‘Business Quicksand’ is the situation when a business organization loses accounts and clients, the market they are in declines, sale revenues from the accounts that they have retained have declined, competition is taking accounts and possibly are far more advanced in many ways, products and services may be reaching their end of productive life cycle where the market has moved on to others more advanced, and total sales revenues and profit revenues are declining.

Now that the sales and profit revenues are declining, the business organization is more motivated to work with the accounts and clients more aggressively to uncover more needs seeking out more opportunities, look to penetrate their market more and look for more market niches to expand into.

They will be more motivated to do more advertising, PR public relations and trade shows and special promotional events, develop new literature and website to seek new customers and clients.

They may be more motivated to expand their product and service offerings to meet more needs of the customers, clients and the market.

Spending money on these efforts will drain profits even more.

The business organization will find that these new efforts may not produce immediate positive sales revenues which then will produce more stress financially and on the management staff.

Due to the sales and profit revenues declining, employee layoffs may happen.

To meet financial obligations, the business organization may have to obtain additional business loans.

These new efforts with product and service enhancements, expanding into new market niches, and more aggressive marketing, costs money, will take longer than they realize to implement and may not produce the immediate additional sales revenues that they are seeking. 

Without these efforts, the business will continue to decline, making the situation worse.

The end result can be going out of business, competitor offering to buy them out at a low price or dramatically reducing all overhead costs and becoming a smaller business organization.

This is ‘Business Quicksand’

The following is a simple check list of fundamental business development efforts that need to be in place and advancing on aggressively, to prevent falling into ‘Business Quicksand’

1. Are your marketing efforts with advertising and PR public relations aggressive in your main market as well as other niche markets?

 
2. Are you identifying other niche markets and making efforts to expand into them?

 
3. Are your literature, promotional materials and website current with all products and services available along the applications and needs of customers that they fulfill?

 
4. Are you participating in trade shows and special promotional events in your market and niche markets?

 
5. Are you making efforts to expand your contacts in all of your accounts and customers, and explore other needs that they may have?  Of this effort, are you just asking them what other needs they may have which often, they will not know; or are you getting to know far more about you customers and their needs and discussing possible needs you may have uncovered?   This is investigated for your current products and services and possibly other additional products and services that would be good synergistic enhancements for your business.

 
6. Are sales revenues increasing in your current customers?

 
7. Are sales increasing in your current marketplace?

 
8. Are sales increasing in other market niches that you have identified?

 
9. Are number of accounts and customers increasing in your main market and your other market niches?

 
10. Are you updating and enhancing current products and services?

 
11. Are your products and services advancing with new offerings to meet more of your customers’ needs, needs of your main market and other niche markets?

 
12. Do all contacts in all accounts and customers thoroughly understand all of your products, services and capabilities?

 
13. In your key customers and clients and at least 80% of your other customers, have you increased key contacts within the last 12 months?

 
14. Do you thoroughly understand the business of all of your accounts and customers and thoroughly understand all of their needs that you can participate in?

 
15. Do you have an account management database to manage account knowledge and communications with all contacts in all customers, clients and potential new ones?

 
16. Do you have a verifiable good business relationship with all contacts in all accounts and customers?

 
17. Have you asked all contacts in all customers what they think about you and what your importance to them is?  This is checking on your external branding, which is what your customers and market think and feel about you.

 
18. Have you asked all contacts in potential new customers what they think about you?  This is external branding, again?

 
19. Have you asked all of your own employees what they think about your business organization and what importance they and the business organization serve for customers, clients and the markets?  This is called internal branding,

 
20. Have you asked you own vendors from who you purchase materials from, what they think about you and what importance you serve customers, clients and the market?  Again, this is external branding.

 
21. When you happen to meet up with competitors at trade shows, conventions, and special promotional events, have you asked them what they think about you?  This is external branding, again.

 
22. Do you regularly attend the trade shows and special events where your competition participates with display booths, to study their marketing and offerings?  Do you even know where all of your competitors participate in such?

 
23. Have you recently completed a thorough competitive analysis on your products, services, capabilities, markets and marketing efforts?  This is ‘bench marking’.

24. Do you truly know all of your competitors in your market and niche markets and how you compare to them?  Again, this is called ‘bench marking’.  It is amazing how many businesses lack this knowledge.

 
25. Have you asked your vendors what other markets your products may have potential for?

 
26. Have you asked your own employees what other markets you may have potential for?

 
27. Have you asked your customers and clients what other markets you may have potential for?

 
28. Have you asked your professional business associations or trade associations that you belong to and participate in, what other markets you may have potential for?

 
29. Have you asked the journals and publications that you may be placing advertising, what other markets you may have potential for?

 
30. Have you asked all of the above people if they know of specific potential customers and clients they you may be able to do business with and you should contact?  This is called seeking out referrals which is very fundamental.

 
31. Have you coordinated with your customers and accounts to directly visit your facility within the last 1 to 2 years, especially your key customers and clients?

 
32. Do you have a video on DVD and/or digital video on your website about your business and capabilities that you can utilize with your customers?

 
33. Have you personally visited all of your accounts and customers in the last 3 to 6 months?

 
34. Do you telephone each contact in all accounts at least once every 1 to 2 months?

 
35. Are you expanding your referrals network continually?  These are strategic partners that can refer business opportunities to you?  Or do you have any?

 
We can add more things to this list but you can see the efforts in business development that is needed to avoid ‘Business Quicksand’.

All of these efforts need to be continual to produce some level of results over time, 1 to 3 years.

Results do not happen immediately.

This is why these efforts need to be proactive.

When in ‘Business Quicksand’ and the sales revenues and profits are declining, rarely is there enough money available to fund all of these efforts appropriately over 1 to 3 years to see the type of positive results that is needed.

Do not wait for business decline to start doing them.

Once business has declined and you are in ‘Business Quicksand’, time is not on your side and adequate money funds will not be available.

It is important to avoid ‘Business Quicksand’.
If you need some assistance with any of this, contact me immediately.

 
Michael Marshall, PhD
‘The Business Doctor’
Email:  michaelmarshall@new.rr.com
Personal website:   www.AskTheBusinessDoctor.com

‘BUSINESS SHAMES’ 
   

SOME SERIOUS BUSINESS ISSUES TO THINK ABOUT

 
These ‘business shames’ are not just an issue in the United States; these are actually worldwide issues

WHAT CAN BE DONE TO IMPROVE THEM

 
It would be a wonderful business world if these ‘business shames’ and issues could be improved

 
‘BUSINESS SHAMES’

 
1. Due to greed, self serving power struggles or incompetence, doing things that hurt customers, clients, employees, the business organization or the environment

 
2. Corporate ‘Mission Statements’ not being upheld or not being truly followed by everyday examples

 
3. Misleading or lying to customers or clients, employees or the marketplace

 
4. Not growing a business’s capabilities to stay competitive in the marketplace and to stay a viable business

 
5. Lack of communications to customers and clients, employees and the marketplace

 
6. Internal business politics hurting the business, clients and customers, fellow staff  and employees

 
7. Lack of quality improvement even if known to be needed

8. Lack of internal improvements for decreasing wastes of all types and decreasing costs

9. Lack of creativity, out of the box thinking, and innovation

10. Not recruiting and hiring the highest skilled and knowledgeable individuals to help contribute to grow the business.  Instead, viewing many individuals as ‘over-qualified’.
Often, businesses are fearful of individuals with extensive knowledge, experience and skills because the employer will not be considerate to them or respectful and the employer intends to only pay low wages.  The employer is fearful of the employees leaving them for better jobs so they just hire individuals with low level skills, knowledge and experience that are used to low wages and content on staying at a low level.  Employers with these attitudes have a high desire to be able to control and rule their employees and do not care if the employees can contribute to their business growth like others could.

11. The Rule of 10

On a skill level of 1 to 10 with 10 being the highest in level of skills and knowledge:  Individuals have a tendency to hire those at lower level of skills and knowledge than themselves to protect their own ego, protect their own jobs, out of personal ignorance and their own lack of skills and knowledge.
10’s hirer 9’s, 9’s hirer 8’s, 8’s hirer 7’s, 7’s hirer 6’s, 6’s hirer 5’s and so on downward.
If at some time the business organization have highly skilled individuals at higher levels, when they retire, get laid off, or leave for some other reason, often those at lower levels of skills and knowledge may be promoted upward creating a downward spin of skills and knowledge that contributes to a business decline.

12. Senior management and executive level rarely participating in continual education and training to keep on the front edge of knowledge, skills, expertise and challenging issues.  This often happens due to their own false egos of thinking they know all and possibly their fear of attending training and education may show their actual lack of knowledge and skills.

13. Even when business organizations have educational and training funds for employees, employees do not take advantage of such unless they get paid time off from their normal job to attend such

 
Versus

 
When employees want to attend training and more education to improve themselves and hopefully help them contribute to the business organization from such, the business organization does not encourage or support such

14. Lack of effective and meaningful employee incentive programs to contribute to the growth of the business organization with fresh new ideas, creativity, and possible observations for improvement

 
Versus

 
Employees not willing to put out extra effort to help improve the business organization and volunteer fresh new ideas for improvements unless there is a significant incentive program for such

15. Businesses not truly respecting and caring for the employees or customers and clients

 
Versus

 
Employees not truly respecting and caring for the business organization or customers and clients

 
Versus

 
A lack of trust by all

16. Age Discrimination and other discriminations, even though illegal

 
There are more ‘business shames’ that can be added to this list.

Feel free to think about those ‘business shames’ that can be added.

NOW, WHAT CAN BE DONE ABOUT THEM TO IMPROVE?

Some possible ideas on how to improve these worldwide ‘business shames’

1. Considerable PR public relations on these issues, internally and externally by the business organizations, professional organizations and the countries’ government, to encourage improvements of such

2. Aggressive incentive programs along with training programs within business organizations to improve these issues

3. Incorporate these issues in all educational and training programs, internally and externally

 
Feel free to add your ideas to this list as well

It would be a wonderful business world if these issues and ‘business shames’ could be improved.

If you need some help, contact me directly

 
Michael Marshall, PhD
‘The Business Doctor’
Email:  michaelmarshall@new.rr.com
Website:  www.AskTheBusinessDoctor.com

 August 2010

Rev. 2

By Michael Marshall, PhD
michaelmarshall@new.rr.com
www.AskTheBusinessDoctor.com

I am often asked this question by many business executives, business professors, business teachers and trainers, business consultants and advisors, and in my personal teaching and training.

