Thursday 21 February 2013

b.Passion Business I - Blueberry Wine (as a)

Yesterday I have just tasted the first batch of blueberry wine. It was about 10-12% alcohol, quite dry, very slightly fruity, no sugar after-taste, very full in flavour, absolutely no blue berry smell or taste. This is an excellent first batch. The colour is very deep purple, which gave a very strong feel to great quality. When placed in a heavily leaded (24%) crystal glass (check its danger to health), it gave a clear purple hue as if it is from a very royal vintage. When drank, it was very clean on the palate after swallowing. Unfortunately, this batch of wine is still very young, about 6 months old, so it lacked secondary definitions. It doesn’t give any aromas that are commonly associated with old and great wines (10-12 years old). But, given time, it should do great with more aromas, I simply can’t wait. One friend already snapped off 2 bottles even before I decide to bottle. Nice ...

This batch should be fully sold within 2 weeks. The price is set at friendship level, so nothing to fight over. The profit margin is slightly over 100%, after deducting costs.

Hence, gearing up to do the 2nd bigger batch once the blueberry season is on its way.

Other fruits in the line are the mango and the pineapple which are gals’ favourite. The first lab test for the pineapple was proven so successful that it was drunk up even before it reached full fermentation. Shit! I should have stopped the gal folks from being so aggressive in their fight for the good stuff. Seeing them drink up was so sexy.

Right now, across the other side of the globe where the mango and pineapple reign supreme, I have started on 2 more batches on pineapple and my 5th batch on mango.

In general, I ranked pineapple first, blueberry second and mango third in taste. Given more time, I will also practise the distillery to get higher percentages (up to 40%) for the more expensive export markets.

Given the excellent test results, I will try my best to start procuring a wine license by next year. This year is too tight for me, simply can’t find the time to do it. In the white land, we need whites to conquer whites. No matter how hard we try, we yellow-skinned can never hope to win this war alone. Respect must be accorded to the whites who occupied this land first.

The procurement of the wine license is not going to be cheap but I think it is still possible. One simply has to be patient in the application and conforming to their whine and fancy.

Winery as a passion business

Since wine making is also like a handicraft, then does it matter if it is any other handicrafts? Some wines are sold as cheap as water in Europe, but, others are sold in thousands of dollars. But, let us not confuse the issue here. At the winery gate, some good reputable wines are sold in excess of $50 per pop. The wine is then kept to age by collectors and the price grew over the years. The cost of production could be as low as $2-$3 per bottle. The profit margin must therefore be great if one is a famous winery.

Whereas handicrafts like soap making, scented potpourri, paper products and so on have a much low upper limit. These handicrafts must not therefore be contemplated when making a passion business decision.

Value-add

I don’t see any value-add that is higher than the conversion of fruits or rice or potatoes to wine/alcohol. Nothing can beat this relation.

A simple fruit after juicing can be converted to wine (over a 6 month waiting period) and sold at prices that are way beyond the wildest dream. The reason is all in its "secret" recipe. Once the consumers like the taste, it can almost be made into a classic, just like the Chanel classic handbag originally hand-made by Coco herself. A nearer example is the 400-years-old soy sauce by Kikkoman. A simple but "secretive" recipe to make tasty soy sauce can build a company that lasted and fed 4 centuries of Japanese owners and workers. So why not?

But, I can’t say the same for other fermentation products such as yogurt, cheese or bread. But, soy sauce or Tabasco hot sauce may still have some hope, but the value-add is still way below that of alcohol making.

Some may argue that alcohol is a controlled product and will therefore dictate higher prices and these higher prices may be due to authority’s tax margins. I agreed. But, if one has owned any of the champagne properties in France, I don’t think one needs to worry about pricing that champagne bottle for a more-than-decent-living. It will continue to last for centuries to come.  I am debating and discussing how to form century-old companies here.

Noticed it is not very technology-biased, but uniquely passion-based.

