Wealth Secret Of The Day – How To Get Ahead Ahead Of The Curve

Wealth Secret Of The Day - How To Get Ahead Ahead Of The Curve
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Wealth Secret Of The Day – How To Get Ahead Ahead Of The Curve (Full FREE Tutorial)

“It is not the strongest of the species that survive nor the most intelligent, but the one most responsive to change.” — Charles Darwin.

“There’s no such thing as job security, there never was. Unless you own your own company. If ‘job security’ is your fallback plan, well, then I hope you didn’t buy a house with that.” — Lisa Barone, outspokenmedia.com

“There is nothing more powerful than an idea whose time has come.” — Victor Hugo.

“If you see a bandwagon, it’s too late.” — Sir James Goldsmith.

“A wise man ought always to follow the paths beaten by great men, and to imitate those who have been supreme, so that if his ability does not equal theirs, at least it will savour of it.” — Machiavelli, “The Prince”.

“Knowing and doing what everybody else does is not a competitive advantage.” — Hamlet Batista.

“When it comes to the future, there are those who make it happen, those who let it happen, and those who wonder what happened.” — John M Richardson Jr.

“The best way to predict the future is to create it.” — Abraham Lincoln.

Curve? What Is This Curve?

In the world of making money, and especially in that sovereign nation known as Entrepreneurship, everything has a rise and a fall. Everything has a curve.

If you are working in a field that is growing rapidly, and in which there is a lot of buzz or interest, even the moderately skilled have a chance to do well; and the best will make bank. As the saying goes, “A rising tide floats all boats.”

If on the other hand you are working in a market or niche that is in decline, it is very hard to make money and only the very best will do well or even survive.

It is thus most advisable to learn to see and predict this curve: What started it; the current position of the game; where and when it will peak; and how quickly it will fall. You want to get in while it’s heating up and get out before it goes cold.

All good ideas create a “bandwagon effect”. Most of the time, by the time the masses will have heard of a moneymaking idea – through mass media channels for example – “everyone and their dog” has already jumped onto the bandwagon and the opportunity will likely be hopelessly saturated, with no more good money to be made. However, if you can catch a truly excellent idea before it has reached the masses… it could be seen as like riding the perfect wave.

A good way to look at these curves: Trend setters, inventors, influencers or originators start things off. The early adopters pick it up when it’s white hot. This is because they are closest to the action (for reasons we will investigate). However by the time the idea reaches the mass saturation, it’s quite likely already played out, or soon will be. The fast money has been made. Profiteers will milk the masses for a while – but the cutting edge are already looking at what’s next.

In financial terms, mass saturation occurs when so many people are doing something that the profits to be had from it become too thin. It becomes over-competitive. There is more money to be made elsewhere. It’s time to jump off – maybe even past time!

Once you understand the curve effect, you are able to assess whether an idea has merit and profitability. Sir James Goldsmith’s quote above rings true time and again.

Understanding the “curve effect” is a wealth principle rather than a wealth technique. Principles can be applied over and over again and continue to be true. Learn the difference between principles and techniques. Principles can help you to get ahead of the curve – and to create new techniques of your own, whereas merely learning one specific technique after another will very often leave you chasing endlessly after rainbows.

Predicting Trends

“I skate to where the puck is going to be, not where it has been.” — Wayne Gretsky (famous hockey player)

What is, or will soon be, a profitable trend? Where are things headed? What is in decline? Are there any types of work you are involved in that are “sinking ships”? This is very important: If you want great success it is essential to be working in a field where there is good money to be made. It might sound like stating the obvious but I have had first hand experience of working in fields which were sinking. You run yourself into the ground trying to turn a profit until you finally realize that the problem isn’t that your work is bad, it’s the field itself. Don’t beat yourself up: Be sure that the field itself is a lucrative one, then you have every opportunity to succeed, and a real yardstick by which to measure the calibre of your own efforts.

The wise ones not only have up-to-date information, but they study forces. And they have a brilliant ability to observe the movements of people and things, to see quickly hidden connections between things – and to make accurate predictions.

Making these predictions is not a matter of psychic power however, it is a matter of a) knowing current conditions, b) knowing the past and c) knowing tendencies and principles by which things are governed.