The answers to this question are the same for any business executive who is tasked with ‘Turn-Around Management’ to help grow the business.

The first 30 to 60 days are critical because this is where you must get a good understanding of:

 
1. the business

 
2. capabilities currently and where it needs to get to

 
3. market or markets

 
4. communications of all types

 
5. its brand in the marketplace; what customers think and feel about the business organization, its products and services

 
6. the internal culture

 
7. issues, obstacles, challenges,; internal and external

 
8. the organization’s strengths, weaknesses and opportunities; in products, services and capabilities

 
9. where the business has been, is at currently and where it needs to get to quickly

 
10. financial stability prior, currently and where it needs to be

 
11. objectives for advancements and improvements need to be established along with time lines and measurements

12. develop a strategic plan and implement

Besides hard work and long hours, this will require traveling into the marketplace, visiting customers and clients, distribution and sales networks, and extensive efforts within the business organization.

 
This business journey will require investigation skills and mindset.

 
It will require a true team effort because you cannot accomplish all of this by yourself.

 
The items in the above list are fairly broad and need more details to be meaningful.

I will list some detailed business efforts to enable you to accomplish this list of critical objectives.

 
1. Have a detailed discussion with the CFO, accountant or finance officer about the financial statements and P & L;  Where the business was prior, is currently and where it needs to be.  Ask for inputs, ideas and suggestions

 
2. Have a detailed discussion with the HR Human Resource Director about many things;

a. Company benefits & costs, good, bad, needing improvements

 
b. Request a wage analysis of all job positions and market comparison

 
c. Level of skills, expertise and education of employees and staff

 
d. Request that every employee update their personnel files of their information or resume with their skills, expertise, experience, trainings and education

 
e. Education and training funds and programs

 
f. Training programs internally and what is used externally

 
g. Incentive programs for suggestions, ideas and improvements

 
h. Programs for eliminating wastes and decreasing costs and proper financial incentive programs to stimulate such

 
i. Culture in the business overall and per department or function

 
j. Recruiting and hiring program to assure highest skilled and educated individuals are found, recruited, hired and retained

 
k. Issues and challenges

 
l. Suggestions, ideas and inputs

3. Personally review all updated personal backgrounds of management and supervisory staff and if possible, do the same for all employees.  Uncover strengths, weaknesses and opportunities to utilize staff and employees better

 
4. Meet with all department managers individually to discuss;

a. Strengths, weaknesses and opportunities

 
b. Their departments’ situation prior, currently and where they need to be

 
c. Challenges, issues and obstacles

 
d. Suggestions, ideas and inputs

 
5. Personally telephone and travel to customers and clients to introduce yourself, get to know them and their business, their needs, assess performance with customers, and ask for their ideas, suggestions and inputs

 
6. Request from the marketing and sales departments:

a. an in-depth market analysis, current markets and potential new markets, national and international

 
b. an in-depth competitive analysis, national and international

 
c. an in-depth product and service competitive analysis, national and international

 
d. an in-depth marketing communications competitive analysis

 
7. MBWA  Management By Walking Around      Frequently walk through all departments to introduce self to employees, get to know each employee, show personal appreciation to them, ask for inputs, ideas and suggestions

 
8. Meet with all department managers again to discuss initial findings.  From this information, work with each department manager to develop and implement a plan for improvements and advancements, with time lines and measurements

 
9. Determine who needs additional trainings to be more effective and more competent and who needs to be replaced.  Determine who has skills, expertise and knowledge that can be utilized far more and do so.

10. Meet with operations management, departments’ management, legal advisors and legal counsel, to review compliance to all laws, regulations and codes that are applicable to the business organization

1. Commerce

2. International trade

3. Merchandising

4. Environmental

 
5. OSHA (US)

6. Labor, EEOC and employment

7. Fire and safety

Review in detail to assure all applicable laws, regulations and codes are acknowledged, respected and fully complied with.

Ignorance or incompetence is no excuse and not a legal defense for any non compliance.

If the business organization is formally found, out of compliance, you can suffer financial fines, get bad publicity and possibly get a bad reputation, and now be under close legal and government scrutiny; all of this can hurt the business.

 11. Develop an overall business plan from all of this with objectives and advancements, times lines and measurements; Implement immediately

If you find out that your management staff lack skills, expertise and knowledge to be able to do any of these things, immediately hire an outside business consultant or advisor to help you proceed to accomplish these things. 

 
Time is of essence and you need progressive forward momentum.

 
You should not wait to improve your staff’s expertise or wait to replace them. 

 
Utilize outside consultants and advisors to help you progress forward on all objectives immediately, while you make the internal changes that are needed.

 
If you need some help, contact me directly.

 
Michael Marshall, PhD

 “The Business Doctor’

Email:  michaelmarshall@new.rr.com

Website:  www.AskTheBusinessDoctor.com

Interviewer:

Again, it has been many months since we last spoke with you.

With the US economy being in the poor condition affecting businesses and employment; what have you encountered out in the business marketplace regarding job positions, employment and hiring practices?

 
Reply:

What I have encountered has truly amazed me.

My personal experience with the current state of the US business marketplace is very concerning.

 
Interviewer:

We have heard some surprising things from other sources, as well.

Please share with us some of your experiences.

 
Reply:

Much of my recent personal experience with the business marketplace is rather disappointing and not the most progressive side of things where I normally keep my experiences and personal attitudes.

 
Interviewer:

Like I said, we have heard from many about some shocking things happening in the business marketplace regarding retaining and hiring business professionals.
Sharing your observations and experiences that may not be the normal positive and more progressive level can be of benefit to others, as well.

Please do not hesitate.

Please share what you know and what you have observed and experienced.

 
Reply:

So many of the business position openings are often over inflated and misrepresent what the position and situation is actually. 

Sometimes it is so extremely misstated, it is a lie.

In many business positions, even when the position and situation is stated more accurately and does reflect a professional position; individuals with skills, expertise, experience and education are being viewed as ‘over-qualified’ and then aggressively discriminated against.

 
Interviewer:

Wait a minute.

Are you saying that businesses are not hiring the highest skilled, educated and experienced individuals that they can find and who wants the job position?

Reply:

Yes, that is correct.

Interviewer:

Why?

Reply:

There seems to be three main reasons for this.

Number One: 

The compensation and wage may be low even though the position with responsibilities and the higher qualifications that are needed warrant higher.

Such businesses have many job seekers to pick from so they look for those at lower levels of expertise who have been at lower level wages that may be able to stretch to accomplish some part of the position.

This seems to be more preferable to businesses than hiring individuals with more skills, expertise, experience and education that can easily perform the position and also able to contribute to the business in many ways.

So, as individuals gain expertise, skills, experience, training and education, this can lead to undesirable positioning in the eyes of businesses.
Number two:

Businesses and their management want to have a strong level of control over staff and employees.

Hiring of the higher skilled individuals that are now readily available for the middle to lower level positions creates business dynamics that many businesses would rather avoid.

I often hear, ‘we want to control staff and employees and their stability here:  We do not want them to have this control by leaving us for better job positions at higher wages once the economy improves’.

Of course this is the ‘low road’ from weak mind sets but it is reality.
Number three:

Often with businesses and companies, their current management staff are not as skilled, trained, educated and experienced as they should be. 

The current job market in the US is flooded with highly skilled, educated and experienced individuals that are available.

Many businesses and management at all levels do not want to hire those with more expertise and knowledge than themselves because of personal ego, their own job protection and their discomfort of trying to manage those that have far more knowledge, experience and expertise than themselves.

 
Interviewer:

You have confirmed what we have heard from so many others.

Please share with us some actual examples.

 
Reply:

I can do this but will avoid giving you the name of the businesses and companies.

Interviewer:

Of course, we understand.

Reply:

I spoke with their Senior VP of Sales from a company that shared with me that she disliked sales and feared that highly skilled and educated individuals felt the same. 

She stated that she would not hire the highest skilled and educated individuals due to this.

She went on to say how she noticed on my personal background, the importance to develop referrals and create a good brand in the marketplace to help increase sales and grow the company.

You will be surprised to hear that she stated that she did not believe in none of this and their business had no referrals and did little to create brand recognition in the marketplace.

After I explained more details on these fundamentals, she said that she still did not believe in any of it.

Obviously, she fails Sales and Marketing 101 on the fundamentals of sales, account management, marketing and growing the business.

Yet, she is their Senior VP of Sales.

I never heard back from her after our conversation.

I spoke with a Senior VP of Human Resources of a company that insisted that I tell him my compensation and wages of every position that I ever held; contract interim advisory and special project assignments, and full time positions; for my entire business career.

His bio on the company website mentioned that he had a bachelor degree and masters, in some subjects not stated.  When I asked him what his subject areas or majors were, he would not tell me.

When I hesitated and told him that this financial information was private and personal between me, my accountant and the federal and state government; he boldly said that if I did not give him this detailed personal information that he would not forward my background and availability on to the president who was the key decision maker.

He went on to say that anyone making less than what their compensation is, will be viewed as ‘under qualified’ and those who have made more will be viewed as ‘over-qualified’.

He went on to explain that he believes in this approach to keep control of staff and employees.

Reluctantly, I gave him a range without specific details to help satisfy him but I have not heard from him again.

I spoke with a Manager of Human Resources of a multi-billion dollar US corporation who told me that he was under a corporate directive to screen out highly qualified and educated candidates and only hire those with lesser qualifications, skills, experience and education that fits the positions and lower pay levels.

He acknowledge that this was counterproductive and against basic human resources principles.

The person went on to say that the corporate level even went to the extreme to also have a directive prohibiting hiring anyone who graduated from college three or more years ago. 

He went on to acknowledge that this is age discrimination but many other companies are doing the same these days and the US government cannot do anything about it. 

He commented that if the US government tried to correct this discrimination, their company would just rewrite their policy to get around it.

A Senior VP of Human Relations from a medium size company called me about a management level position that I applied for to tell me that my expertise, experience, skills and education were more than all of their current management combined.  He went on to say that even though from his perspective that the company could utilize my expertise to help grow the business, having to report to those far below my level of knowledge and expertise would not be comfortable for their current management; and so I am viewed as ‘over-qualified’ and not a good fit.

I just got spoke with an acquaintance.   She told me that she recently went on two interviews for an office level position at a small business which she had experience and skills in and well qualified for.  On the second interview, the owner of the business told her that she was ‘over-qualified’ and feared that she would eventually leave for a better paying position because she was taking some part time college courses locally to improve herself.