Naming the wine

Very interestingly, consumers are so mind-fucked nowadays that they don’t really care to know what they are drinking except that it is expensive, it is cool to be seen drinking, slightly unaffordable and it makes great lifestyle show-offs.

Wine – made from grapes; Beer – made from malt; Cider – made from apple; Mead – made from honey; Sake (Soju or Shochu) – made from rice; Rum – made from sugar canes; Vodka – made from potatoes; Whiskey – made from malt (higher percentage beer?); Brandy – made from grapes (wine); Tequila – made from blue agave; Gin – made from juniper berries; and so on ...

Notice the list above shocked you.

Notice further that there are no names yet given to mango, pineapple and blue berry wines. I shall name them in no time, to take my place in history.

Yeast

To make wine, one needs to use good yeast strains. There are approximately 200,000 yeast strains in the world, of which only 1,500 strains were named. This formed the best palette that a wine artist can use. So many varieties, so many unknowns, so much possibilities and so perfect a setting that even a great winery cannot deny a small winery from coming out with a killer good yeast strain to do a much better job to the wine. The possibility is almost limitless. Need I say more?

Wine-making as a business

Some gave me the reason as it is taking a long time to start and commence and ditto with the market that is so saturated with the white’s wines, how can one compete with the whites? Well ... do read the super young history of South Africa’s wine-making. You will realise that the South Africans didn’t make it until years later, but they are making good progress with their own variety of grapes. Even as a colony, the South African’s wines didn’t make it to the courts of England. They were predominately French wines that are being consumed in the courts. But improving fermentation techniques, choice of yeast and the super nice weather in South Africa, the wines produced soon made an impression on the Europeans. The rest were history.

With passion, one can always carve a niche for him/herself. But, that dream must be big and has longevity of centuries, before one contemplates its merits of starting up.

Continuity

I noticed that quite a number of businesses cannot find heirs to their thrones. This is not only problematic for the old king but also the livelihood of the princelings. Without an heir to the throne, the decades of effort of building that business is going down the drain. The experience and the business reach are thrown away. Without a good business as backing, the princelings once again have to grope in the dark for great business ideas. These princelings have to start over just like their old king. This is both stupid and wasteful for both the old king and young princelings. Learn therefore to build a business empire that can spread across at least a century.

Nothing is impossible, one just need to follow SunTzu’ art of war, chapter 1 – the Plan, i.e., don’t start a war within first thinking through the one and only plan. If not found, stay jobless, stay humble, stay hungry and stay hopeless. Let the despair and hopelessness drive you towards a good battle plan.

Never start by having a weak plan or no plan, one will die a pauper, with no gals or heirs.

Having a proper battle plan, one will find loads of gals clamouring all over you for attention. Siring heirs henceforth would be as easy as ABC.

Age limit

Even at 90 years of age, one still can sire an heir. So age is truly not a problem, build that fucking business empire first, all things will fall in place. In the mean time, sire kids that are of different mothers.

Provide generously to the mothers and kids, then choose the best heir to the throne. If your education is that good, each of the princelings will proceed to have even bigger empires after you.

Be strong in the force ... exercise regularly to maintain sexual fitness.

Monday 18 February 2013

p.Family density

Based on Dr Calhoun’s experiment, it is safe to say that high population density will promote deviant social behaviour and if not well managed, may lead to extinction of specie.

This essay talks about family survival. I cannot remember for the world when the idea of one-man-one-wife was started. In that little island it was started sometime in 1965 when that little island took independence. The law was drafted by none other than the wife of the then controller.

This is an important mind-fuck. It caused the man to be no longer able to challenge the controller of the day. Every man will find the woman such a rare and limited commodity that he has to protect that one and only asset. This leads to deadly fights in pubs and watering holes. A simple stare may cost one’s life. The idea behind this is to make the guys so busy bickering among themselves that they no longer have time to challenge the rule of the controller. A very nice ploy, indeed. Meanwhile, the controller fucks his brain’s-out on every scrumptious gal.

By having only one-man-one-wife and the wife taking 50% of the assets if there is a fall-out, it will cause big problem for the guy. The guy simply can’t move.

