How businesses are changing
If the last decade saw tech giants like Microsoft & Google rise up to the top, this decade will see Platforms like Uber, Airbnb replace them and take the pole position
Platforms give rise to Brands with
1) No product ownership
2) Massive awareness
3) World Class Technology
4) Great customer interface experience
5) Creating Big influence by Advertising & Communication
Platforms have changed the old model of Entrepreneurship in the following way
A) Land – Replaced by Virtual Ecosystem comprising Cloud based Technology etc
B) Labour – Platform Technology has to a very large extent eliminated the old system of hiring a larger workforce
This has been made possible by making the Customer indirectly work as Employee
This is done by creating interfaces where the Customer
1) Downloads the Application – Hence no sales person required
2) Enters his Personal Details – Hence no Customer Service Personal required
3) Make his Product Selection on his own – No Product Personal needed
4) Make Online Payment himself or herself – No Billing Staff needed
5) Logs his Complaints Online – No Customer Complaint Staff needed
C) Capital – The old pipeline of raising capital through Banks and Informal sources like friends & relatives getting replaced by new pipelines like
1) Angel Funding
2) Venture Capital
3) Private Equity
This is happening because of the Big Data Phenomenon & Digital Connections
This has made it possible to ascertain credit worthiness through the availability of reliable databases
Therefore accessing the available capital pools is getting easier
This is also going to bring down the cost of capital and provide impetus to Entrepreneurship to help fructify ideas emerging in any corner of the globe
Investors are also having a clearer vision of the future and therefore the patience to stay invested for long
Market Development and Distribution – The gestation period of going to market has been either eliminated or decreased through the development of logistics and supply chain systems
Today the world is your market and hence the long tail phenomena makes it possible to create customization at a scale
Modern Entrepreneurship is getting more and more democratized giving power to people with ideas to compete with large enterprises
The arbitrage enjoyed by those having very deep pockets is shrinking at an accelerating pace
The world truly is your oyster and the globe truly has shrunk into a small village
Opportunities are waiting to be grabbed by those with a Purpose + An Idea to Solve People’s Problems
Time is the new currency and Return of time the new metric
I rest my case