A good analogy is that of the Astronomer. By observing the past and present position of a star or planet, and by knowing its rules of motion, they are able to tell us where it will be in the future. Astronomers can tell us when eclipses will happen, before they happen. This is the art of science-based prediction.

Now we can apply this to business trends. The ability to predict trends is an absolute fundamental of business. Many good careers are available in market analysis – and a great many fortunes are made by people who are able to position themselves in the right place, at the right time. You need to be informed, learned, experienced and able to move.

Some “key words” in being able to predict trends: Experience, inquisitiveness, lateral thinking, understanding of cause and effect, ability to be realistic, knowledge of historical precedent, willingness to experiment, observation, imagination.

Creating Trends

It’s one thing to be able to predict trends but often the real winners are able to create trends. They are the ones who are able to sense what will happen before it has even happened; and plant the seed. Now these people are a very special breed.

They tend to have a combination of qualities – acute observation, deep wisdom and understanding of forces, specialist or even unique knowledge, innovation, daring, and great resources. They also, importantly, often tend to have a multidisciplinary background – having knowledge of several different fields as opposed to deep specialization in only one field.

With these abilities and skills they can see where things are, see where they are going to go, create accordingly, and start a giant snowball rolling.

But You Can Profit Regardless Of The Current Trend – If You Know How

Whether there are people getting in, or getting out, there is money to be made. This is an absolutely critical thing to understand in the world of making money.

People complain that “the economy is bad” and therefore are of the belief that there is no opportunity to make money. Think about it: There are as many people in the world as there ever were. And they all have as many needs as they ever did. In tougher times they may realign their spending – but certain industries must inevitably thrive. There are still billions if not trillions of dollars moving around.

Think about the weather. No matter whether it is windy, sunny, stormy, cold or hot, there is movement of energy. And therefore there is energy to be harvested. The same is true with economics. A simple example from the world of finance is that of put or call options – these are stock trading options that can enable profits whether the market is trending up or down.

Another example is that of liquidation stock. There is still a lot of money to be made from things that other people do not want or cannot sell. The key to this is having the right connections, or in being able to put arbitrage – shift between markets.

How To Get Ahead Ahead Of The Curve

The first essential aspect of being ahead of the curve is keen study, market research, acquisition of knowledge of the subject. Be aware of what the “cutting edge” is doing. Every field has industry publications such as web sites, blogs and magazines which feature the latest developments in that area – so if you are investigating a niche it’s important to stay up to date with these. Learn who the key players are and pay attention to what they are saying.

Is there anyone you can think of who is “ahead of the curve”? I have one such friend. By the time I have noticed a wave, I can be sure that he is already on his board and riding the crest of it. It’s reached the point where if he does something, I immediately consider it worth getting involved in!

In addition to cutting edge knowledge, you will of course need great ideas. But beyond this, you will need the ability to strike. What good is an idea if you do not have the mobility to do something about it.

Finally, brilliant execution is just as important as the idea itself. Note that in general business ideas are time sensitive. Chances are that someone else will think of it soon if they have not thought of it already. If you cannot execute, the idea is worth nothing.

Impartiality / Non-Attachment

One of the most successful people I have ever met and spent time with was the manager of a world famous rock band. These people are still household names. He had worked with them throughout their multi-million record selling careers and played a huge part in the orchestration of the band’s sensational success. You could pretty much call him “Music Business Royalty” – as he really was at the top of his game.
We struck up a friendship and he invited me to stay at his place for several weeks while we worked in the studio and brainstormed music business ideas. It was an exciting time – and I observed and listened as carefully as I possibly could to everything he said.

One of the characteristics that struck me the most about his business sense was his ability to consider ideas with superb impartiality. He did not form emotional attachments to them as many people do, he simply held them up in the air, and invited others to participate. It was as if we were attempting to build magnificent castles in the air, castles of thought, of possibilities. If an idea didn’t work, he simply let go of it. He always approached the whole thing with one question in mind: “What will work”?

His ability to be unattached to anything other than “what works” was a key factor in his success.

The ones who are dedicated to profit are able to look clearly at something and say “What works? What is profitable?”

Those who have studied or invested in a path or subject for years might be unable or unwilling to let go of it, due to how invested in it they are – either actually or emotionally. But would you rather continue to put time into something that is not going to work, just because you have already put a lot of time into it?