If one will to observe carefully, the stronger alpha males are likely to sire more kids from multiple females. This is important for the survival of the human species. That is why gals expect the guy to be experienced and great-in-bed even before she sexes him. Why? She wants to have a good time, if possible great time. How can a guy give a gal a great time? Well, it must be earned through multiple experiences. That being said, it must therefore imply that the gal doesn’t mind a guy with multiple female partners provided he delivers his part of the bargain.

In the west, how do they solve this problem? The smarter and richer guys actually take out pre-nuptial agreements on the gal. In the event of a fall-put, the guy is made not too worse off.

I have a personal friend; he has reached a wise old age of 70 years old by now. I knew him eons ago when he was much younger. Over the course of 25 years to 70 years, he had 4 marriages with 3 divorces. I noticed he regularly divorced his current wife after siring 2 kids. And each time he remarried, he would take on a 25-year-old sweet young thing. He has a total of 8 kids. He is a very strong alpha male. In his hey days, he controlled the second largest food chain in his country and still owned a huge house in the heart of the largest city, with a very large swimming pool which he has great difficulty in opening out after the winter and of course many houses for rental income. In a way, he has circumvented his country’s rule of one-man-one-wife by having loads of pre-nuptial agreements and yet at the same time sired enough kids to continue his gene pool. Because he is still very rich, every Christmas gathering is in excess of 30-40 guests. He has a Russian origin.

This is only possible if one is given the space to do so.

On that little island, this is totally not possible. With every decreasing space, there is simply no chance to play the procreation game.

Family Planning

In the west, a new development has come about, I can’t remember when. There is now a possibility of common-law partnership without the angst. The kids sired from it enjoy the same privileges as any other ordinary kids. Many western couples have adopted this idea quite well. In Germany and Sweden alone, almost all are common-law partners.

Hence, based on Dr Calhoun’s experiment, a despot male can handle up to about 12 members of a group (females with babies) and lived a normal life. Therefore, an alpha male with his entire lifespan should have at least 3-8 female full partners, siring at least 1 kid per liaison.

If the guy is poor, then a liaison with 2 female partners is totally possible, siring at least 1 kid per coupling. This is important for genetic diversity.

If the guy is rich, then a liaison of at least 3-5 females is considered normal.

That being said, will the gal be slighted at this multiple partnership? Not at all, notice the number of gals that sexed the chief narcotic officer and chief transport officer. Wouldn’t these gals have self-dignity? Of cos, they simply wanted to sire the best gene pool for their next generation. It is a woman instinct and shall remain so for the survival of the human species.

Family Space

For the above to happen, there must be a family space plan. For each member of the family or new member, there must be a land size of 1 acre reserved for their use.

For example, the guy was to get a gal, give her 1 acre of land to play. When a kid is born, give the kid an acre too. When more kids are born (try to limit them to 2-3 per coupling), give them each an acre to play. Build each a cute house. That way, there will be no quarrel. No gal will fight over the guy’s power.

Teach each of them to fish, so that in the event of enforced poverty, he/she can still survive.

Wouldn’t each gal come to know of each other’s existence? There is no use hiding. Better be truthful from the onset. If you are not strong, don’t play this game. Marry and then divorce. You do have enough time. If you are deemed strong enough, then it doesn’t matter whether there is prior knowledge or not. It simply doesn’t matter in the case of a strong alpha male. Remembering always - honesty is your only true weapon of choice.

Try it! You will be surprised over the reaction from all parties.

When the time comes for one’s passing on, leave the main heirloom to the strongest kid, it doesn’t matter male or female, he/she has to be the strongest to manage the remaining empire.

Why 1 acre?