This same acquaintance told me about another office administration job position opening that she interviewed for.  She was told that she had more knowledge, skills and experience in doing the job than the three management people currently employed at higher wages and that are struggling.  She was told that they cannot hire her at half of their wages in a junior level position and she would do all of the work easily and proficiently and make the three others look bad.

Numerous executive recruiters have confided in me that their corporate clients are telling them the same with all of the above information.

 
Interviewer:

This is frustrating and disheartening.

This cannot be good for US businesses and the culture, here in the US.

There are many skilled individuals if hired that could contribute to improving business and help grow the business in many ways, well beyond the current capabilities.  Most welcome any job position at lower pay over the gloom of unemployment.

 
Reply:

This is absolutely correct but the current general mindset in the marketplace is hindering this.

 
Interviewer:

This is ‘Chaos’ that hinders US businesses, hinder economic improvement and hinders US businesses from improving their competitive edge globally.

This is all counterproductive in so many ways.

 
Reply:

Yes, your comments are true but you would be surprised to know that this is also happening globally. This is not just an issue in the US.  It is a global issue.

 
Interviewer:

I am surprised to hear this.

 
Reply:

I have spoken to numerous young adults who work in retail and fast food. 

Many tell me about how they had to lie on their job application to avoid being viewed as ‘over-qualified’ They denied having completed education degrees so they would be hired for the hourly job.

Some also mention that they do not know how they can repay their college loans.

They tell me about their parents that are college educated with skills and considerable experience that are struggling seeking a position.

These college students tell me about how they are personally experiencing the effects on their parents and their family.

They worry about how they may be in the same situation as their parents are, one day.

 
Interviewer:

We have heard this as well.

All of this is very concerning.

What do you think will happen with this situation?

 
Reply:

I believe it may correct itself but I do not know when, how, to what extent or what will happen to encourage the improvement and changes.

Of course, a healthier US economy with more jobs creation will help.
To accomplish this there are many fundamental improvements and changes that are needed in the US.

1. Update international trade laws and regulations to stimulate fair and equal trade

2. Review of international trade organizations and membership of

3. Tax reforms of all types to help the business sector

4. Immigration laws and regulations reform and updating which is a sensitive issue

5. A true partnering  effort from federal, state and local governments with the business sector

6. Reform of federal incentives of all types that are counterproductive for business, international trade  and jobs creation

7. And several more fundamentals that are long overdue
I have this discussion with many people that have great insights, are highly educated and numerous others.

All are saying the same. 

They just do not know when the needed changes and improvements will happen and to what extent.

All are amazed at the current situation and chaos.

I have had this discussion with many business owners and corporate executives.
They confirm that their organization do the same as what has been mentioned here and put the blame for their actions on the economy. 

Most are embarrassed to some extent.

 
Interviewer:

We have heard from so many others this ‘over-qualified’ situation that seems to be a real problem and counterproductive.

How can this happen?

 
Reply:

This ‘over-qualified’ situation that is so common right now is detrimental to our culture and the future advancement of the US.  It is detrimental to advancement of knowledge and way of life.

Here in the US for generations, advancing ones education and knowledge has been promoted by all. 

Parents tell their children of the importance of getting more education.

Technology and medical science needs people to advance their knowledge and contribute with new ideas, new knowledge and advancements of all types.

Business organizations traditionally seek out individuals with higher levels of knowledge and expertise to help contribute to business improvements, product and service improvements and business growth.

The schools and universities promote the importance and benefits of obtaining higher education and training.

This is how we advance our knowledge, technology, health and way of life.

Now, our businesses have changed their attitudes of such with ‘over-qualified’.

This ‘over-qualified’ attitude has become a cancer to business and our culture. 

It has negative effects on so much.

 
Interviewer:

What do you say when you hear this ‘over-qualified’ negative attitude.

 
Reply:

I speak up boldly immediately about such being nonsense, counterproductive for businesses, our culture and advancements of all types.

I ask, ‘When you need better health and possibly you are not feeling well, do you seek out the best doctor that you can find or do you say that a doctor is ‘over-qualified’ to help you gain health and feel better?”

I ask, ‘When your automobile is not working right or needing body work and needing fixing, do you seek out a good mechanic , hopefully one of the better ones around or do you say the mechanic is ‘over-qualified’ to work on your auto to make it better?”

I ask, ‘At home when one of your appliances need fixing, do you seek out a good repair person and hopefully one of the better ones or do you say that the repair person is ‘over-qualified’ to repair your appliance?”

I ask, “With your children and school, do you want the best teachers possible to work with your children to teach them and help them advance with their learning or do you say that the teachers are ‘over-qualified’ to work with your children?”

The same applies for business organizations and seeking out those with the highest level of skills and knowledge, to hire.  To progress and get healthier, businesses cannot have the negative attitude of ‘over-qualified’.

The problem with this is that business organizations are allowing their management staff to conduct this negative ‘over-qualified’ approach that is detrimental to the business and to our culture.

Until this ‘over-qualified’ negative attitude becomes more public and gains more social scorn, this will not improve.
I would love to see television and radio advertisement and discussions on this subject to stimulate more awareness and how unhealthy it is.

We see this with cigarette smoking and drugs; we should see this with this issue as well.

 
Interviewer:

Looking at these problems and issues in this perspective certainly makes many look fairly sick.

 
Reply:

Yes it does

 
Interviewer:

How did so many highly skilled and knowledgeable individuals become unemployed and so many individuals with possibly not as high of skills, expertise and knowledge keep their job positions and now are in positions to be part of promoting this ‘over-qualified’ negative attitude that is frequently happening now?

 
Reply:

This is a great question.

I have asked this question with many people: the unemployed, the employed, executive recruiters, human resource executives, business executives, and management staff of all types both employed and unemployed.
I have heard several reasons.
1. Many of the highly skilled and more educated individuals seemed to have focused on their job, performing and possibly keeping their own training updated to stay current, ignoring internal politics and building important personal political relationships.
Others put far more efforts and attention to the internal politics and building those relationships.
When layoffs, downsizing and possible promotions came around, many of those individuals who did not build these internal political relationships became casualties while the others that had developed the internal political relationships survived.

2. When business did have layoffs and down-sizing, the individuals with the higher level skills and knowledge that may have been paid more were some of the first casualties. Some layoffs were based on level of wages, leaving those with lesser skills and knowledge at a lesser wage level to be employed and manage the business.  These are the ones now influencing the hiring decisions and they make sure to protect their own job position security from all possible threats.

3. Many business organizations had this negative attitude of ‘over-qualified’ for many years but those with the higher level of skills and knowledge were able to find employment with other businesses that welcomed them.  Now that the US economy is struggling and there are so many unemployed, this negative attitude of ‘over-qualified’ is compounding the problems and now more noticeable.

 
Interviewer:

This interview subject is quite different to those in the past that we have had with you.

I know you were hesitant to share information with us on this subject but we do appreciate your willingness to do so.

Thank you

 
When one looks at a list of common psychology words, terms and phrases along with their definitions; and then attempt to apply these to business organizations; it is amazing how psychology applies to business organizations in a very direct manner.

 
Let’s review some common psychology words, terms, phrases and their definitions; and apply them to business organizations.

 
Get ready for amazement and a revelation that will create much personal thought and serious discussions with others.

Business Organization

      
Departments, functions, employees and staff not working together affectively as a team and not towards a single positive purpose and goal   (a ‘Mission Statement’ alone does not fix this)

Psychology Term, Word, Phrase  +  Definition:  Dysfunctional
Inability to function emotionally or as a social unit
Not performing as expected
Affected by disease or impairment
Malfunctioning as a structure

 
Business Organization:

 
Major tasks and needed improvements rarely gets completed and often delayed with comments of ‘let’s schedule for next year’
When next year comes around, it is delayed yet again

Psychology Term, Word, Phrase  +  Definition:  Procrastination
Procrastination is the counterproductive deferment of actions or tasks to a later time
A mechanism for coping with the anxiety associated with starting or completing any task or decision
Often producing stress, guilt, crisis and severe loss of productivity
Procrastination is often surrounded with issues of anxiety, low sense of self-worth and self-defeating mentality

Business Organization: 
Customers, clients and markets not having a good understanding of a business organization or lack of positive feelings toward it, is often referred to as lacking brand and lacking positive brand awareness.
The business organization internally can be confused about themselves regarding purpose, objectives, value to market clients and customers, capabilities and more.

Psychology Term, Word, Phrase  +  Definition:    Identity Crisis
Losing a sense of personal sameness and historical continuity of some shared world image
Critical period in emotional maturity and personality development involving reworking and abandoning earlier ways
The turning point of a disease for better or worse
Time of intense analysis and exploration of different ways of looking at oneself
Balance of identity and confusion, leads to making a total commitment to an identity

 
Business Organization: 
Not seeking out, recruiting, hiring and retaining staff and employees with the highest level of skills, knowledge and expertise that is available that then causes struggles and a lack of business growth in many ways.  Not building a team of individuals with the highest level of expertise that can be found

Psychology Term, Word, Phrase   +   Definition:  Peer Group Influence
Peer groups are an important influencer throughout ones’ life
Peer groups influence and encourage attitudes, values and behavior
Peer groups can cause people to do things that they would not normally do, both positive and negative
A negative could be not being productive or exhibiting bad behavior that harms oneself or others
A positive could include being more ambitious, working as a team member, working hard to succeed

Business Organization: 
It makes good business sense to hire staff and employees with the highest level of knowledge, skills and expertise.  This is what helps grow the business.
Often times, business organizations do not do so and you can hear employees comment about how the organization does not hire the most competent people that they should
This can be company-wide or focused on specific departments depending on leadership and management
Specific individuals in management in positions of authority may directly influence the hiring of staff well below their own level of knowledge and competence.  They may not feel good about the potential of hiring those with higher levels of knowledge, skills and expertise than their own.  They may feel that such higher skilled individuals are a direct threat to themselves for a variety of reasons.  This can happen both consciously and unconsciously but it usually is obvious from their actions and from the observations of others.
Of course, this hinders the business organization from growing and puts it jeopardy to struggle and fail

Psychology Term, Word, Phrase   +   Definition:  Ego Defense Mechanism
The ego is one’s self image and who we believe ourselves to be
This can be positive and productive, it can negative and non productive or it can be misleading and non productive
It is how we look at the world and how we want the world to look at us
It directly interfaces with the world around us so it can be healthy and productive or it can be not so healthy and not productive
It directly influences our perceptions, good decisions and bad decisions
When there is a threat perceived to ones’ self-ego, we can react in a negative non productive way
This can happen to maintain our self-image
This false ego and protecting of one’s ego is often stimulated from an earlier loss or traumatic experiences

