The 2nd Rule Of Business…
| New To Snowboardjohn.com? |
| Here are a few posts the other readers recommend you check out. |
Is: Business profitability is reliant upon perception creation and exploitation.
You are either creating a perception, or, you are exploiting a perception… AT ALL TIMES PERIOD.
The reason why being a market category leader is so important is because of the enormous economies of scale you get from a COMMON MASS PERCEPTION of you and/or your company. Creating perception is DIFFICULT AND EXPENSIVE. And the less effective you are at creating value perception the better you had better be at exploiting it.
Do not underestimate the increadible importance of perception exploitation: it’s not as easy as you think. Many would-be’s think that if they could create enough value perception they will be able to exploit it easily, often they are wrong.
Google invented Pay Per Click advertising with its Adwords program: before that, search engine traffic wasn’t worth very much to the search engines who generated it. After Adwords, everything changed. Because Google was so good at figuring out how to exploit the perception that would-be-advertisers had of Google search engine users.
But it took many years of trial and error (and companies going bust) before some people figured it out.
Tomorrow: The first rule of business.
If you enjoyed this post, make sure you subscribe to my RSS feed!
August 30th, 2007 at 3:18 am
Actually, it was Overture that invented Pay Per Click. Yahoo bought them out and should have become king of PPC. But amazingly, it was Google whom no one was paying attention to at the time that figured out how to exploit it. Now they practically own Pay Per Click.
December 11th, 2007 at 3:28 am
<p>Yeah Rich your right! Not only does Google practcally own Pay Per Click Google pretty much owns the internet now with Adwords.</p>