When I was a high school boy, I used to find the ways of becoming a multi-millionaire. And I realized that the best way to do it is to copy the success from the successful people. Is it simple? You need to copy their mindset, their ways of thinking, their action, their knowledge, and their experience. Till now, do you think it is simple any more?
The most difficulty is to copy their thinking and mindset because you have your own perception and core value which were collected and generated through years and in your specific environment. So maybe the successful persons say the right thing must be this, but you will consider it is not. It's just in an ordinary way. Don't worry but you need to copy their points of view to be win the game the life gives you.
In this website the real message is that you don't need complicated theories to succeed in business, money making, or winning your game of life. You just have to read, listen, and watch carefully. All the signposts you need are nearby, in the people around you and in the events that unfold daily.
Now what is the concept?
The concept is that if you want to win your game of life, you need to generate the passive income rather than just get active income. When you have flows of passive income, you have more time, more money, and more relationship.
What is the difference of active income and passive income?
Active Income: Income simply for which you do something to receive. This includes wages, tips, salaries, commissions and income from businesses in which there is material participation. If you don't do anything, you don't have money or this kind of income.
Passive Income: Earnings an individual derives from a rental property, limited partnership or other enterprise in which he or she is not actively involved. So for this kind of income, you don't need to work, money will work and generate money for you.
How to earn this kind of income?
You need to create a business system. Remember "SYSTEM". Again, System is the most important key to help you become rich.
Why is system important and help you rich?
System is like a water-pipe system. When you set it up, the water just comes whenever you need. Simply business system is the act of encouraging the purchase from your target consumers.
How to create a business system? for each kind of business model.
There are many business model. Actually, the job of any business is to create system. See in each kind of business model as follows:
1. Traditional business
The business needs the traditional distribution system to ship its products or services to end consumers. (this distribution system includes distributor, wholesaler, retailer, or agent). You need a price system for each level of distribution channels as well.
2. Bricks and clicks business model
Business model by which a company integrates both offline (bricks) and online (clicks) presences. One example of the bricks-and-clicks model is when a chain of stores allows the user to order products online, but lets them pick up their order at a local store. What is the system here? The system is the way of making the order process simpler which helps consumers more engaged in the business to make purchase.
3. Cutting out the middleman model
The removal of intermediaries in a supply chain: "cutting out the middleman". Instead of going through traditional distribution channels, which had some type of intermediate (such as a distributor, wholesaler, broker, or agent), companies may now deal with every customer directly, for example via the Internet.
4. Direct sales model
Direct selling is marketing and selling products to consumers directly, away from a fixed retail location. Sales are typically made through party plan, one-to-one demonstrations, and other personal contact arrangements. A text book definition is: "The direct personal presentation, demonstration, and sale of products and services to consumers, usually in their homes or at their jobs." Multi-level Marketing or Networking Marketing is in this business model.
5. Distribution business models:
You negotiate to get the right and contract to distribute a company's products or brands.
6. Value-added reseller model
Value Added Reseller is a model where a business makes something which is resold by other businesses but with modifications which add value to the original product or service. These modifications or additions are mostly industry specific in nature and are essential for the distribution. Businesses going for a VAR model have to develop a VAR network. It is one of the latest collaborative business models which can help in faster development cycles and is adopted by many Technology companies especially software.
7. Fee in, free out
Business model which works by charging the first client a fee for a service, while offering that service free of charge to subsequent clients.
Franchising is the practice of using another firm's successful business model. For the franchisor, the franchise is an alternative to building 'chain stores' to distribute goods and avoid investment and liability over a chain. The franchisor's success is the success of the franchisees. The franchisee is said to have a greater incentive than a direct employee because he or she has a direct stake in the business.
9. Sourcing business model
A Sourcing Business Model is a type of business model that is applied specifically to business relationships where more than one party needs to work with another party to be successful. It is the combination of two concepts: the contractual relationship framework a company uses with its supplier (transactional, relational, investment based), and the economic model used (transactional, output or outcome-based).
10. Freemium business model
Business model that works by offering basic Web services, or a basic downloadable digital product, for free, while charging a premium for advanced or special features.
and many other business models...
So how to choose a business model to invest your effort into?
I can tell you that any kind of business model can help you become rich. There are not right or wrong. Wrong just because you follow the wrong mentor, company, or simply direction. For example, almost people don't like MLM (Multi-level marketing) and consider it as a scram. Do you think so? Now let your brain tell how many times you have felt satisfied with a product or service and then you have been excited in sharing it with others and inspire them to try without any fee or commission. Do you feel comfortable to buy something from a strange salesman or to buy something from your relatives' recommendation? MLM is not wrong, it just removes the intermediaries because intermediaries in distribution seem more and more ineffective. It's wrong only when you follow the wrong company or wrong upline.
Now come back to the ways of choosing a business model to invest in.
In my opinion, you should consider some elements as follows: your budget, your lifestyle, your favorites, and your goal.
If you have huge budget, you can open your own company, buy a franchise, or become a distributor for a company.
If you are creative and you have a relevant team, you can join in Freemium business model.
If you just have a little money, you can invest in MLM or internet business.
Remember every business can help you rich and there is no right or wrong in the business model you choose!
I will share my knowledge and experience in making money from these model. I hope the information I provide can help and empower to become more successful, richer, and financial freedom leading to winning your game of life.