Business Organization: 
Making some initial attempts to improve and to grow but stopping short

Psychology Term, Word, Phrase    +    Definition:  Approach Avoidance
Conflicts, of something positive and the actual contact with that behavior
The tendency to flee or act defensively is stronger than the tendency to go forward
Conflicts occur when a goal has both positive and negative characteristics causing an individual to fear something that they desire
When the goal is far away, both positive and negative feelings about the goal are less strong
A pattern of approaching a goal or behavior and when getting close, then backing off and avoiding it

Business Organization:
Feeling that the business organization cannot grow, has low worth or value to the market and to customers and clients; and does not deserve staff and employees with high level of skills, knowledge and expertise that can help the organization to grow
Failing to be progressive and positive to grow the business

Psychology Term, Word, Phrase    +    Definition:   Low Self-Esteem and Depression
Low Self-Esteem:
Lack of self -worth and confidence
Feeling overwhelmed by the pace of life and a failure compared to everyone else
Playing it safe and not trying anything new
Behaving timidly and not asserting oneself
Not asserting oneself and putting oneself down
Trying to escape unpleasant realities
Dwelling on the negatives
Taking pleasure in stories about the troubles of others
Being negative; nothing is good and everything is horrible
Do not like one-self and ones’ looks
Putting little effort into things because of doubt to be successful
Depression:
Depression is more than just a feeling of being ’down in the dumps’ for a few days.  It is over a longer period of time
Symptoms include; sadness, loss of interest, loss of interest in activities that once gave pleasure and was enjoyed, difficulty sleeping, change in weight, energy loss, feelings of worthlessness and helplessness, and sometimes even thoughts of death and ending all
The symptoms persist and interfere with everyday life

Business Organization:
Resisting expanding business within current market, into other markets in application and geographically, national and international

Psychology Term, Word, Phrase    +    Definition:  Anti Social
Lack of adherence to social standards and beliefs that allow members of that society to coexist peaceably
Extremely selfish and self-centered
Sometimes arrogant, overly confident and cruel
Most deviants have an early onset and showed clear signs of anti social behavior early in growing up and developing

Business Organization:
Feeling that they are the greatest and ‘the best’ no matter how wrong or lacking

Psychology Term, Word, Phrase     +    Definition:  Delusions of Grandeur
Fixed beliefs that are false
Fantastic beliefs that one is powerful, great, famous and knows everything
Sufferer does not have insight into their loss of touch in reality

Business Organization:
A fear and avoiding efforts to change, improve and grow, no matter what staff encourages, market demands and customers and clients ask for

Psychology Term, Word, Phrase     +    Definition:  Phobias and Fears
An intense fear for something that in reality poses little or no danger
The experience can be so nerve-wracking that you may go to great extent to avoid it

Business Organization:
MBWA / ‘Management by Walking Around’ is always effective.  This is where management continually walks though the business talking with employees and staff to inquire how is everything, how are they and any suggestions that they have.  This shows employees and staff that management cares about them and they value their personal efforts, inputs, ideas and suggestions
When this is not a normal occurrence in an organization and management occasionally and suddenly comes out of their office to demand abnormal tasks to be done immediately lacking beneficial meaning, it can be a symptom of something else 

 
Psychology Term, Word, Phrase     +    Definition:  Manic, Manic Depression, Bi Polar
Manic is when an individual is excessively distracted by an unimportant stimuli.  It is a state of abnormally elevated or irritable mood, arousal and energy levels
When it is linked to other times of depression as in a cycle, it may be referred to as manic depression or bi polar

Business Organization:
A belief about themselves, their markets, capabilities, value, customers and clients that is not close to reality

Psychology Term, Word, Phrase     +    Definition:  Schizophrenia
Interpreting reality abnormally
Abnormal perceptions that contribute to chronic problems individually and socially

Business Organization:
Continue to act and do things over and over again that are not affective or productive but hoping that someday results may be different or better
This wastes time and money and contributes to the decline of the business

Psychology Term, Word, Phrase    +    Definition:  Psychosis
Loss of contact in reality
Impaired reality testing
Unable to distinguish between personal subjective experiences from reality

Business Organization:
Business executives and managers that deliberately mislead, lie, cheat and steal to cause harm to others; customers, clients, employees, the business organization

Psychology Term, Word, Phrase     +    Definition:  
Psychopath or SCDD Social Conscience Deficit Disorder
Not concerned with wrecking or hurting of others
Having only contempt for others’ feelings and ready to take advantage of them
Lack of empathy, unable to empathize with the pain of their victims
Lack of remorse, shame or guilt
Persistent lying and stealing
Rationalizes the pain and harm they cause to others
Exploits others
Authoritarian and secretive
Grandiose sense of self
Superficial charm
Incapable of true emotions
No concern for their impact on others and no remorse
Oblivious to the devastation that they cause
A pattern of violating the rights of others
Usually the behavior starts in child hood
Changes their image and life story as needed to avoid criminal prosecution

 
Business Organization:
Not making decisions, taking too long to make decisions or making bad decisions that causes a business to decline

Psychology Term, Word, Phrase     +    Definition:  Poor Decision Making
Decision making is vital for individual’s health and social well-being
Good decisions are based on a foundation of knowledge and sound reasoning
Decisions that are made on a basis of flawed logic, emotionalism or incomplete information will hinder an individual, personally and socially
The quality of a decision in a timely manner affects health, mentally and physically

Business Organization:
Difficulty in recognizing, understanding and affectively resolving problems contributing to business decline

Psychology Term, Word, Phrase    +    Definition:  Problem Solving
A mental process that includes problem finding, problem shaping, understanding and affective resolution
This is defined as a ‘higher-order’ in the cognitive and thinking process
This is critical for survival and health

Business Organization:

Making poor decisions that hurt the business even though better options are obvious and available.  Recruiting and hiring lower skilled staff even though it is clear that higher skilled individuals with more knowledge are available to hire and would contribute to the growth of the business.

Psychology Term, Word, Phrase     +    Definition: Self Defeating Personality Disorder
Chooses people and situations that lead to disappointment, failure or mistreatment even when better options are clearly available
Fails to accomplish tasks crucial to his or her objectives despite demonstrated ability to do so
This behavior does not occur only when depressed

Business Organization:
Lacking or struggling to have a better and more in-depth understanding to the needs of the markets, customers and clients
(Understanding the needs of the markets, customers and clients is part of the foundation to
affective marketing and selling)

Psychology Term, Word, Phrase    +    Definition:  Needs Analysis
Needs Analysis includes all activities needed to collect information about others wants, wishes, desires, requirements and expectations
Some needs may be unclear needing uncovering and clarifying more
Needs can change

Business Organization:
All business organizations need to improve in all departments and functions; quality, efficiency, expand capabilities, increase team effort, eliminate wastes, eliminate needless efforts, computerize and automate, and increase knowledge and effectiveness
Many business organizations either fail to do this adequately or struggle with it

Psychology Term, Word, Phrase    +   Definition: Self-Improvement and Self-Empowerment
Self-Improvement:
Individuals’ and group effort improving intellectually, mentally, emotionally, physically, economically and all with a substantial psychological basis
Self-Empowerment:
Gaining control over oneself
Empower self in many areas in ones’ life
Definitions can range from psychological, sociological, business to philosophical
Such efforts help regain self-confidence, self-sufficiency and gain skills for such
Results from such include; increase of self-image, increase of one’s thinking and effective decision making, stimulates positive thinking, increase of assertiveness, increase of feeling of well-being and stimulates growth
It also stimulates a stronger sense of self and the ability to change things and improve

 
There are even more common business situations that parallels psychology words, terms, phrases and their definitions.

 
Most businesses and companies have many of these ailments, issues and problems.

Some business organizations have far more of these ailments than others.

Outsiders looking at businesses with such ailments often think that it is ridiculous to have such issues and that the business organizations should know better.

 
Employees and staff who work for businesses with such ailments and issues often feel frustrated and angry at the situation.

These ailments, issues and challenges can be improved with some aggressive and progressive internal ‘turn-around management’ efforts.

As Albert Einstein once mentioned, ‘you cannot fix a problem with the same attitudes that created it’.

As many legal experts mention, ‘an attorney representing themselves in a court of law for their own personal problem and issue, has a fool for a client’

As Sigmund Freud once mentioned, ‘people do not get better unless they recognize the problem, are highly motivated to improve and willing to pay for it’

To this extent, a professional business advisor and consultant can be an immense benefit to help business organizations navigate through the changes and improvements needed to get into better health and business growth.

 
Recruiting, hiring and retaining staff and employees with the highest level of knowledge, skills and expertise that is available, is fundamental and the right step to take, as well.

When your automobile is not working and needs repairs, you seek out a good auto mechanic.

You do not say, they are too good of an auto mechanic to fix your car.

When a house appliance breaks and needs repair, you contact a good repair person to come over to fix the appliance.

You do not say, they are too good to fix your appliance.

When your telephone or computer does not work and seems broken, you contact a good repair person.

You do not say, they are too good to fix your equipment

When your family pet is sick, you take it to a good veterinarian.

You do not say, they are too good of a veterinarian to help your pet get well.

When you or a family member is personally physically sick and ailing, you seek out a good medical doctor.

You do not say that they are too good of a doctor to help you get better and get back your health.

When you or a family member has mental health problems, you seek out a good psychologist or a good psychiatrist to help.

You do not say that they are too good to help you get better.

 
There is no reason to feel different about hiring staff and employees with the highest level of knowledge, skills and expertise that is available.

There is no excuse for anything less.

Fill your business organization with staff that has the highest level of competence and expertise that you can find and fully support their efforts.

You will see critical improvements that will help improve the business health and grow the business.
Like an individual with ailments, business organizations with ailments can get better and improve their business health.

For additional information or assistance, please feel free to contact me directly.
Michael P. Marshall, PhD
Email:  michaelmarshall@new.rr.com
Personal website:  www.AskTheBusinessDoctor.com
Michael has 25 years of business experience in numerous markets with a variety of products and services.  Prior to his extensive business career, he was a behavioral health counselor.
His education includes a PhD in business, MBA, BS degrees in psychology and social human behavior, Federal International Business Certification, and over 34 other advanced certifications in; business management, business development, sales, marketing, marketing communications, customer service, product management and development,  training and business  strategy.
His passion is ‘Business Development’ and ‘Creatively Finding Ways to Grow the Business’

In the past, I have written many times about the fundamentals of business management, business development and marketing; over 200 articles which are posted on my personal website of www.AskTheBusinessDoctor.com and more than 20 articles published internationally.

