Sorry to those around me…but I am on a rampage the past couple weeks….I am just fighting like never before…..That is how I deal with things….I come at them head on.  I need to be aggressive….I didn’t come this far, all the way out here to China, to get lazy, drink beer, and try to get other people to pay for my life.

I came here to build a business.  I was considering the MBA investment, but I instead decided to invest in building a international business between China and USA.  To build a future for myself and for my family.  To build strong cashflows and a scalable business model.

And I see more clearly now, more then ever, what I need to do to make things work:

1) Focus on projects and clients that make money. Sounds easy, right?  Yea…sure, especially being in China, every damn day I get an email from someone who has “the next big idea” that I am so fortunate to be considered to help them source in China for them.  Sure, I love new opportunities, considering new business ventures.  And I am honored that friends and associates come to me with their “baby” that they lose sleep over.  But its also not fair for me to engage myself into a business that I cannot fully offer my time and support.  No matter what I say, I think I can have someone else manage the project - it seems to always come back to me and haunt me.  So I say FOCUS on projects that will bring steady cashflow or recurring revenues in a foreseeable future on a clear timeline.  No more “hail mary” passes for a while, I don’t have the time or the money to afford to use that time.

2) Surround myself with a qualified network - I don’t want to say those I may consider “un-qualified” for business are losers. I’m not some stuck up prick.  I mean building a network who can build off each other, in a similar field or product line.

I do ecommerce between USA and China.  And I focus in the home, bar, gift, and entertainment product lines.

So, while before I was expanding my network anywhere and anyway I could. I am realizing “quality over quantity” - similar to my FOCUS point above.  If you are in those fields above, then hopefully we can mutually help each other grow and succeed.  If not, maybe we can grab a beer at the bar on Friday and be friends.

3) Don’t be so concerned about others thinking of you - I think this has always been a weakness of mine.

part a) I am too nice, (yea…sometimes a pushover) - and then all of a sudden I will explode once I reach my limit in a particular relationship / confrontation.  Its extreme nice or extreme anger with me.  I know I should change this.

part b) I want to be everyone’s friend - I have been able to do well in “political” environments, where I am able to understand both sides of a given situation, be able to get both parties sides.  I am normally trusted to be given secret information.  And then I usually “win votes” to get elected president in my high school, university, fraternity pledge class.

I don’t want to give up those 2 images of myself.  But I am learning (especially in China) that (translated quote)

“If you make you’re self out to be an ass (donkey), people won’t feel guilty to ride you”.  I think thats the Chinese business environment.  Dog eat dog, survival of the fittest.  AND IT HAS CHANGED ME.

Changed for better or for worse?  Well, stronger for sure.  Hopefully not too “thick sknned” and insensitive enough.  But sure, we all change in life.  Its part of life, and growing as an individual.

So I apologize to those around me, staff, clients, suppliers, I have been on a RAMPAGE lately….really fighting to shape up the business around me.  I want things to get more clear, more scalable, and then hopefully I CAN TAKE A DAMN VACATION.

(note: this is my personal blog, I can say what I like, and you’re reading it this far because you must be interested).

The older i get, the more i keep realizing, companies aren’t products or services….they are groups of people fighting to grow - working hard to add value to an industry, to educate people in their following, and to build a great team.

Thats why i realize its essential to attract and retain top performers in the industry you provide….

How do you do this? You have to represent the industry, live and breath it. Set an example for others to follow. To work hard and fight alongside the team.

Then there is the idea of DISC method (above) to evaluate people is a great tool I have tried to implement in business.  Its the idea that you need to have the proper mix of people in a team / company to offset strengths.

• Dominance: Direct and Decisive.
  D’s are strong-willed, strong-minded people who like accepting challenges, taking action, and getting immediate results
• Influence: Optimistic and Outgoing.
  I’s are “people people” who like participating on teams, sharing ideas, and energizing and entertaining others.
• Steadiness: Sympathetic and Cooperative.
  S’s are helpful people who like working behind the scenes, performing in consistent and predictable ways, and being good listeners.
• Conscientiousness: Concerned and Correct.
  C’s are sticklers for quality and like planning ahead, employing systematic approaches, and checking and re-checking for accuracy.

If you are a businessman, I think you should try your best to get a good balance of the above people in your group.  You need each part here, and you need to realize that no one person can be every part.

I took this exam when I was at Deutsche Bank, I ended up being a D and an I - meaning I am pretty dominant / extroverted as well as Influencial trying to push my sales / ideas onto others…. I have tried to grow that over time and realize S and C just aren’t my strengths and I need to find people to fill those.

There is a difference between leaders and managers - Leaders trailblaze the path (with a machete knife cutting down the jungle), and the manager helps to build and develop the road to the new destination. Both need each other to survive.