If you are going to make money it’s essential to respect trends. People often go into business doing the one thing they know – regardless of the trend. It is far better to face the trend and adapt what you do, than it is to blindly carry on with what you know because its the only thing you know.

It is easier to change yourself to fit the world than it is to change the world to fit yourself.

Doing What You Love?

“Hope clouds observation” – Dune, Frank Herbert.

“Do what you love and the money will follow.” Yeah, right. I’ve heard this preached so many times (in lofty tones). You can practically see the haloes. And guess what? It’s a deeply flawed philosophy.

I love sleeping. But if I decided to go back to sleep today, I would create between zero and zero articles.

There are of course, a small number of people who have made fortunes doing exactly what they love. And dreamers love to cite such rare examples – before heading merrily down the wrong road.

For example, there was a character known as “Dr. Beach” – who has become one of the foremost reviewers of beaches in the world. He gets paid to travel to the best beaches and review them. Not bad!

But think about it. At the end of the day – there are a whole lot more people whose favorite thing to do is to go to the beach, than there are fortunes to be made reviewing beaches. Dr. Beach is a classic example of selection bias – defined as “the bias introduced by the selection of individuals, groups or data for analysis in such a way that proper randomization is not achieved, thereby ensuring that the sample obtained is not representative of the population intended to be analyzed. It is sometimes referred to as the selection effect”. (Wikipedia)

Don’t get me wrong. Loving what you do helps you get out of bed. And it helps you to achieve high standards. But trying to make the thing you love the most be the thing that creates your fortune is often based on fantasy ideas about what will work – and mental laziness.

These ideas sound nice and therefore seduce us, but the truth is this: In order to make profit, you must do what is profitable. You don’t get paid for enjoying yourself, you get paid for delivering quality.

A hobby is something you do because it is enjoyable. A business is something you do because it is profitable. Trying to turn a hobby into a business requires that you place considerations of enjoyment second to considerations of profit and the other implications of your venture – such as the other work you will need to do to support your business. It involves shifting your focus onto the needs of your customers, not just yourself. The more you focus on how you can help your customers, the more successful you will be. It’s a weird paradox and to start with feels like doing the opposite of what you should do – but it works, and the win-win is also immensely fulfilling.

Trying to turn what you love into a business is probably the number one reason why people go into business – and the number one reason they fail. Success requires some sacrifices – and adapting yourself to what will work, rather than what you wish will work.

Exit At The Right Time

One of the most difficult skills to master in the field of the curve is learning when to get out. Often one forms an emotional attachment to views one has held for a long time, skills one has mastered, even career paths one has invested a lot of time and energy into. It’s not surprising.

The best time to get out is, of course, before it begins to go stale. Remember the old saying “Nobody ever went broke taking a profit”. There’s no harm in taking that profit “too soon” and keeping it moving forward. And it’s good to get out “before it is time to get out” – in other words, while it is still easy to get out. If the thing is already going down, all of a sudden nobody will want to come to the rescue.

Don’t be attached. If there are fears to be faced or things to be admitted to yourself, the sooner the better. The ones who stay attached to outmoded business ideas will face greater and greater difficulties. Learn to let go of things that no longer serve you.

And if a ship is sinking, the quicker you get off, the better. I have observed so many times people in business “sticking with what they know best” despite changes in their industry and the times that are literally pulling the carpet out from under their feet.

Talk to them about it and they will get defensive and say “It’s what I do!” or something like that.

The marketplace is ruthless. It takes no prisoners. But it is only cruel if you do not obey its laws and its flow. If you observe and follow its forces, you can harness all of its power. Whereas if the market for something is dead, it doesn’t matter what you do. Superhuman effort will not save you. You will only work yourself into the ground, all the while feeling that you are inadequate.

Do not punish yourself! Choose a field that is known to have great and rising potential. It is sometimes hard to abandon ventures or fields that you have been working in and studying for years (I have been there!) – but if a ship is sinking, it is sinking.

Imagine a scenario where there is a job you have been doing for 20 years – and then someone invents a robot that can do it twice as fast for half the cost of your wages.

You’d be toast.

What are you going to do? Are you going to stick to what you do and grind yourself down because it’s what you do, or are you going to move with the times and with what is profitable?

You should have seen it coming.

