Music In 3D

Since the introduction of the MP3 player and the ipod, CD sales in the music industry have declined.  Consumers are able to purchase their favorite song at a lowered cost, which have caused album sales to fall.  In the past music artists use to do concert tours to promote a new CD, now artists are doing concerts to “make ends meet.”  Music executives have begun to explore how 3D technology can increase revenue.

The thought from executives is that not only will 3D concerts help to increase revenue, but it may help to solve some of the piracy problems the music industry is experiencing.  The technology associated with 3D is very expensive and nearly impossible to replicate and reproduce.

Recently, The Black Eyed Peas announced that they would be making a 3D film with director James Cameron.  Hollywood agent Sanford Climan says “there is a lot of money to be made from filming concerts in 3D and screening them in real time simulcast.”  By simulcasting a live concert fans are able to see their favorite band perform when they cannot afford a ticket to the concert or when the concert sells out very quickly. In 2008, U2 screened their 3D concert at the Sundance Film Festival and it was shown in 600 American theaters, the film grossed over $20 million.

I’d have to admit that it would be more convenient to see my favorite music artist’s concert at the local movie theater, especially when the closest venue to me is 45 minutes away.  This would also decrease my out of pocket costs such as gas, concert ticket compared to theater ticket and beverages.  But, would the experience the same?  Do I chalk it up to you get what you pay for? I wonder if this will be a one-time fad or a cultural phenomenon.  I think that a 3D concert for the pop artists will do very well, but I am skeptical when it comes to the other genres of music. 

http://www.guardian.co.uk/life-in-3d/3d-in-the-music-industry

Funding A Dream

Owning your own business starts with a dream. An idea is born and the entrepreneur takes that idea and brings it to fruition.  In a perfect world, they have the financing needed for start up costs to get their idea off the ground and start selling their product.  In the real world, most companies have to search and seek out financing for their dream.  But where do you go to fund a dream? The websites below offer different types of financing for the many different types of individuals and businesses.

The Opportunity Finance Network is a financial network that provides financing to low-income, low-wealth, and other disadvantaged people and communities. 

http://www.opportunityfinance.net/

The Association for Enterprise Opportunity focuses on the development of microbusinesses.  The members of AEO include microlenders, small business development organizations, non-profit lending organizations and educational institutions dedicated to microenterprise.  AEO’s affiliation with microlenders can help a microbusiness obtain the funding they need to get started.

http://www.microenterpriseworks.org/

The Coalition of Community Development Financial Institutions provides funding to distressed communities.  The funding obtained is to help develop activities in low wealth communities in both rural and non rural areas across the U.S..

http://www.cdfi.org/

The Corporation for Enterprise Development operates at the “local, state and federal levels to create economic opportunity that alleviates poverty.”  The CFED is working to provide asset building for children.  The ABC initiatives are savings, college success, financial education, partnerships, products and policy.  CFED is forming partnerships with larger corporations to provide funding for these programs.

http://cfed.org/

The Community Development Venture Capital Alliance provides equity capital to businesses in underinvested markets.  CDVCA also “promotes the field by combining advocacy, education, communications and best-practice dissemination through conferences and workshops.”

http://www.cdvca.org/

“The National Community Investment Fund is a non-profit, private equity trust that invests in banks, thrifts and credit unions that generate both financial and social returns.”  The institutions funded are designed to promote community development with the majority of its focus on low to moderate-income people or communities.

http://www.ncif.org/

The National Federation Of Community Development Credit Unions was developed to serve low income and minority communities.  Their mission is to provide financial, technical and human resources to help Community Development Credit Unions.

http://www.natfed.org/i4a/pages/index.cfm?pageid=1

The U.S. Economic Development Administration provides federal funding.  There are many grant opportunities that a business can apply for.  The EDA also provides information regarding leadership and many other investment program opportunities.

http://www.eda.gov/

The First Nations Development Institute is a funding resource for Native Americans. They provide financial and investor education, business and asset development and direct financial grants for Native Americans.

http://www.firstnations.org/default2.asp?id=69

Oweesta is a subsidiary of First Nations Development Institute.  Their main focus is to provide “tools and knowledge that lead to sustainable and systematic economic development for Native Americans.

http://www.oweesta.org/

After reviewing these sites, I learned that there is funding available for many different types of people such as minorities, Native Americans and more.  The funding can be found through investors, grants, trusts and many other resources.   If you are looking to fund your dream, there are resources available to you.  Obtaining the funding will require a well thought out business plan.   

