, coordination and symphony of international markets etc
Now you know why you need to "Apne Haath Jagannath"
There are pros and cons for both approaches
But something is in the air
Why does Only the country need to be Atma-Nirbhar?
Why not state?
Why not the city?
Village?
Family?
Person?
In communism.. Everyone was communist
In Atma-Nirbhar Bharat, MAGA USA, Brexit Britain, Reliant Russia, Chowmin ChingChong China
Everyone soon will be "sovereign individual"
The logic of Atma-Nirbhar is not just for one
Walls for Mexico
Masks for everyone
The inevitable
In communism..
What are the principles of this new "sovereign individual" world?
I am not a very creative person
Our PreCorona principle was: Others
And the checklist was:
CashFlow
Delegate
Listen to the Market
Do what your Business needs
Do these four and You will succeed
Our CoronaTime principle is: Sovereign Individual
It's Checklist just literally opposite (yeah.. Not that creative.. But better than your "omg this is so unprecedented")
Here goes
Burn Rate
Consolidate
Hedge Against the Market
Acquire what your family needs
Do these four
And you need not even succeed
1. Burn Rate
"A meat tub, from which it is taken to eat, but not refilled, is soon empty"
- Benjamin Franklin
That's Your Burn Rate
You have focused on different ways you can manage cash flows
Now you need to shift to burn rate thinking
I have some.. I consume some.. How long it will last.. How to fill it? How to keep it from getting rotten and destroyed.. Etc etc.. To be explored.. Just take a note and meditate on this alright!
You are so demanding!
"Get what you can, and what you get hold;
'Tis the stone that will turn all your lead into gold"
Ben baba (again)
Longer Drought.. Bigger Bawadi
2. Consolidate
Just opposite of delegate
Know everything
Train Everything
No help is coming
Every function in-house
Why?
Because that's opposite
That's why
Just do it
Yourself
"Why are we just inverting without any reason?"
Because the reason is deep
EVERYTHING is so deeply connected that the only Gap in the market is in Self Reliance and Not being reliant on the market itself
Bouncer above head?
Don't worry
Consolidate
Build on solid foundation
When ground is shifting for everyone else
3. Hedge Against the Market
Opposite of Listen to The Market
Well
Whatever you want
Is available
On a Ready Market
Everything you Need
Has to be there
When you need it
Logic of the market was to listen to it's signals and respond
Logic of self is to provide for it Regardless of what is happening in the market
You don't just hedge against the "market"
You realize deep hedging
That some class of risks cannot be hedged ("there is no perfect hedge" as they say)
So those risks should not be taken
4. Do what your family needs
This is the opposite of "do what your business needs"
"keep the shop, and thy shop will keep thee"
Shift from Market to Self and you get Focus to the Family
Assuming you have kids at 25.. You have a new generation in every 25 years
You will die but you will live on
So much work with the market.. You handled over the business and assets
Now that Market is Self.. The interest changes
Getting incredibly good would be easy if you start early
All skills reinforcing each other
No more lektures about "internships" And "apprenticeship model"
Surrender to the Inevitablity of Hope
Bonus: "Provide these four and you need not even succeed"
Are You In CoronaTime?
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