Those who are “overspecialized” will of course run into difficulty. This is why it’s a smart survival strategy to give some focus to developing transferrable skills and knowledge – those which will continue to be useful even when one particular field has gone into decline.

Smart entrepreneurs are always keeping an eye on the playing field. They are not so attached to particular activities and continue to seek to do what works.

Transition Before The Party’s Over

One of the lesser-known keys to wealth is what I will call “transitioning” – the art of moving successfully from one enterprise to another. This is another concept that you don’t hear talked about so often.

In life, we are often forced to make transitions out of necessity. Times change. An enterprise may no longer be profitable for us, the market may have shifted. Or, we may desire to transition out of choice; simply because a new opportunity has greater prospects, is more exciting, or is more in line with our current interests.

However, one cannot easily just drop one venture and start another. Resources have to be managed, assets redirected, knowledge acquired. In a new sphere, one may be starting from ground level – and importantly, profitability does not often come overnight.

Therefore it is not usually a good idea simply to abandon one project completely and then begin another.

A good way to approach things is to be scanning the horizon for new opportunities, all the while one thing is going well. It’s always good to create options, and to be prepared – because change will come. Make a start “preparing the ground” ahead of time. One can commence research, experimentation and profitability studies in new ventures before committing to them… and then, when the time of transition comes, one can move calmly from one stable structure to another stable structure – instead of leaping from a burning building to whatever may be vaguely within reach.

People often seek a “cash cow” – a good revenue stream – that will fund their other projects and get them off the ground. This makes sense – however, be aware of a thing that often happens. The “milk from the cash cow” tastes really good, and so the tendency is to become addicted to it. They find themselves thinking “Why go through all the hard work and trouble of making this other business actually profitable, when I could just keep on with the cash cow?” And so, what often happens is that people keep on with the cash cow – and spend all the money – until the cash cow dries up. At that point, under pressure, they will not be able to make an easy transition – and are back where they started.

Many times I have seen people with a successful business living the high life as if their big wave would last forever. And then, a few years later, when times have changed, they are back where they started financially; having not made sufficient preparations for transitioning out of the business they had been in.

They are not aware that getting and staying rich means being prepared for change.

Being flexible is a challenge – because skills in specialized industries often take much time and trouble to master. But throughout history, times have changed – and right now they are changing faster than ever. As they say, change is the only constant. New technologies and methods get invented. It is inevitable. It’s no use lamenting change; one has to be prepared for it, be able to anticipate it, and be able to roll with it.

Remember that the art of staying rich means resisting immediate gratification. Once the cash cow is producing, it does not mean that you are done. It just means that you have some extra fuel to get some other things off the ground. You can’t just take your foot off the gas. You still have to stay focused. Adopt the attitude that the cash cow will likely not keep on producing for ever. While the going is good, invest in further revenue streams.

One can see this principle demonstrated by some of the world’s biggest businesses. Even those with arguably the biggest cash cow of all time – oil companies – seek to develop their assets in other energy technologies: They know that at some point these might become significant, and that oil will not last forever. Big, successful companies cannot rest on their laurels – for they know that if they do so, they will soon be overtaken.

What Is Failure?

“Failure is simply the opportunity to begin again more intelligently.” — Henry Ford.

“As a strategist and business person, a closed avenue should not translate into ‘the end of the road’. Simply, a few steps back are necessary, and a new path drawn out.” — P. Hamidi

In order to know when exactly it is best to hold on and when it is best to let go, I believe it is essential to have the right kind of relationship with the word “failure.”

Most people are terribly afraid of failure. We are taught to believe at school that mistakes are the worst thing in the world. In many cases, people become so afraid of failure that they don’t even try to do something.

This is often the biggest mistake.

The thing is – failure is an essential part of success.

No-one gets it all right first time. No-one. The ones who succeed are the ones who get up, learn something and get back on.

Those who have achieved great success have usually failed many times, but were unafraid to fail, learned from their mistakes, and kept going until they succeeded.

The only real failures occur where you fail to learn something, end up in severe debt or in jail, make serious enemies, ruin your health, or harm others.

It’s a good idea to re-frame your idea of the word failure. Very often, the thing you might have considered as a failure, was actually 90% successful. It was just one failed aspect that might have caused it to fail. It was part of your education.

The definition of an expert is simply someone who made the mistake before you did…

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