Business is a Game of Multiplication, Not Addition

Business is a Game of Multiplication, Not Addition

This Blogs explains the concept of scaling a business and how it differs from growing a business. It highlights the importance of creating systems and processes that can help a business grow exponentially rather than incrementally.

As an entrepreneur, it is important to understand that business is not just about making money. It is about growing and expanding your business. Many business owners tend to get too comfortable with their current level of success and fail to explore new opportunities to grow their business. For instance, let’s take the example of a retail store owner who has been operating his business for a few years and is making a steady income.

He is content with the sales he is making and does not feel the need to expand his business. He may be generating a regular income, but he is not growing his business.

In contrast, a successful businessman will always look for opportunities to multiply his business. He will seek to become a wholesaler, manufacturer, or distributor of the products he is currently selling. He will explore new markets and create new products to stay ahead of the competition.

For example, if we consider the story of Dhirubhai Ambani, the founder of Reliance Industries, he started as a small-time trader in Yemen and then moved to Mumbai, India to start a small textile trading business.

However, he did not stop there. He kept exploring new opportunities, and soon he became a manufacturer of synthetic fabrics. He then expanded his business to petrochemicals, refining, and telecommunications. Today, Reliance Industries is one of the largest conglomerates in India.

In conclusion, as an entrepreneur, it is important to understand that business is not just about making a regular income.

It is about multiplying your business by exploring new opportunities, creating new products, and expanding to new markets. If you are not growing your business, you are not a businessman, you are just self-employed.

“Samvad Sacchai Se”
Interesting conversation between Sudhakar and Vikas

Sudheer: “Aur Vikas ji, Vikas ho raha hai na? Aur bataiye kya chal raha hai aajkal?”

Vikas: “Hamara to wahi chal raha hai regular retail wala business. Theek-thaak hai market. Kabhi mandi hai to kabhi teji, lekin apna dana pani chal raha hai. Ab aap bataiye, aapka kaisa chal raha hai?”

Sudheer: “Kya batyaen Vikas ji, sara vikas to aap logon ne rok rakha hai. Retailer ke aage aap log kuchh soch hi nahin rahe hain. Arein duniya jameen se aasman tak ki duri tay kar rahi hai aur aap log retailer to wholesaler banane ke liye taiyaar hi nahin hai. Bataiye kaise aage badhe?”

Vikas: “Are wholesale ke chakkar mein retail ki bhi dukaan band karni pad jayegi yaar. Ham to yahin per khush hain. Din bhar becha sham ko uthakar le gaye ghar. Aur kya hi chahiye?”

Sudheer: “Yaar businessman baniye aur kuchh bada sochiye. Nai-nai taknike aa rahi hai, nai-nai upkaran aa rahe hain jo logon ke jivan mein nai-nai badlav la sakte hain. Unke bare mein sochiye. Is mauke ko agar aap jaane denge, to aur koi le lega...”

Vikas: “Yaar mauka to aapne bhi bahut sara liye. Kahan aap chhota sa Dish TV equipment ka retail business karte thein. Fir aap distribution mein aa gaye aur suna hai aajkal aap yahin per manufacturing bhi karva rahe hain. Kahin se saman lakar yahan per aap install karva lete hain aur apne branding se bech rahe hain. Kya baat hai, munafa to bahut jyada ho raha hoga aapko.”

Sudheer: “Baat sirf munafe ki nahin hai, baat progressive growth ki hai. Kal mere saath 10 log kam karte thein, 10 logon ka ghar chalta tha. Aaj mere saath 100 log kam kar rahe hain, 100 logon ka ghar chal raha hai. To main to isi ko tarakki manta hun, ise hi Vikas manta hun. Aap kal bhi do log kar rahe thein, aaj bhi do log hi kar rahe hain. Yeh to tarakki nahi hui.”

Vikas: “Arein Sudheer bhai, aap kya baat kar rahe hain. Hamari toh dukaan itni choti hai, keval do logon ke liyen hi jagah hai. Agar hum 100 logon ko rakhenge to phir aisa lagega ki yahan per kuchh galat kam ho raha hai, koi FIR na kara de, humein police ke pass jaana hoga safai dene ke liye.”

Sudheer: “Haan, aap theek keh rahein hain. Lekin phir bhi, kuchh naya kijiye na.

Vikas: “Chaliye, lagta hai aapke pass baar-baar aana hoga aur yah samajhdari wali baatein aapse sun-sun kar hi kisi din main bhi samajh jaaun aur kuchh naya karne ki aur badhun.”

This conversation between Sudheer and Vikas highlights some important aspects of entrepreneurship and business growth. Here are a few key takeaways:

In order to succeed in business, it’s important to keep an eye on emerging trends and technologies that could help you stay ahead of the competition.

Once upon a time, Nokia was the reigning king of the mobile phone industry, with their sturdy devices dominating the market. However, as time passed, emerging markets began to demand more advanced smartphones with newer operating systems. And that’s where Nokia’s troubles began.

While other companies shifted their focus to developing smartphones on the Android platform, Nokia stuck to their guns and continued to rely on their proprietary operating system.

As a result, when the tide shifted, Nokia was left stranded, unable to adapt to the changing market demands.

Their once loyal customers began to flock to the more technologically advanced offerings of other companies, leaving Nokia in the dust. Despite their best efforts, Nokia was unable to compete and their market share began to dwindle until they were no longer a significant player in the industry.

The lesson learned from Nokia’s downfall is clear - in the ever-evolving world of technology, it’s essential to keep up with the changing times and embrace new innovations to stay relevant. Failure to do so can be the downfall of even the strongest of market leaders.

In the world of business, success is not just about making money - it’s about creating opportunities for others.

As entrepreneurs, we have the power to make a positive impact on our communities by providing employment and training to those around us. But achieving success is no easy feat.

It requires us to be open to new ideas and take calculated risks, constantly pushing the boundaries of what is possible. Setbacks are inevitable, but it is our ability to be resilient and adaptable in the face of challenges that sets us apart.

This book is a guide for those who want to take their business to the next level, to stay ahead of the curve, and to make a difference in the world. With a growth mindset, a willingness to embrace change and a commitment to learning, entrepreneurs can achieve anything they set their minds to. Through the pages of this book, readers will gain the knowledge and tools they need to navigate the ever-changing landscape of entrepreneurship and build a successful and fulfilling business.

Sunil G Kushwaha ( B.Sc, MBA, LLM )
Co-founder - AIWS ACCOUNTECH
Date:- 25/01/2023