Although this was derived rather arbitrarily, I did use some measure. On a 1-acre land, one can easily build a 50-apartment low-rise block, with plenty of green left, on which the incumbent can collect rental income for the rest of his/her life. This will provide a baseline survival package for him/her to contemplate his/her next move. Even if he/she didn’t bother about the next move, this property could be passed on to his/her next-of-kin, with no stress. With suitable estate tax planning (it costs about 3-5 years of rental income), the property can be owned forever. As 1-acre is a good sized lot in/near the city, the possibility of multiple type of use is possible. Hence, the suggestion of 1-acre. Anything smaller, waste of time. Anything bigger, can’t afford.

Extreme anger

More often than not, some guys face extreme display of anger from the woman folks. This is simply because the gal doesn't feel justified in the guy's adventurism. In short, the guy is not rich enough to play this game. In that case, the guy has to do it sequentially; even for my Russian friend, he has to play that sequential process too. Some of his wives were directors of large listed companies and professor of a very good university. It was their superior gene pools that interest my friend.

Extreme anger stamped from the fact that the guy was not able to cater for each and every one of the woman folk. There is a resource allotment and compromise issue. This is an unhappy state of affair for the existing woman folks, hence, the ruckus.  Learn to play within one's ability. Then, you will be fine.

For the rare alpha male, it is always fun to see the woman folks fighting for the attention of the alpha male. This is indeed a rare honour. One that defines one's view of a perfect world.

A woman's perspective

Suffice to say that a woman would rather share an alpha male than to own that beta male and labour over his inadequacy.

Emotional scathing of the youngs

Boys are normally not too emotionally attached to the problems from improper bonding of the parents. Hence, supervision need not be too stringent. For gals, this issue is heavier. Extremely close supervision is recommended. But, not too close. They might end up as Annabel Chongs; still, balanced heavier treatment is recommended.

Tuesday 12 February 2013

p.Holocaust II - Dr Calhoun's experiment on humans

怒髮沖冠,憑闌處,瀟瀟雨歇. 
抬望眼,仰天長嘯,壯懷激烈.
三十功名塵與土,八千里路云和月.
莫等閑,白了少年頭,空悲切. 
靖康恥,猶未雪;臣子恨,何時滅.
駕長車踏破,賀蘭山缺.
壯志飢餐胡虜肉,笑談渴飲匈奴血.
待從頭,收拾舊山河,朝天闕.
My heart is heavy tonight. The news has confirmed the imposition of 7m population grow at all cost. I really don’t give a damn about all the losers on that island. But, I do still have loved ones who are left behind. I am too weak to be able to bring everyone out. For all the intelligence in me, I was systematically sucked dry before I could release myself from that hell hole. The battle was long and the victory hard. But, my victory was not without sacrifice. I have to sacrifice some of my most loved ones to be left behind. I do hope with my future years, I might be able to build enough strength to pull one by one over. My heart is soft and tender. But, not all believe and walk in the same softness. Just then, my tears welled up. I truly felt sorry for all my loved ones who are still forced to drink toilet water on a daily basis. Evil knows no bounds. 
去年今日此門中 人面桃花相映紅
人面不知何處去 桃花依舊笑春風
The folks on that island didn’t realize that that island would soon be remembered as the place of the next holocaust - Holocaust II. The infamy is really a cruel joke.

Dr John B. Calhoun

Dr. John B. Calhoun, an American research psychologist of the National Institute of Mental Health, set out to prove his theory on the dangers of population overcrowding. He claimed that the bleak effects of overpopulation on rodents were a grim model for the future of the human race. During his studies, Calhoun coined the term "behavioral sink" to describe aberrant behaviors in overcrowded population density situations and “beautiful ones” to describe passive individuals who withdrew from all social interaction.

Rat City

In 1947, Calhoun’s neighbour agreed to let him build a rat enclosure on disused woodland behind his house in Towson, Maryland. Calhoun would later reflect that his neighbour probably expected a few hutches, perhaps a small run. What Calhoun built was quarter acre pen, what he called a “rat city”, and which he seeded with five pregnant females. Calhoun calculated that the habitat was sufficient to accommodate as many as 5000 rats. Instead, the population levelled off at 150, and throughout the two years Calhoun kept watch, never exceeded 200. That the predicated maximum was never reached ought to come as no surprise: 5000 rats would be tight indeed. A quarter acre is little over 1000 square meters, meaning each rat would have to itself an area of only about 2000 square centimetres, roughly the size of an individual laboratory cage. Be that as it may, a population of only 150 seemed surprisingly low. What had happened? 