I think that is why sports athletes are said to make good CEOs, because they can lead groups, they are strong physically (yea, well being a bit intimidating helps push across your ideas), and can deal under stressful situations and stress.

Same goes for military, those from the army learn to work in teams, organize a plan, and execute orders.

Sadly…i was never involved in either a sports team or military, actually, i thought i would join the military when i was younger, it seemed “sexy” in that you were seen as a glorified warrior, fighting for your country, protecting women and children back home.

But in high school, during recruitment phase, i got high grades in the exams but couldnt take orders….they were already ordering me around and i didnt even sign the contract yet.

That is why i love the internet……i can blog about what i want…..people read because they want to. People work in an e commerce company, sure for money, but also to learn and grow their mind. We all go through challenges together, we learn, we fight, we expand….

There are no boundaries, no hierarchies, study, learn, network

Sad that governments and company firewalls try to hold people down and trap them in into working and thinking a certain way.

Internet will continue to thrive and break boundaries

I have been spending a lot of time with my friend Jon Conte, whom I met in ITALY back in 2003 when we were part of a scholarship program for Italian Americans to learn about their heritage in Italy…..we were both living in New York at the time, so after our return from italy, we would spend times partying in new york city, as well as some other fun road trips. pretty funny that years later, we are in regular contact, and both in china pursuing our dreams, looking for something bigger than where we started.

Photo above: me, Jon Conte, and David Ho

Sitting next to him now, and we are both laughing about that. He and I both say we are in China for such different career purposes, but the same idea that USA is in a bad spot now and the future of opportunity is here in China!

Below is his MBA personal statement, he is studying at Fordham University in New York City and in an exchange program with Beijing University. He allowed me to put his statement of use to receive funding, so if you would like to read this before I start asking him questions (below this text). Right now I am helping him get his own blog setup on jonathanconte.com - check that after the next couple days to see what he is up to.

I have always been a high achiever and I believe that my academic and work records speak to that effect.  As a youth, I attended Regis High School in New York City, an all-scholarship boys Catholic High School, where I had my first experience in the true qualities of Jesuit education and learned the Jesuit credo to be a “man for others.”  I am versed in the classics, having studied both Latin and Italian while at Regis, and it was in these classes where I originally noticed my love for language and the opportunities linguistics opened to experience and interact with foreign cultures.  Regis High School pitted me in my first international setting, as I commingled with young men my age from around New York City, most from backgrounds far different than my own Italian heritage.  In many respects, it was my experiences at Regis that crafted my intellectual development, as I escaped the homogeneity that characterizes most students’ high school experiences.  I have never been afraid of others’ cultures and I embrace the diversity that characterizes our human experience.

Upon graduation from Regis in 2000, I began my undergraduate studies at Fordham University.  I was enthralled with the qualities of a liberal arts education enjoying my subjects equally but particularly enjoying philosophy, economics, language, and history.  Following the completion of my first semester at Fordham, I was asked to participate in Fordham University’s select Honor’s Program.  I readily accepted the opportunity, and was pleased to undertake my classes in a more close-knit and structured environment outside of the University’s general core track.  My time at Fordham saw my initial foray into the international sector as I obtained my degree in International Political Economy, partaking in this multidisciplinary field and studying key subjects such as International Politics, Economics, Italian language, and Anthropology.

Nevertheless, excluding my course study, my attempts and opportunities at exploring my passion for the International Development field were very limited.  In many respects, my efforts at this time were not to the best of my abilities, particularly for someone seeking opportunities in a field which requires significant independent study and outside internship experience.  There are several reasons for the lack of development of my passions at this juncture of my life, but none more prevalent than my need to work during my undergraduate career in order to support my education.  I was a commuting student as an undergraduate and although I received a modest scholarship, it was necessary for me to maintain employment throughout the year to meet my expenses.  My first working experience in college was working for my local City-Councilwoman in the Bronx as a legislative assistant.  I participated in this role starting in sophomore year and continuing through my first year after Undergraduate graduation.  If I was to characterize my favorite aspect of my work at the New York City Council, it was definitely the opportunities I had to help others.  I am particularly proud of some of the programs I was able to arrange such as flu shots for senior citizens and free dental screenings for children.  At the same time, I found the day to day interactions and inter-workings of New York City politics devoid of the cross-cultural opportunities that so endear me to the international setting.

