New Start-up Business (1)
My friend, Mr. Chan (not his real name) started his new business venture in making Premier Mao (former leader) of China, metallic coin in around 1989. He was making HKD 30,000-40,000/month running a store in HK. I was a bit shocked when I heard him saying that he had already started this business venture. He ceased his shop business and invested all his money in making the metallic coins. I told myself, if he had asked my advice, I would have advised him to first do a simple survey to about 200 people above age 40, those who know who Premier Mao of China was. Then he would know the percentage of people, who were interested in such coin and how much they were willing to pay. There is a saying says, “The wise go by knowledge.” Another words, it is not by guessing. Another saying says, “Plans fail for lack of counsel, but with many advisors they succeed.” Mr. Chan lost all his money and he had to ask friends to borrow money to pay for the rent. He had three children and was the bread winner. His wife was a full time housewife. Another saying also says, “Plan carefully and you will succeed.” If one wants to be rich, he needs to plan diligently. Mr. Chan did not seek advice nor plan carefully. Planning includes market research to have knowledge of the market and potential customers.