Mouse Paradise

In 1954, Calhoun persevered and repeated the experiment in specially constructed “rodent universes” – room-sized pens which could be viewed from the attic above via windows cut through the ceiling. He had chosen rodent species that are aplenty in North America, and are true omnivores — would eat almost anything — have acute hearing, are sensitive to ultrasound, and possess a highly developed olfactory sense. A 2007 study discovered too that these rodents possess meta-cognition, a mental ability previously found only in humans and some select primates. He once more provided his populations with food, bedding, and shelter. With no predators and with exposure to disease kept at a minimum, Calhoun described his experimental universes as “rat utopia”, “mouse paradise”. He wanted to create a colony of cultivated rodents – rats with “values” as high as any human values. The cage was always cleaned, was well-stocked with food and water and was free from predators— indeed, an ideal habitat, except for its overcrowded condition. The rodents were deprived of privacy, with no time or space to be alone. Since there was no escape, Dr Calhoun was especially interested in how these animals would handle themselves in their crowded environment.

He placed 32 to 56 rodents in a 10- by 14-foot case in a barn on a Montgomery County farm. Using electrified partitions, he divided the space into four rooms. Each was designed to support 12 adult brown Norway rats. Rats could move between the rooms only via the ramps he built.

With all their visible needs met, the animals bred rapidly. The population grew to 80 in the first instance. The only restriction Calhoun imposed on his population was of space. As the scientist observed, a social hierarchy developed: One despot male and 9 females claimed the two defensible pens with only one ramp provided; 60 others crowded into the other 2 pens with two ramps. Calhoun found that “rodent utopia” rapidly became “hell”.

He allowed them to populate to 2600, about 16 times what would be considered normal density. When thrown together in such huge numbers, rodents rapidly develop a hierarchy. Those rodents closest to the food supply grow most rapidly. Because of their size, these rodents also assume higher social status.

Adult rodents develop optimal groups (or cliques) of about a dozen in each group. Rodents organize themselves into twelve or thirteen local colonies of a dozen rats each, the maximum number that can live harmoniously in a natural group. Beyond this number, stress and psychological effects take control and force-break the group. Dr Calhoun says every species of organisms has an optimal group size, and when a group gets to be twice its optimal size it must split—or perish.

Rodents perform particular functions to preserve and protect their clique. For example, instead of adopting new social roles necessary to survive in their densely populated universe, they on their own develop ways of manipulating the environment by blocking major passageways with paper in order to isolate themselves and reduce social interaction.

He described the onset of several toxic pathologies: violence and aggression, with rats in the crowded pen “going berserk, attacking females, juveniles and less-active males”. There was also “sexual deviance”. Dominant males became aggressive, some moving in groups, attacking females and the young. Mating behaviors were disrupted. Some became exclusively homosexual. Others became pansexual and hypersexual, attempting to mount any rat they encountered. Rats became hypersexual, pursuing females relentlessly even when not in heat. The mortality rate among females was extremely high. A large proportion of the population became bisexual, then increasingly homosexual, and finally asexual.

Mothers neglected their infants, first failing to construct proper nests, and then carelessly abandoning and even attacking their pups. Mothers neglected their infants, first failing to construct proper nests, and then carelessly abandoning and even attacking their pups. In certain sections of the pens, infant mortality rose as high as 96%, the dead cannibalized by adults.

Calhoun coined a term — “behavioral sink” — to describe the decay.

At a latter phase, subordinate animals withdrew psychologically, surviving in a physical sense but at an immense psychological cost. They were the majority in the late phases of growth, existing as a vacant, huddled mass in the centre of the pens. Unable to breed, the population plummeted and did not recover. The crowded rodents had lost the ability to co-exist harmoniously, even after the population numbers once again fell to low levels. At a certain density, they had ceased to act like rats and mice, and the change was permanent.