The Councilwoman I worked for was on a term limited appointment and following the expiration of her term at the end of 2005, I was at a cross-roads.  Believing that security and stability were necessary aspects for my career I began my MBA in Finance at Fordham University and also started on a career in banking in mid-2006.  After three years in the banking industry, both at The Bank of New York Mellon and Merrill Lynch, I learned several important characteristics about myself.  For one, I was very good at the work, but truly this never endeared me to my day to day tasks.  I am a high-achiever from a hard-working middle class background.  When put to task, I do not know any other way to respond than to do my best.  My grandfather was a working class immigrant, who left his home in Italy at the age of seven-teen to make his way in America.  The dirt that stained his hands from a hard day’s labor is still present in my mind’s eye.  I will always work hard.  Secondly, I learned that I do not like, nor am I am I man who values the trappings that are associated with an investment banking career.  I have no great love of monetary gain, which whether good or bad, is most definitely a key motivator behind a banking career.

The financial crisis was also a crisis of conscience in my life.  I watched many people around me, good people, lose their jobs and feel lost as they faced a juncture in their careers.  Their careers had been dominated and characterized by what the firm expected them to be, what the firm expected them to know.  Now the financial crisis put them in a position where their skill sets were less their own and solely dominated by what they had been bred to be.  They now stood lost with nothing to show for their efforts except a mortgage payment and car loan.  I did not lose my job during the financial crisis, but rather I found the courage to believe that my career can only be dominated by work that I am passionate for.  I do not value money, but rather I value knowledge, wisdom, and experience.  My career should not be developed by an organization, but rather should be developed according to what I love and who I am innately at my core.

So here I stand before you, having left my job at Merrill Lynch in July, refocusing my degree aspirations to the study of Management and Leadership. I have begun my foray into the International Development field some 5 years after earning my undergraduate degree.  My life has come full-circle, but I have been tempered and emboldened by my life-experience.  My values are unshakeable and that is truly the wealth that I have received these past 5 years.

My career aspirations are clear.  I have been studying abroad in Beijing, China this fall semester and this experience has led me to form a passion for the people of China and a burning desire to master Mandarin.  My time at the UN Democracy Fund this spring will open significant doors for my career.  I believe it will be the perfect bridge for my political and financial backgrounds, but most of all ensure that my daily efforts are devoted to bring about change for the betterment of others’ lives.

So now that you got a better idea of where he is coming from….I am going to start interviewing him with some questions and get his own ideas.

in his own words:

i was originally a finance major, and was to follow the lines of a banker, continued in finance in Merryl Lynch - or another bank as a trader. but soon i realized i didnt have a passion for the work, for finance in general. so i feel my original path was misguided because i am more macroeconomic as i am more interested in politics. i switched to management because i didnt just want to be another guy who got an MBA for a better job. i value knowledge, wisdom, and experience. i wasn’t getting those, and i felt my MBA wasn’t allowing me to get it. my school is an b-mba, and wouldn’t help me get that much higher salary. a lot of the classes are like my undergrad. so i didn’t see the value from the traditional school outline - so i made my own based on the social - political side, instead of on the finance and math side. That is how I ended up in China, reading up on the political issues, this is the next battleground of the next century, or at least half century. USA has a lot of work to keep relations with China.

what about the students in your class

here in China, its 70% chinese. i am noticing that the chinese are going to mba for the same mistaken reasons americans go for an mba - just for social standards, to make more money in their jobs - but not for true embetterment. they are more focused on monetary gains then on knowledge. they see the mba as an opportunity to make more money, which i feel is the wrong reason to get an education. the only extra benefit in china as an mba is still more noticable than in usa. in usa, everyone these days seems to get an undergrad, and it doesnt seem to differentiate your self from one another. “once you start giving everyone a gold metal, its not a gold metal anymore.” everyone has an undergrad in the usa, and its almost getting that way with an mba.

there aren’t enough risk takers in mba programs anymore. they are just after money. my view in life now is money will follow what i do. i am not sure how much that will be, but the money i make will suffice for what it is a truly enjoy doing.

anything else you want to add.

it upsets to hear me that fordham university is offering a 2nd degree for chinese students who want to get their fordham degree. its a 5 week program in the summer for $10,000usd. these chinese students save for so long, and is this investment worth it. 5 weeks in usa for that much money. seems fishy to me.