 
This short article will be focused on updates to the fundamentals for executive level management.

 
The briefings in this article will be beyond thought provoking and be quite insightful.

 
In my attempt to keep this article brief, I will not be going into extensive discussion of each point but the truth for each should be so obvious that extensive discussion will not be needed.

If I have done a good job with conveying the advanced information in this article, you should lose some sleep and be deep in thought on many of the fine points here, for many days.

If this does not happen, either I have failed in conveying the important information or ‘you just do not get it and maybe will struggle to ever get it’.

Let us continue with the advanced information.

 
Point 1;

Businesses that have a competitive advantage with differentiation that meets market needs, in a reasonable healthy economic market, is a favorable business to be in both as a business and as an employee.

Such businesses are more profitable.

Such businesses can afford to attract higher skilled management and employees and pay the higher wages to attract them and retain them long term.

Such businesses have the financial structure to stay healthy through economic ups and downs without downsizing employees and major operations expenditures that hurt the organization long term.

Point 2;

 
Skilled management and executives working with a business organization in poor economic markets can look poorly and get minimal results regardless of their skills and expertise.

Management and executives working in businesses that are in better economic markets may look good with results regardless of their skills and expertise.

Skilled management and executives in businesses in the better economic markets tend to out-perform competition significantly.

Point 3;

 
Mediocre businesses in poor performing economic markets rarely turn into high performing businesses.

 
Point 4;

 
If the business is in the poor performing economic market, one should hesitate changing your management and executive unless for good specific reasons.

Skilled management and executives need to closely consider the business to work for regarding being in a healthy economic market Versus not as healthy of an economic market.

If the business is in a good economic market and not out performing competition this is good reason to consider changing management and executive level.

Point 5;

Some guild lines for the definition of a healthy business in a reasonable economic market is; one that has differentiation in their products and services that the market needs and the ability to stay at 50% to 60% net profit to be able to invest back into the business for improvements and be able to pay top wage compensation to attract and retain top management talent.

Point 6;

 
We all have a deep need to be appreciated.

Part of management’s job is to make sure that all employees feel recognized and appreciated.

Point 7;

 
Criticizing others is not productive and makes things worse.

Always build on the positives, offer suggestions and ideas for alternatives and  improvements.

Pose questions and challenges but do not criticize.

The normal performance reviews with criticism are not productive.

People do not accept criticism well and instead become defensive and become de-motivated.

If criticism is needed, do so by category or subject and not by name or individual.

 
Example;
We need to improve on-time delivery.  What are some of your ideas on how to improve this? 

Versus 

You as the manager of the shipping department are doing poorly with shipping and fast delivery.

Example;
We need to improve customer relations and repeat orders. 

What are your ideas about how sales and customer service can help improve customer relations, customer loyalty and increase repeat orders?

Use stories and case studies to illustrate alternative ways and methods to improve on.

Used correctly, you can inspire and motivate others to new highs and success.

Used incorrectly, it is devastating, destroys creativity and motivation and can destroy your business.

Using praise and appreciation is the pathway to motivating management and employees.

Avoid conflicts, arguments and making others feel poorly.

Motivating others to come up with possible solutions and improvements is far better than just telling them the answer that you think is correct and then expecting improvements.

 
Point 8;

Instead of setting goals and objectives for others, it is more effective to guide them into setting their own goals and objectives.

Doing so will help achieve them.

Point 9;

 
Ask questions and suggestions instead of giving direct orders. 

It is more effective to achieving success.

Point 10;

 
As executive or senior management, be careful of company debt.

A down turn of economy with debt can be devastating to the business.

Be careful of using debt to create earnings.

Generally speaking, long term debt should not be more than four times the annual net profit.  This is a good guide line to use.

 
Point 11;

As a manager or senior executive, you will make mistakes in your career.

Always be honest when they happen and admit to them publicly and boldly.

Never hide for them, blame on others or deny.

Analyze your mistakes and errors to learn from them so you will do better as your career continues.
 

Others will respect you far more with this positive approach.

Point 12;

 
Beware of support staff, advisors and consultants that are ‘Yes People’

For every idea that you may have, your staff should be honest and aggressive enough to come up with facts that make you hesitate on many of your ideas.

Support staff, advisors and consultants have a tendency to come up with information to support CEO’s and senior executives’ ideas even if the ideas are not the best.

Challenge their support and supporting information.

Set as a challenge the need for detailed information that just not supports your ideas but also shows it in error and shows better alternatives.

This is the true need and nothing less.

Point 13

 
Be honest with your accounting and financial numbers.

It is easy to use various accounting methods to mislead others.

Look for ways to insure that all of the facts are known and Not misleading.

 
Point 14

 
It is important to support creativity and innovation but it is also important to manage the costs of such.

 
Point 15

 
It is important to continually update your knowledge with education and trainings.

 
Point 16

 
If you discover some dishonesty in your business or company, do not deny or hide it.

Instead, investigate it thoroughly, hold those responsible accountable, put things in place to improve it and hopefully prevent it from happening again.

Do not deny or hide it.  This will only create mistrust.

 
Point 17

 
Create company programs and awareness to hire upward. 

There is a critical need to always recruit, hire and retain the highest talented individuals that you can find.

There is a natural tendency for management to hire those below their own skills and expertise to protect their job position and self egos.

Beware of this and have aggressive processes and programs in place to manage this natural tendency.

Point 18

 
Business organizations have a natural tendency to resist change even if it is needed to grow the business.

Too often, this continues until the business declines and management staff has to be replaced.

The time and costs needed to bring the business back up can be extensive.

Beware of this and avoid letting this happen.

Keep watch over changes that are needed to keep the business organization healthy and growing.

Point 19

 
Keep a close watch on the over head expenses to keep them down and keep monies available for things that will help grow the business.

Point 20

 
Keep in mind that well-known phrase from Wayne Gretzky, the famous hockey player.

When asked what helped him be so good and set so many hockey records, he replied with something like;

“I think about where the hockey puck is going to be next and I go there before it gets there’.

This applies to businesses.

Point 21

 
Keep close watch over progressive efforts and results for;

 
1. Increasing customer loyalty and keeping customers

 
2. Uncovering more needs of customers and make sure you increase your capabilities to meet these needs

3. Increasing sales from existing customers

4. Expanding market niches

5. Increasing new customers

 
All of these things need to be accomplished to grow the business.

Point 22
    
    
Have aggressive programs to seek out cost reductions.

Special employee incentive programs for such will help uncover these.

Cost reductions help keep profits higher and provide the needed monies to invest back into the business to help it grow.

Point 23

 
Strive for meaningful differentiation in your products and services that meet important customer and market needs.

If your differentiation is not viewed as valuable and important by your customers and market, it isn’t and it does not have value.

Remember the simple definition for ‘Value-Add’

It must meet one or more of these criteria.

1. It saves money for the customer

2. It helps the customer avoid costs

3. It gives the customer a competitive advantage

4. It helps the customer be more profitable

5. It helps the customer increase their sales

6. It solves a major problem or issue with the customer

Again, this has to be in the eyes of the customer and not yours.

Now, give all of these points some considerable thought, reflect with others and lose some sleep thinking about them.

Most importantly, remember them and apply them immediately.

 
If you have further questions or need some help, you can give me a call or email.

 
Michael P. Marshall, PhD
Senior Specialist and Executive Advisor for Business Development, Marketing and Sales
Tele. 920-734-8678
Email:  michaelmarshall@new.rr.com
www.AskTheBusinessDoctor.com
Michael has more than 30 years of business experience focusing on business development utilizing extensive skills in marketing, sales, and communications; both national and international.

This experience comes from starting at field staff level positions and then progressing up to senior level Director and Vice President positions in several industries and markets.

His expertise is also utilized in special advisory and consulting situations, as well.

Prior to his extensive 30-year business career, he studied advanced engineering and then transitioned to psychology and social human behavior.

He was a mental health counselor for several years in some major medical institutions prior to a business career.

In these endeavors he learned what makes people do what they do, what influences others, how to motivate positive behavioral change; and the importance to a strong foundation and the individual components in a structure.

Among the senior level positions held during his 30-year career, Michael has held director and vice president level positions in marketing, sales and business development in several industries and markets including medical.

Michael’s education and trainings include a PhD in business concentrating in marketing and business development, an MBA, bachelor degrees in psychology and social human behavior, advanced post graduate certification in marketing from UCLA, formally trained in ‘Creativity and Out of The Box Thinking’, federally certified in international business, and being an alumnus of six universities.

He has over 35 formal trainings and certifications covering the fundamentals of business development, marketing, sales, communications, management and leading a business to significant sales and profit growth.

Utilize Your Observation and Analysis with All Products, Services, Businesses in All Markets

Even though this is written from the perspective of the US, it applies to all businesses in all countries, globally.

Many businesses spend millions of dollars in acquiring staff, advisors and consultants with such expertise.

You can easily study what they are doing, learn from it and then apply it to your own business.

This approach is very affective in learning and will help you identify ideas that can help you grow your business.

This should be done with all products and services in all markets and industries.

Excellent business development, marketing and branding efforts cross over to all products, services and markets.

Uncovering much of this information is quite simple.

 
1. Study businesses’ literature, promotional materials and their website

2. Study all advertisements; radio, TV, internet, newspaper and print

3. Study news articles on businesses

4. Study signage

5. Study their products; sizes, colors, quantities, packaging, etc.

6. Study service offerings

7. Study warranties and guarantees

8. Study distribution channels, sales channels and retail channels

9. Study company and product literature

10. Study their packaging

11. Study their sales channels and how they go to market

12. Study type of customers attracting or not attracting

 
Study what businesses are doing and not doing.

Study the results of their efforts and lack of results.

Study time frames and possibly any cycles to their efforts.

Study changes in their product and service offerings.

When studying company literature, product literature and advertising; analyze the messages that they are trying to convey and who they are trying to target.

Continue with your analysis of such to uncover other target markets that they may be missing and possibly important information that they are missing as well.

Studying both what others are doing and not doing will teach you important things.

Try to use ‘selective perception’ to help focus your attentions to how businesses are marketing their products and services.

When you think about a specific business, product or service, focus on how they market themselves and their efforts to grow the business.

Your efforts doing so should be on all products, services, businesses in all markets.

After all, products and services of all types surround us in our daily life.