Entertaining Leadership vs. The Experts

On a quest to develop my very own business plan I have learned many things along the way.  A business plan is a necessary tool for those who intend to start their own business.  By creating a business plan a future business owner is forced to address issues dealing with all aspects of their business.  What business processes do you intend to use?  How do you intend to market your product or service?  How many employees will you need?  How many units of your product or service will you need to sell in order to keep the business afloat?

In an earlier post I had researched experts Steve Blank and Carlos Slim, who believe that is was more important to have a business model than an actually business plan.  I agree and disagree with both of these experts.  I agree that incorporating a business model into your business plan is the correct course of action.  Developing the business model with strengthen your business plan.  “Failing to involve customers and their feedback from literally the first day of a startup’s life, keeping the most vital opinions silent"(Blank, 2012) In order to make a business successful an entrepreneur needs to understand the wants and needs of its consumers.

I have incorporated this into my business plan for Entertaining Leadership.  After a client has completed one of our courses we ask that they provide us with feedback on how to improve our company.  This feedback will be analyzed and addressed at our company meetings.  The feedback could lead to new and more efficient processes within our company.  Expert Carlos Slim suggested that companies “create a simple organizational structure with minimal hierarchies; provide personal development and in-house training for executives” (Calvo, 2012).  At Entertaining Leadership we have designed a simplistic structure.  We also promote staff development.  We believe that it is our responsibility to assist our staff members in growing into better leaders themselves. 

I believe that the Operations section of our business plan will be the most important to our investors.  This section will explain how we intend to implement our business.  It will show how our classes are conducted and how our back office operations are structured.  Without the Operations section investors would not understand how our service is brought to fruition from our knowledge development team to our clients. 

Blank, S. (2012). Steve blank. Retrieved from http://steveblank.com/about/

Calvo, J. (2012, August 9). Expert views on business plans. Retrieved from http://bpexpertviews.blogspot.com/

Business Plan or Business Model?

While researching the “Experts views on the Value of Business Plans,” I came across two gentlemen who believed that business models held more weight than the actual business plans themselves.  I found this to be almost baffling. In almost every business class that I have taken, I have been taught that in order to have a successful business, you need to have a successful business plan.  Have I been misinformed all these years?

Steve Blank is a well-known entrepreneur who has founded many start-ups.  He has taught entrepreneurship at U.C. Berkeley, Stanford and Columbia.  While most of these schools emphasize on students creating a business plan, Blank suggests that they focus on the business model.  Blank states, “we’ve discovered that startups are not smaller versions of large companies” (Blank, 2012).  Blank stresses that his students focus on their customer development process, and not their business plan. “Failing to involve customers and their feedback from literally the first day of a startup’s life, keeping the most vital opinions silent“(Blank, 2012) is what Blank’s calls a start-up sin.  Another reason a start-up “sucks” according to Blank’s is “they’re solving a non-problem” (Blank, 2012).  “Entrepreneurs need to switch smartly out of ‘do’ mode and return to the earliest ‘discovery’ steps to find a distinctive, exciting solution to a seriously painful customer need or problem” (Blank, 2012).

Carlos Slim is the “Mexican telecommunications king, but also owns many various other businesses from hotels to sodas” (Clark, 2012).  Like Blank, Slim’s focus was on the business model and not so much the business plan.  He achieved great success in selling prepaid phone cards. “Many individuals in Mexico have a very low income or no regular income, many opt for prepaid minutes” instead of a home phone (Clark, 2010).  Although he owns a technology company, Slim prefers to use pen and paper instead of a computer (Luhnow, 2007).  His business perspective suggests to “create a simple organizational structure with minimal hierarchies; provide personal development and in-house training for executives” (Calvo, 2012). Slim started a group called ‘Fathers and Sons’ that invites Latin American billionaires and their heirs for annual meetings” (Luhnow, 2012).  During the meetings there are seminars that focus on ‘How to Run A Family Business’ (Luhnow, 2012). Slim also suggests entrepreneurs have clear objectives; reinvest profits and corporate creativity (Calvo, 2012).

After reviewing the background and views of both individuals, I believe that I will have to do both.  I will have to create a business plan to include the nuts and bolts of my business idea. But, I will also have to gain feedback from my customers in order to properly assess my company.  But, before I do both of those I need to identify if my business is a solution to a problem.

Blank, S. (2012). Steve blank. Retrieved from http://steveblank.com/about/

Calvo, J. (2012, August 9). Expert views on business plans. Retrieved from http://bpexpertviews.blogspot.com/

Clark. (2010, November 22). World’s wealthiest man carlos slim interview: No scarcity for slim. Retrieved from http://therisetowealth.com/?p=607

Luhnow, D. (2007, August 4). The secrets of the world's richest man. Retrieved from http://online.wsj.com/article/SB118615255900587380.html