The males in the group who normally protect their territory withdraw from leadership and turn uncharacteristically passive. Notable conditions in the behavioral sink also include hyper-aggression, with the females in the group becoming unusually aggressive and forcing out the young. In a crowded environment such as this, there is notably a deterioration of attitude, spirit, and health of the organisms.
Too Close for Comfort

Dr Calhoun clearly saw these rats and mice as models for man. Life in an unnatural urban environment of ever-increasing density could result in the complete devastation of humanity. He noted that even when population levels dropped and more space became available, the community never recovered. Even when healthy rodents are placed in the new environment, they never breed successfully again.

Organisms need space to comfort selves, to seek refuge and privacy, and find connection.

Other notable conditions in the behavioral sink also include failure to breed and nurture young normally, infant cannibalism, increased mortality rate at all ages. Dr. Calhoun saw universal autism among rodents. This is a phenomenon in which all members of the last generation of rodents in a super-crowded environment become incapable of social interaction that would allow them to produce the next generation.

The whole rodent society ultimately became disrupted, and after five years all of them died. Dr. Calhoun was convinced that his mice and rat populations were an accurate model for humans. He didn’t regard it as hypothesis any more, he regarded it as factual.

Time line

Initially the population grew rapidly, doubling every 55 days. The population reached 620 by day 315, after which the population growth dropped markedly. The last surviving birth was on day 600. This period between day 315 and day 600 saw a breakdown in social structure and in normal social behavior. Among the aberrations in behavior were the following: expulsion of young before weaning was complete, wounding of young, inability of dominant males to maintain the defense of their territory and females, aggressive behavior of females, passivity of non-dominant males with increased attacks on each other which were not defended against. After day 600 the social breakdown continued and the population declined toward extinction. During this period females ceased to reproduce. Their male counterparts withdrew completely, never engaging in courtship or fighting. They ate, drank, slept, and groomed themselves – all solitary pursuits. Sleek, healthy coats and an absence of scars characterized these males. They were dubbed “the beautiful ones”.

The conclusions drawn from this experiment were that when all available space is taken and all social roles filled, competition and the stresses experienced by the individuals will result in a total breakdown in complex social behaviors, ultimately resulting in the demise of the population.

My conclusion 
力拔山河氣蓋世。時不利兮騅不逝。
騅不逝兮爭如何。虞兮虞兮奈若何
From the ill-fated experiment, increasing homosexuality is brought about by lack of female interactions or the males' inability to convince the females of their dominance and quality of their gene pools to sire the next generation. Hence, they turn to their same sex for comfort and release of sexual tension.

I have seen many personal examples of males being withdrawn but well-groomed (寂寞宅男) and aggressive females (美女玩家) who sexed anything with a tiny semblance to cash. They are mutants forced by circumstances. It is very sad.

That little island is heading towards the same fate as the rat paradise - the Holocaust II. The controllers of the island of course do have a choice - all their off-springs are now sent overseas and stayed overseas. But, how about the weak ones that are forced to participate in this terrible experiment? It is very sad indeed.

Let this essay be kept as a historical record of how mindless these controllers are in pursuit of personal glory.

They will meet their makers with blood in their hands. Because they gave no quarters in their life time, in time their off-springs will also receive no quarters. I will ensure that. No pity, no mercy. 醉臥沙場君莫笑 古來征戰幾人回

That island after all is only just that - a tiny island.
漢軍已略地 四面楚歌聲
大王意氣盡 賤妾無聊生

The notes on Dr Calhoun's Experiment is here:   Dr Calhoun's Experiment

Thursday 7 February 2013

b.Land - The Past (Part 1 of 4)

Land - The ultimate prize

This is the most important essay in my life. It took me and my business partner a very, very long time to evolve this concept and the good news is we have also tested it too. So you can use it without fear. If ever, you are in trouble with this concept, have faith as we have installed enough safety nets to help you sustain your life-line. Always remember, if you really find yourself in a dead end, trust no one, contact me or my business partner, we will summon the rest to help you out of danger. Even if we are not around to help, we would have reserved some sacred power to pull you through. Be rested!