What you learn can be utilized to grow your business.

To illustrate all of these simple concepts we will discuss some examples.

Keep in mind that ALL companies and businesses no matter what market they are in can learn something from each example that they can apply to their own business development and marketing; business to business and business to consumer.

If you struggle to do so, there-in lies the problem and you may need some outside professional executive consultants to help you.

 
Example 1

Using a drive-through lane at a local bank, at the teller window I noticed a bowl of candy and a bowl of dog milk bones.

When customers with children come through the drive-through the teller offers candy and if the customers have their pet dogs in the car they offer dog milk bones.

Why would they do this?

Maybe to develop customer relations and build loyalty that leads to retaining customers and possibly expanding business within the customer base?

In your business, can you utilize this concept in some way?

 
Example 2

 
A coffee shop serving gourmet hot and cold coffee drinks is located in the middle of a mid size city business district. They are on the main street and close to multi story business buildings.

They rely on customers knowing about their shop by walking by or passing it in their cars.

One of the owners comments about how their business is slow.

When they discover my expertise in business development and marketing, they ask me for suggestions and ideas.

My suggestions and ideas were:

 
1. Develop special coffee catering programs for the local businesses within walking distance.  There are many businesses.  Then market them.

2. Offer gift cards for purchase and market them to the local businesses for employee incentives and special appreciation programs.

3. Develop a loyalty program where customers get a card and for each drink purchased they get the card punched/marked and after so many purchases they get a free drink.

4. Possibly develop a relationship with the bakery 2 blocks away to put fresh bakery goods in the coffee shop on consignment at no upfront cost or risk.  Negotiate a reasonable price based on quantity sold.  Charge a small profit margin on top of cost to move product.
This can help attract more customers and increase sales and profit revenues.

 
How can these simple concepts be utilized in your business?

Example 3

The owner of a local used car lot with an auto mechanic on the premise comments to me how their business is slow.

They are located on a main street, on a corner near major retail businesses and shopping.

They ask me for suggestions and ideas to attract more potential customers onto their car lot and possibly increase their business.

My suggestions and ideas were:

 
1. Develop exterior signage to post on their lot near the road to advertise the mechanic services available

2. Package mechanic services.  Examples like, get a oil change and get free windshield wipers;  buy 4 tires and get free life time tire rotation; buy 3 tires and the 4th tire is 50% off; etc. etc. etc.

3.  On the new signage advertise free services that they normally would do for free anyway.  Examples like; free brake inspection, free tire inspection, free battery check, free safety check, free exhaust system check, free winter coolant check, free suspension system check.

4. On the signage say things that they normally do such as; trade-ins welcome and they purchase used cars.

5. Mount signage to the inside and outside of the building listing all of their mechanic services available

6. Possibly advertise on the back side of the local stores receipts with some discount offering.  Some of the local business doing so are attracting new customers and repeat business.

7. Offer themselves to the local high schools and local colleges as a guest speaker to talk about running your own business and possibly how to buy a used car.

8. Print their business card on a refrigerator magnet to pass out and to send to all past customers.

9. Develop a simple promotional flyer or literature about their car lot, their mechanics services and a useful how to purchase a reliable used car.  Use as a pass out, mailer and place in all of the local insurance agents offices and in any local business that will allow them to leave such on display.  Many of the local businesses will allow it such as, barber shops, bakeries, restaurants, pizzerias, take-out food places, and many others.

10. Mount a large business card holder on the wall that can hold many different cards.  Purchase some additional small to medium size business card holders.  Visit all of the local auto insurance agents’ offices within a 5 to 10 mile radius to give them a business card holder and of course make sure they have many of the car lot/mechanic services business cards in the holder.  Develop a business relationship with these agents to possibly recommend their clients to visit the car lot and use the mechanics services.  The top prospect would be a client with teenagers needing their first car.  Ask the insurance agents to visit the car lot and place their business cards in the large business card holder that is mounted inside the car lot’s business office.  This can promote business to the insurance agents.  Personally revisit the insurance agents office regularly to check on their business cards in the holder and continue to develop a business relationship

 
A few months later the owner told me he actually proceeded with many of the suggestions and that his mechanic service has significantly increased and he is now the number one used car lot in sales in the area.

 
How can these simple concepts be used in your business?

 
Example 3

An owner to a fence installation business comments to me about his business being slow and asks for suggestions and ideas on how to increase business.

My suggestions and ideas were:

1. Place advertising with a discount offering on the back of the local stores receipts.

2. Mount small signs of their name and telephone number on all sides of fences that they install.  This is free advertising

3. Print their business card on a refrigerator magnet and send out to all past customers

4. When installing a residential fence, distribute promotional flyers to all houses within 4 to 10 block radius indicating that they are in the neighborhood installing a fence and available to easily drop by to give them a free quote.  Offer a special discount if a fence is installed within next 30 days as an incentive.

5. Visit all local veterinarians to develop a business relationship.  Ask to leave promotional literature in their office about fences and how it can make life better for pets and their owners.  Possibly offer some discount or incentive if the customer mentions they were referred to them by the veterinarian.

 
How can these simple concepts be used in your business?

 
Example 4

I saw a display of Starbucks cold coffee drinks near the check-out counters in a Wal-Mart store.

This increases sales for Starbucks, expands sales to new customers and helps increase the brand image of Wal-Mart carrying Starbucks products.

Seems like a win-win situation for all.

How can this simple concept be utilized to grow your business.

 
Example 5

I commonly see retail stores of all types package several products in one package.

Sometimes this is done all year round and other times it is done during a special holiday.

Buy a shirt and get a tie included in the package.

Buy a pair of shoes and get a free pair of sox.

Buy a specific women’s perfume set and get lipstick included inside the package.

Buy a women’s purse and get a scarf is included

Buy a dozen something and the 13th item is included free.  This is similar to the old bakers dozen approach where you buy 12 of some bakery item and get a 13th for free.

Buy winter scarf and gloves set in one package and at a reduced price.

Buy a pair of shoes and the second pair is discounted 50%.

Buy a car and get new floor mats included and free oil changes twice per year for next 3 years.

How can you use these approaches and ideas to help grow your business?

 
Example 6

I now see the unique coca cola bottle shape that is popular being used in more sizes.

This is helping to increase their sales.

How can you use this idea to help grow your business?

 
Example 7

I see a local optomologist and an eye surgeon develop a partner arrangement where they are in one office calling themselves a full service eye clinic or eye center.

They offer full service eye care of exams, eye glasses, lasic eye enhancement, lense replacement/cataract surgery, and other eye procedures and surgeries.

They refer customers to each other.

Their promotional literature and advertising incorporates all of their services and offerings.

They even offer delayed payments and payment terms over months and years to help customers pay for the more expensive eye procedures, surgeries and enhancements.

When the eye surgeon does any eye surgeries or eye procedures, the doctor personally telephones the patient the evening prior to the procedure to answer any questions and calm down any nervousness.

Immediately after outpatient eye surgeries and procedures while the doctor is in their surgical gown, a picture of the patient with the doctor is taken. 

The patient goes home with a coffee mug with the doctor’s office information printed on it and their medications; but is seen again by a doctor later that day and seen again within days.

Within a week a thank you letter is sent to the patient along with the picture of them with the doctor immediately after the eye procedure/surgery.

A week after this, another thank you letter is sent out to the patient with a short customer/patient survey asking about the service and care and asking for suggestions and comments.  They even include 50% discount coupon on all sun glasses from their office.

When at the doctor’s office they utilize digital video to explain eye ailments, procedures and surgeries.

To promote the business / organization they utilize;

1. Literature

2. Various promotional materials

3. Digital videos in office

4. Local television, cable and satellite advertising

5. Local newspaper advertising

6. News stories in local newspapers and magazines

7. And more

They have developed strategic alliances and relationships with many of the local physicians / doctors to refer patients to them.

They travel voluntarily internationally to other needy countries to offer their services for free once per year and advertise this.

How can you use these ideas to help grow your business?

Example 8

An equipment manufacturer asked me for marketing and development suggestions.

I asked the management and the sales staff what things do potential customers comment about once they know more about the company and products.

I also about what things the competitors Do Not want customers to know about the products because it would influence buyers/customers to purchase from them instead of the competitors

We listed many important things that customers need to know so they can decide to buy from them instead of competition.

Then we looked at their current literature, advertising, promotions and website with this list.

They were surprised to see that none of the important information was mentioned in any of their communications.

We also discussed expanding their efforts internationally.

Advancements were made with all suggestions and ideas.

How can you use these ideas to help grow your business?

Example 9

Screws, nuts and bolts

They come in many sizes.

They are made from many materials; steel, stainless steel, zinc, brass, aluminum and plastic.

They come in different colors.

They are packaged in different quantities and have different packaging.

The packaging and the products target different applications and uses.

How can you use these ideas to help grow your business?

 
Example 10

 
Noodles and pasta

They come in many shapes; flat, round, spiral, square and others.

They come in different sizes; long and short, widths and thickness.

They come in different colors.

They can be made from different ingredients but similar.

They are packaged in different quantities.

They come in many types and colors of packaging.

They can have different brand names on the packaging.

They can have different types even though very similar:  Soup noodles, spaghetti, angle hair, vermicelli, linguini, gnucchi, lasagne, elbow macaroni, bow tie, farfalle, mostacciole, shells, penne, rotini, rigatoni, manicotti, cannelloni, radiatori, actinide pepe, tortellini with cheese inside, multigrain, whole wheat and more.

Recipes on food dishes and how to use the specific types can be printed directly on the packaging.

The pasta and noodle can be used with many other ingredients including; tomato and meat sauces, cream sauces, cheese sauces and others.

Packages that include the pasta, all ingredients and easy instructions to make a meal are available.

We can say the same with the many rice food ingredients available

 
How can you use these ideas to help grow your business?

Example 11

There are many methods to fasten things together.

1. Glue and there are many types of glues
2. Adhesive Tape and there are many types and sizes of tape
3. Screws and bolts of all types and sizes
4. Velcro
5. Buttons
6. Zippers
7. Nails
8. Wire
9. Staples
10. Rope and string
11. Thread
12. Plastic ties of all types, sizes and colors
13. Interlocking design that eliminates all of the above

 
How can you use these ideas to help grow your business?

Be creative to answer this question.

This applies to marketing, business development and product development.

Example 12

 
Here in the US, DVD home video rentals can be obtained from many places and at different prices.