=========================

Well, I have talked about MBA in the past and I hope my chat and discussion with Jon give you another angle.

you can see some of my previous posts for your reference

surrounded by hard working people - does it require an mba

maybe i should have gone to mba school…

survived cyber monday, who needs an mba

I have to admit, it has always been difficult for me to fully trust a person…..which, is the opposite many people think of me. Often i am told i trust too easily (especially what chinese people say about all foreigners), BUT i think my main difference is that i trust easily on a limited basis, but for full trust, that is rare.
One example - back in usa when i was in college, a group of us would drive up to a drive-up bank ATM and the driver would take out cash for everyone. When your card came up, you would say outloud how much cash you wanted and your PIN password….i would always pass on this event, even if they were friends id know a long time…it just didn’t seem right. And while i would trust them enough for medium level life trust events, just never comfortable having someone else drive my car, or use my keys for things.
I realize in life, and especially in business, we cannot grow as a person or as a business if we do not confide in others around us.
Especially being in china, where i still cannot read the chinese characters, i have to trust friends and coworkers with what in the usa i would never so openly share (contracts, invoices, etc).
But in having this happen to me, it has forced me to realize two things;
1) trust more in others to grow
2) learn chinese

But recently i have delegated and empowered even more….for 2 reasons, 1) to grow my business and 2) to have more personal time (seems that is still taking some time)
But this process has been difficult for me, personally,
For example, sales, i have usually always had the primary relationship with company accounts, but now i have to take an inquiry and have a colleague take the lead….
This makes me nervous for 2 reasons;
1) i seem to be a control freak
2) i am afraid the coworker will leave the company

This has been most strenuous the past couple weeks, as i am away from the office a good amount of time, and i have to delegate so much….transitioning from an “on the fence” type B personality to a “full blown” type B personality..so i get edgy and fight myself internally
So that is why i need to rely on good people, and i almost call them my “family”
My colleague, and friend, mark, pointed out that i always hire inexperienced fresh graduates, and thinks its due to this lack of trust of an experienced worker…. Yes i have to admit, that is a big part as to why. But a couple others are salary requirements, as well as…..i think it would be odd to hire people much older then myself.
But…look, i am trying. Also, i am more experienced myself. And older. Plus i believe i have a solid staff and loyal clients who value the services i provide and the person i am.
Rock on, and if i get screwed over….guess i will blog about it!

I realize how important it is to surround yourself with good people…and I can say that I have that in my office in China. I get a good feeling in my gut when I see the work getting done each day. I realize how important it is to motivate others….understand what people think about, what makes them happy, and what makes someone want to be happy in their work environment.

ok, again I think this is better than MBA school. Learning by doing, learning by being “in the trenches”

keep pushing.

the more i study business and finance the more i learn its all a crapshoot….but there are 3 ways to valuate a company

1) book value times a multiple —– assets minus liabilities = book value. Then you get the multiple based on market value for similar companies.

2) cash flow times a multple —– how much free cash is the company creating per month/year and them multiple times some industry average multiple

3) P/S (price over sales multiple) —- what premium over the yearly sales is the company worth (just take yearly sales and multiple times a multiple)

the multiple depends on

1) growth potential
2) supply/demand for this type of industry
3) position of this specific company versus its competitors (#1 in its market, etc)
4) risk factor - how likely it is to hit its targets, etc

I would say easiest is (1) book value times a multiple - but what multiple?!!?!?!?!?! Guess we can look at Amazon.com and Ebay.com

What it really comes down is - WHAT IS SOMEONE WILLING TO PAY….and how much do they believe in the management team….which is why I learn more and more its about delivering on what you promise and never losing your creditibity.

Shanghai China Disco MT3 a few nights ago

Past week….was a rollercoaster….emergency call from a usa customer…..next day flight to a factory (below) 2 days of negotiation….conference calls, fighting….contracts, legal consul,

everyone wants to be a “boss” until shit hits the fan.

Maybe MBA school would have been a better way to learn….but then again…..what do you really learn in MBA school??? I feel like my night classes / Masters in Tech. Mgmt while I was taking my bachelors will suffice…….raw experience is the way to learn…..but man there are some painful ways to learn.

Feel like I’ve passed some kind of test. Retail site New York Bar Store survived a rough couple weeks……internal employee issues…operations….chargebacks….but we manage…regroup…and move on.

I remember I was thinking of getting an MBA…but you know what?

1) I never liked school - I like to study what I want to use in life.
2) I don’t want to pay to go to school -
3) The time studying for GMATs - prep classes, weekend studying
4) The time applying to different MBA schools
5) The 2 years of full time school.

So you add all that up, the VALUE OF TIME and the HARD DOLLARS spent….

then you figure what I’m doing

Learning to build a business…reinvesting my savings into myself to build a business…

Sure I’m getting ROCKED….each day struggling to learn more and more, to adapt to changing environment, tech issues, customer issues, employee issues, sourcing issues, supplier issues……

But I would say that 100x more valuable and effective than an MBA…at least for me….but hey, in the 7 months of full time entrepreneur…add up all the learning, building, and personal growth - as well as networking - and yea…I’m making money at it too…

My case for going entrepreneur vs. MBA

been meaning to write this post….would love to hear feedback.

Maybe it depends if you’re trying to move up in the corporate world vs. the small business world?