This essay is divided into 4 parts for effective delivery:   (1) The Past, (2) The Present, (3) The Future and (4) The Perpetuity.

From time to time, this essay is improved and updated to provide the ultimate advice for the acquisition of land. This is a culmination of pure blood and tears. Nothing flows more freely - mostly bitter and occasionally sweet. Do revisit this essay periodically to receive a more seamless deliberation.

The Past

2,500 years ago, SunTzu was already in battle for land. Once victorious, he would order an absolute massacre of the dwellers. No mercy must be given, the prize was only the land. The land held the hope for the conqueror as a place where he can till the land for food, dig the land for minerals and accumulate one's wealth for the next battle.

Even up to the two Iraqi wars in 2000 and 2003, it was still about land. The first war was started due to Iraq's successful invasion of Kuwait to own even more oil fields. The prize was the oil that the Kuwaiti land holds. Unless the land was occupied, the ownership of the oil beneath remained firmly with the Kuwaiti's oil sheikhs. The Americans were more than willing to go into war because the prize of Kuwaiti's indebtedness to the armed assistance rendered was too great to refuse. The second Iraq war was conducted because of the American's insatiable appetite for long-term stable oil supply. These conquests were about land ownership, which in turn owned the rights to the oil reserves beneath.

Even the world wars I and II were about the Germans, latter the Japanese, taking over the ownership of land and pretended to create that bullshit Greater Asia Co-Prosperity Sphere. The true intention was to take over the land and all its natural resources, never mind the existing inhabitants. That more or less explained their ruthlessness towards local inhabitants.

Land is an interesting commodity as it doesn’t deteriorate or age over time. If for anything, it appreciates in true value as the resource will get more scarce as the country develops, more people will fight for the ownership.

Any buildings or infrastructures built on the land may deteriorate over time. They can be torn down, reconstructed and renewed. There are unlimited variations. For an old farm, one can build a school, then tear it down to build a hotel and then tear it down to build a casino.  Land use is not an issue at all.

Land ownership is paramount to one's success.

Then why not have other business types? The answer is NOT POSSIBLE. In the past, new companies based on the latest technologies quickly became the largest companies in the world, notably GE, IBM, Microsoft, Yahoo, Google, Apple, Nokia and so on. Noticed where are they now. Nowhere near the top. GE was formed by Thomas Edison on the back of his invention of the light bulb. Under him, GE grew to super size. But, due to lack of new innovations, the company is now a very, very pale shade of its former splendor. IBM used to be super big, now is no longer the darling of computers. Microsoft used to be 97% share-owner of the world's personal computer's heartbeat, but now no longer the beloved. Yahoo was once the search engine to cry about, but it is now Google's arena. In time, Google too will fade. After a super strong run by Apple in the 1970s, Apple was banished by IBM and Microsoft to almost valueless but later rebounded to become the largest company in the world using iPhone3,4,5. But, ever since the demise of Steve Jobs, the architect behind the design and push, Apple is now a pale shade of its former glory, unless there is a new architect, Apple will join IBM, one of the former super greats, as has-beens. Nokia reinvented itself from a timber logger to mobile phones and became super big, but again due to lack of continual innovations, the company is now in the throbs of the dead. There are too many such technology examples.

They grow big because of innovations, they grow big because of individual passion. This is the storyline behind every successful technology company. But, every technology has its own s-curve. The s-curve will initiate somewhere around half of the last current s-curve. It will take a while for its new technology to form and mature. Once formed, the technology will rise rapidly surpassing its current market dominant player. After a while more, it too will enter the plateau-ing phase, waiting to be overwhelmed by the next promising technology (the final phase of an elongated s-curve).