1. On the internet through a company called ‘NetFlix’ for a monthly membership fee, unlimited rentals. 
You order the DVD video rentals on line with your computer; they send you the DVD home videos in the mail with a return envelope included. 
When you are finished with them, you mail them back and order some more.
There is a large selection of different videos to pick from.

2. From video rental stores. Cost may be higher and return of the DVD differs from next day to one week depending on the store.

3. From an automated machine called ‘Red Box’ found outside of various stores.
Video rentals are for one day to be returned the next day and the cost is $1.00 per video.
A personal credit card gives you access to the DVD video rental in this automated machine

4. If your home has cable TV or satellite TV service hooked up, you can order video rental movies directly onto your television.
You order the video movie directly from your remote control/electronic handheld TV channel changer and it is billed to your monthly service bill.

 
How can you use these ideas to help grow your business?

Example 13

Electric coffee pots

They come in many colors and sizes.

 
Some will automatically grind fresh coffee beans before brewing the coffee keeping it fresh.

Some have clocks and timers that if you set up and program will automatically turn on and make your coffee at a specific time of your choice.

You can set them up to make coffee before you get out of bed in the morning.

The pot can be of many sizes; 3 cups, 6 cups, 10 cups, 12 cups and larger for home parties and restaurant use.

Every size targets a different application and type of customer.

The small 3 cup size targets single people, possibly the elderly who need to restrict their coffee consumption and hotel rooms.

These are all different markets.

 
How can you use these ideas to help grow your business?

 
Example 14

Beverages, things we can drink

There are hot and cold

There are sodas, colas, un-colas, with caffeine and non caffeine, with alcohol or no alcohol, energy drinks, diet drinks, sweet or non sweet, with calories or with less calories, alcoholic drinks, beer, wine; coffee, tea, ice cream sodas, cream sodas, fruit drinks and more.

They come in all types of packaging; plastic, can and others.

They come in all sizes and shapes.

They come in many quantities.

The packaging is all different.

They target different types of customers; young, teenagers, adults, elderly, professionals,
diet conscious, weight conscious, health conscious and more.

There are many advertisements for each type and for the many brand names.

They can be purchased from all types of stores.

 
How can you use these ideas to help grow your business?

 
Example 15

Loyalty programs

We see these at food stores, department stores, restaurants, fast food restaurants plus other places and businesses.

Stores can give you a special plastic card that entitles you to special customer discounts if you return.

Stores give a special discount certificate or cash certificate.  Example, a clothing store gives you a $20. credit certificate or 15%  discount for future purchases when you have purchased $100. of merchandise.

This encourages customers to return and purchase more.

Restaurants can give you a special card with places to mark off or punch a hole.  After so many purchases you get a free diner.

Gas stations can get you to sign up for their credit card.

If you use the credit card to purchase your gas you get a special customer discount even if you pay off the monthly bill in full.

Here in the US there are all types of customer loyalty programs being offered to customers to get them to return and spend more money.

How can you use these ideas to help grow your business?

We can continue with thousands of examples from all types of businesses, products, services and markets to analyze and examine to get creative product and service ideas; marketing and business development ideas.

No matter what products, services or market that you are in; business to business or business to consumer, after each example you should be able to answer the question “What or how can you use these ideas in your business to help improve business development and marketing”.

If you are struggling with this, you need to get more creative and open your mind up with the possibilities for improvement that are possible in so many ways.

You can utilize outside senior executive consultants to help you with this as well.

We can easily learn marketing and business development ideas from others and then apply to our own business.

If you have further questions or need some help, you can give me a call or email.

Michael P. Marshall, PhD
Senior Specialist and Executive Advisor for Business Development, Marketing and Sales
Tele. 920-734-8678
Email:  michaelmarshall@new.rr.com
www.AskTheBusinessDoctor.com
Michael has more than 30 years of business experience focusing on business development utilizing extensive skills in marketing, sales, and communications; both national and international.

This experience comes from starting at field staff level positions and then progressing up to senior level Director and Vice President positions in several industries and markets.

His expertise is also utilized in special advisory and consulting situations, as well.

Prior to his extensive 30-year business career, he studied advanced engineering and then transitioned to psychology and social human behavior.

He was a mental health counselor for several years in some major medical institutions prior to a business career.

In these endeavors he learned what makes people do what they do, what influences others, how to motivate positive behavioral change; and the importance to a strong foundation and the individual components in a structure.

Among the senior level positions held during his 30-year career, Michael has held director and vice president level positions in marketing, sales and business development in several industries and markets including medical.

Michael’s education and trainings include a PhD in business concentrating in marketing and business development, an MBA, bachelor degrees in psychology and social human behavior, advanced post graduate certification in marketing from UCLA, formally trained in ‘Creativity and Out of The Box Thinking’, federally certified in international business, and being an alumnus of six universities.

He has over 35 formal trainings and certifications covering the fundamentals of business development, marketing, sales, communications, management and leading a business to significant sales and profit growth.

But, It Is a Two Way Street

Both Business Organizations And The Individuals Must Want It

 
By Michael Marshall, PhD

Most will agree that knowledge and competence is important; “It Is Golden”.

Most will agree that it is important for all individuals to increase their knowledge and competence.

Most will agree that it is important for business organizations to increase their knowledge and competence.

Often though, this is more talk than actual action and accomplishing such.

This lack of action and lack of accomplishing it is a two way street.

Let me explain further.

For individuals to gain more knowledge and competence, they need to be self motivated and be willing to.

This comes in two forms;

 
1. Individuals need to be personally motivated to aggressively seek out more education, training and experience.  This includes being willing to spend some of their own money and time to do so.

 
2. Organizations need to support and encourage individuals to seek additional education and training especially for such subjects that are specific to their job and responsibilities; and possibly for other subjects that could benefit the organization in other ways.
This includes possibly tuition costs support and some time away from the job position.

Unfortunately, often neither the individuals nor the business organizations view it this way.

Individuals may not be willing to spend their own personal time and money to do this and business organizations are not willing to spend their money or time to assist individuals to do this.

When organizations do have programs to encourage and support additional training and education, sometimes individuals lack self motivation to utilize these programs.

It always amazes me when I hear about employees who do not utilize business organizations’ education programs because the training is not fully paid for and on regular company time.

Only through some compromise from both the individuals and business organizations will this situation improve.

There are many compromises that can be utilized.

Another problem and challenging situation is hiring discrimination against new hires who are more educated, trained and experienced than those currently employed.

Often, business organizations do not hire those with more knowledge and competence.

Some business organizations try to compromise on this issue with recruiting efforts for newly graduated college students that lack the experience which is critical to develop expertise.

Most of these job positions are entry level at lower level wages, of course.

Those with equal or more education and training over a year or two old and several years of good experience to help give them the expertise needed, are considered ‘over-qualified’.

The reasons for this are not good ones and reflect poor attitudes and poor judgment.

1. Fear of new hires with higher knowledge and competence making others with less, feel uncomfortable

2. Fear of new hires with higher knowledge and competence may push for improvements and advancements in the business organization and current management may not want to support such

3. Fear of new hires with higher knowledge and competence will leave the business organization for another business organization if they are not utilized appropriately or if they do not earn enough money/compensation appropriately

4. Management and supervisory staff fearing to keep their job positions, not wanting to hire anyone that has more knowledge and competence than themselves.  This is to protect their own job security and possibly their own egos and sense of self worth

5. Business organization having poor attitudes towards the importance of attracting, recruiting, hiring and retaining the highest skilled and knowledgeable individuals available

6. Business organization fearing increasing staff compensation costs if better staff is hired

7. Belief that the business organization does not deserve or qualify for higher qualified individuals or individuals with more knowledge and expertise. 

Basically, the business organization has low self esteem.

Hiring discrimination of such is detrimental to growing business organizations, hinders competing in the worldwide business market and de-motivates individuals from seeking out education, training and experience to increase knowledge and competence.

Most agree with this even though so many continue to be part of the problem.

 
Common personal sense and good business practice should support the ideas of:

1. Business organizations should hire individuals with the highest knowledge, competence, education, training, experience and expertise that one can find.
This will help contribute to growing the business.

2. To retain such individuals, utilize them appropriately and be creative to retain them.

3. Business organizations need to develop and offer some level of programs to encourage and support advancing knowledge, competence, education and training.
This is good for both the business organization and individuals.

4. Individuals need to be willing and motivated to utilize their own personal time and money to increase their knowledge and competence.

 
To verify some of these comments in this article, I suggest that you ask several human resource/HR managers about;

 
1.  The educational and training programs that their business organization may have, how they promote it, how many and what percentage of the employees utilize such; and why

2. The recruiting and hiring practices that their business organization utilize to attract and recruit the highest skilled staff with the most expertise and knowledge possible; and why

 
You may be quite surprised to hear the answers.

If you are a senior executive or human resources manager, you can use this article to review your current programs for promoting education and training; and your common practices for recruiting and hiring. 

These two subjects are directly related.

If you have further questions or need some help, you can give me a call or email.
Michael P. Marshall, PhD

Senior Specialist and Executive Advisor for Business Development, Marketing and Sales
Tele. 01-920-734-8678
Email:  michaelmarshall@new.rr.com
www.AskTheBusinessDoctor.com
Michael has more than 30 years of business experience focusing on business development utilizing extensive skills in marketing, sales, and communications; both national and international.

This experience comes from starting at field staff level positions and then progressing up to senior level Director and Vice President positions in several industries and markets.

His expertise is also utilized in special advisory and consulting situations, as well.

Prior to his extensive 30-year business career, he studied advanced engineering and then transitioned to psychology and social human behavior.

He was a mental health counselor for several years in some major medical institutions prior to a business career.

In these endeavors he learned what makes people do what they do, what influences others, how to motivate positive behavioral change; and the importance to a strong foundation and the individual components in a structure.

Among the senior level positions held during his 30-year career, Michael has held director and vice president level positions in marketing, sales and business development in several industries and markets including medical.

Michael’s education and trainings include a PhD in business concentrating in marketing and business development, an MBA, bachelor degrees in psychology and social human behavior, advanced post graduate certification in marketing from UCLA, formally trained in ‘Creativity and Out of The Box Thinking’, federally certified in international business, and being an alumnus of six universities.

He has over 35 formal trainings and certifications covering the fundamentals of business development, marketing, sales, communications, management and leading a business to significant sales and profit growth.

December 2009

 
Expanding sales globally has become a requirement for businesses to survive and grow.

 
This is not difficult and there are many resources available to help you succeed.

 
Even though this business article is written for businesses in the United States, much of the information is applicable to business in all countries.

In this article, I will try to summarize many years of experience and extensive training in expanding sales internationally.

My intention is to keep the information brief, simple and easy to understand.

I will explain to you in simple words and terms, how to proceed with efforts to expand sales internationally.

 
Businesses in the United States appear to be lagging behind with expanding their business internationally while many businesses in other countries have been very aggressive in expanding their business internationally and into the United States.

For many years, other countries seem to have a business culture to expand their businesses internationally and even rely on such for most of their business.

As to why businesses in the United States have been as aggressive and the business culture lacking such, reasons can be many:

1. Lack of business leaders and management staff that knows how

2. Lack of US business culture to expand international business aggressively

3. Dependence on local and national markets

4. Not enough formal education about international/global business

5. US, state and local governments lacking progressive and aggressive programs to encourage all businesses in all markets to expand international business

6. Lack of the US Government keeping trade regulations and trade agreements current, equal and fair, globally with all countries

7. Lack of motivation until the economy significantly declined and unemployment increased

8. Lack of motivation until sales and profits declined substantially with many businesses failing

Each of the above points can have some major discussions and debates.

There are more possible reasons that can be added to this list as well.

This article will not discuss any of these points.

In todays’ tough economic times, those businesses and companies that have expanded their business internationally are finding that this is what is keeping them in business while many of their competitors not doing so are struggling and failing.

Unfortunately, not all products and services are good viable candidates to expand sales internationally but it is amazing how many actually are; all markets and all industries.

Some business organizations attempting to grow sales internationally struggle needlessly due to lack of knowledge on how to do so successfully.

The first thing to do is to have a detailed competitive analysis of your products and services, national and international/global.

1. How do your products and services compare?

2. How do they differ that can truly solve problems and issues for customers and clients?

Using trade publications, internet searches and trade association resources;
determine 1 to 6 countries to target and have detailed good reasons as to why these are selected.

Next, contact:

1. Your State Department of Commerce

2. Your Federal Department of Commerce

3. The nearest university that has an international business curriculum
(ask for the dean of the business school of such and they will direct you to someone)

These three sources can help you proceed with:

1. Determining if you have viable products and services for the international market

2. Determining the best choice for your top 1 to 6 countries to target

3. How to network to establish the appropriate international business relationships

4. How to market and grow sales internationally

This is far easier than you think.

There may even be state and federal grant monies available to help you.

The Department of Commerce has a global network of service providers that can help you develop sales internationally in most countries.

Yes, you heard this correctly!

They already have professional individuals and relationships established in most countries that have the contacts and knowledge on how to grow your sales.

They will actually do most of your work for you.
 

You will be surprised to find out how inexpensive and easy it is.

The cost is far below anything you would imagine.

Once you start expanding sales internationally, you will probably be angry at yourself for not doing this many years ago.

To have a chance for success; a business organization must have staff directly assigned and responsible to coordinate international sales efforts.

You must clearly understand that expanding international sales is a 1 to 4 year time frame and Not 1 to 4 months.

The staff responsible for international sales and marketing must get training in this and most of all;
they need to utilize the services and resources of the Federal and State Department of Commerce and possibly the assistance from the nearest university that has a curriculum in international/global business.

Doing so will help a business to succeed with growing sales internationally.

There are more things an organization will need to learn but again, The Department of  Commerce and the nearest university with an international business curriculum will assist you with these things:

1. Cultural differences

2. Language differences

3. Time zone differences

4. Communications challenges

5. Pricing and currency exchange rates

6. Financial terms and bank considerations

7. Making sure that you get paid and collect monies due

8. Shipping and logistics

9. Special packaging considerations

10. Special labeling considerations and in different languages

11. Tariffs and taxes

12. Trade regulations and laws

13. Distribution and sales channels

14. Representation

15. Developing business relationships internationally

16. Formal paper work

17.  And more

Remember, I want to keep this article simple and the amount of information minimal, to get you going.

I will not discuss each of these since this would require far more time than this article can cover.

This is enough information to head you the right way.

Expanding sales internationally will significantly help you survive and grow.

Products and services of all types and in all markets and industries have potential for international business.

You can use this article to proceed on to start growing international sales right now or contact me directly for assistance.

 
Michael Marshall, PhD
Email: michaelmarshall@new.rr.com
www.AskTheBusinessDoctor.com

INTERVIEWER:
The economy is not better yet and businesses seem to continue struggling.
What are you hearing and seeing about all of this?

REPLY:
What I am hearing and seeing is what I have written about several times.

INTERVIEWER:
Please elaborate on this and give us some details.

REPLY:
I have the bibliography and list of articles that I have written and those published, right here in front of me.  This is posted on my personal website.

Fundamental and important subjects include;
1. Importance of Creativity, Outside The Box Thinking, and Innovation
2. Importance to hire those with higher level skills, expertise, education and knowledge than what businesses currently have
3. Importance to watch for and avoid ‘The Rule of 10′ which is the natural tendency for management to only hire those with lower level skills, knowledge and education than themselves; this hurts a business organization in a major way
4. Beware of ‘Business Psychosis’ which is continuing to do the same things that are not productive but expecting better results which never comes
5. Creatively uncovering more needs and more challenges in your customers and clients:  finding ways to partner better, build deeper and more beneficial relationships
6. Importance of mixed accounts and more niche markets
7. Importance to communicate more creatively and boldly to the marketplace, clients and customers
8. Managing and utilizing your customer knowledge
9. And there are a lot more

 
In the article titled “Business Chaos in 2008 and Beyond; financial pressures may help overcome The Rule of 10 and Business Psychosis”, I wrote about how financial pressures may force business organizations to change and improve.

From my discussions with a lot of individuals and numerous business organizations of all sizes and in many markets, I do not see much improvement in these fundamentals and critical areas.

This is truly disheartening.

INTERVIEWER:
Do you have any ideas as to why this is?

REPLY:
Yes I do.
I think that there needs to be major communications and publicity about these things sponsored by many including education sector, various business organizations; local, state and federal government.
Until this happens it appears needed change and improvements will be slow.

INTERVIEWER:
What do you think will happen until this happens?

REPLY:
Businesses will continue to struggle with many failing, continued high unemployment, US economy will continue to struggle affecting the global economies as well.

INTERVIEWER:
This sounds depressing.
Do you think people will just accept this and just sit around waiting for improvement to happen by some miracle?

REPLY:
This is a great question.
This also leads to some other questions and other associated subjects.

INTERVIEWER:
What are the other questions and subjects?

REPLY:
Will unemployed people be happy just collecting unemployment benefits and struggle financially?
What happens when unemployment benefits expire for individuals and they do not have money to survive?
Will this produce major social unrest and anger?
Will this possibly produce higher crime rates?
Will the US economy and global economy get worse?
Will the larger companies and business organizations buy up the other companies that are struggling and failing or will these larger companies just take more business as the others fail?

INTERVIEWER:
These are tough questions and very concerning ones.
What do you think?

REPLY:
I do have a psychology and social human behavior background along with my business development and marketing background.
From my perspective, all of these things have a possibility of happening and I believe the US government is concerned with this.
There are indications that people are getting frustrated and angry.
Recently I read about a person bringing a lawsuit against their college that they graduated from. 
They are asking for their $70,000. in tuition money spent to be returned since they are still unemployed after a year of graduating. 
The college advertised to get an education and degree to obtain a job position in the field they get educated in.

INTERVIEWER:
I did not hear of this.
I have heard about the many students graduating from college owing a lot of money for their college loans and not being able to find a job or if they do find a job it is for minimum wage.
Obviously they are not able to pay back their college loans and this will create considerable hardships on them with long term affects.

REPLY:
Yes this is true.

This situation of legally suing for implied guarantees and implied results can also happen between businesses.

INTERVIEWER:
What do you mean?

REPLY:
Most businesses are ignorant about what is called ‘Risk Management’.
Often, this is thought of as applying to investment strategies and money management only. 
It actually extends to how businesses promote themselves, any implied guaranties and implied results.
Words and phrases that imply things can be used to bring a lawsuit against them.
As businesses organizations and companies get frustrated with their struggling or failing business situation, they may take this recourse.

INTERVIEWER:
What type of words and phrases can produce such a situation?

REPLY:
You will be amazed how simple and common they are and how often you hear and see them.

INTERVIEWER:
Well tell us some of these.

REPLY:
Some of the many include:
1. We are the best
2. We are the highest _____
3. We are number one in_____
4. We get you the best results
5. We get you results
6. We help you achieve _______
7. We guarantee _______
8. We help you get________

There a lot more words and phrases that imply things that a business may not be able prove or accomplish.
This can lead to undesirable liabilities and legal situations.
How would a business defend themselves on any of these phrases and words?
Just imagine companies and businesses suing others for lack of results due to being misled by using these words and phrases.

INTERVIEWER:
Why are businesses and companies not aware of this and why are they using such words and phrases that can get them in legal difficulties?

REPLY:
This is often caused by what we have discussed earlier.
Businesses and companies not hiring individuals with higher level skills, expertise, education and knowledge than what they currently have.
Same for management having the natural tendency of hiring only those with lower level skills and knowledge than themselves.
The common ‘Business Psychosis’
The lack of ‘Creativity’, ‘Out of The Box Thinking’ and ‘Innovations’ that is needed to produce better results.

INTERVIEWER:
Is there anything else that business organizations can do to improve on this legal issue of liabilities?

REPLY:
Besides the importance to hire those with higher-level skills, expertise, knowledge and education, there is something that can be done.
I just wrote a new business article about ‘The Importance to Utilize The Corporate Attorney More Proactively’.
This approach is to help businesses improve and avoid possible legal problems.
In this article I discuss utilizing the corporate attorney to get to know each department and function of a company or business organization; and to probe for possible legal issues that can be improved upon proactively.
This article has been posted on my personal website already.

INTERVIEWER:
This seems to be a creative way to improve and avoid possible legal issues.
Why don’t more businesses and companies do this?

REPLY:
This is discussed in the article.
Again some of the major causes are often;
1. ‘The Rule of Ten’, Management hiring only those with lower level knowledge, education, experience and skills
2. ‘Business Psychosis’
3. Lack of ‘Creativity’, ‘Out of The Box Thinking’ and ‘Innovation’
4. Business organizations lacking the higher level of knowledge and expertise that is needed

INTERVIEWER:
I now better understand the importance in many of the things that you have written about and have discussed with us in the past.
This is a real ‘eye opener’.
Well, we seem to be out of time.
Thanks again for the information and your willingness to share with us.