Passion is important in a business. It allows one with no start-up capital to start. Based on passion, one can be a lawyer, an accountant, an engineer, a musician, a doctor, a dancer, a singer, a composer or even a cook. This is a low capital pastime. One will gain inroads into the money world. With a bit of luck and a passion of at least 10 years, one can start employing others to help out. This is when the business from a passion will take off. This is also when the guy will stop improving and start to enjoy life. After a while, illnesses start to claim him. He extinguishes rapidly. I saw this in my own father, we must be warned. In a passion business, only continual quality improvement in its products will see one's sustenance. This is life-consuming. It consumed Steve Jobs.

The first pot of gold must come from the passion. Through passion, one can easily arrive at the first pot of gold rather quickly. But, to earn the next pot, it is stupid to continue to get it from the passion. Because passion, due to the lack of need of capital, it has to be compensated by being very labour-intensive, it rapidly exhausts the mind and the soul. Therefore, to try to earn the next pot of gold from the same passion play is not only silly but a waste of time. The passion business will generate the first pot of gold and spare cash flow but not much more (Li Ka Shing started with a plastic factory and moved on to land). In order not to exhaust oneself further, it is important to reinvest the first pot of gold and all these spare cash flows into a super capital-intensive investment. A super-capital-intensive investment has a beautiful characteristics of not having much labour attention but yet able to generate a reasonable income stream. One such vehicle is the land. I see no other that requires almost zero attention. By mere proximity of the land's location to the city, others are more than willing to pay one's rental to use or pass through. If the land is developed with infrastructure, the rental improves.

Sometimes the first pot of gold can come from one's father. If that is the case, then the adherence to this essay is a must if one wants absolute power. 

This is one's past and this is one's pre-requisite. Without the first pot of gold, it is useless to discuss this essay.

This part is a delectable approach to the first-half of the person's life.

The next part - The present - I will discuss the investment model and the correct attitude towards land.

Tuesday 5 February 2013

b.孫子兵法 (計篇第一) (Chapter 1 - 9) (Part 10)

 

道,

    ,二 地 ,
    者, ,死 ,智 也。
    ,法
   
    用, ,遠 之, 之勝
    ;多 勝負  

Some translation suggested: 
"Now the general who wins a battle makes many calculations in his temple ere the battle is fought."
"The general who loses a battle makes but few calculations beforehand. Thus do many calculations lead to victory, and few calculations to defeat: How much more no calculation at all!"
"It is by attention to this point that I can foresee who is likely to win or lose." 

SunTzu put this as the last statement. This is the most important statement which I concur totally. 

In business terms: On the average, I spent at least 8 hours a day discussing with my business partner on the strategic direction of the business. It was through these discussions that new strategic directions were found and executed.

Sometimes, we found our daily routines did affect our discussions. We would then take long trips into the countryside, away from the madding crowd. Amazingly, these long trips gave us one of the best enlightenments in our business direction. Without fail, we always find strong and new action plans. The plans were beautiful and well-conceived.

The amount of time we took to discuss did affect our daily work. But, the sacrifice was well worth it. The daily tasks might take a longer time to complete, but due to correct long term strategic direction, this was our shortest path to success.

Another important aspect of this statement is council. If there is no council, then the business will not work. It is through council that I can find peace. Peace in business is very important as it portraits calmness, strength and resilience.

Many times, I was questioned as why can't a business be absolutely run by a single and strong proprietor? Whenever a business hits a road block, the proprietor needs council and a good listening ear. This sole proprietor will turn to his closed friends to seek solace. Initially these friends will respond, but not for long. These friends' directions are not aligned with that of the sole proprietor's. If the business does well because of the friends' council, the proprietor wouldn't bother to share his spoils with his friends as these friends owned no part of the business; at most he just provides a meal or two. In the longer term, these friends due to their own commitment or constraint or might even feel used, will stop to provide council. The goodwill of these friends has been exhausted fully by the sole proprietor. He will then be shunt by all his closed friends and relations.

Therefore, it is a requirement to have a business partner to participate and share in the business venture. It doesn't need to have many, just ONE.