My Exit Strategy

Once my business is fully set up and sales begin to climb of the Ring Thing and a few other spin-off items, I will eventually step back from the day to day operations.  I suspect it will take 4 to 5 years to make my brand a household name and to develop the additional items in the line. At that point, I will turn over operations to my sons who will run and grow the business. I will be available for consultation and will keep a close eye on product development, but more so as a hobby rather than an active participant. Keeping the business in the family is important to me initially as a tool for my sons to gain real world experience. I would take a reasonable percent of the business profits to be able to enjoy a comfortable but not overly extravagant lifestyle.  Simply not being tied down to a true occupation is what I am after, and having a stream of income from the business is key. If my sons wanted to move on and sell the company after a proven track record, I will feel like I did my job and share in the profits equally.

This sort of hands off attitude that I expect to enjoy down the road absolutely influenced my opportunity identification. I was looking for a simple creation that can be universally marketed and will become a common household necessity. The same applies to any product line extensions. The fun is in the research and development and then they will pretty much sell themselves. I prefer to look at this venture as a lucrative hobby and not something that steals away my time, energy, and happiness. Nothing in my opinion is worth that!

Making it Real

My Resume..

https://uflorida-my.sharepoint.com/personal/jclark10_ufl_edu/_layouts/15/guestaccess.aspx?guestaccesstoken=e78Oh019aEw%2busBVJc7egb%2bR2B%2f%2b4UsXy4jIOGThy04%3d&docid=2_099feb8ee004d4c6587224bf6887920ca&rev=1

Celebrating Failure

My brother and his family are currently vacationing in Anna Maria Island for a couple of weeks. Being just a 30 minute drive for us, we had the pleasure of spending all day Saturday and Sunday with them enjoying the sun, gulf waters, and family. We decided to give stand up paddle boarding a whirl and rented a couple of boards and headed out to the gulf. My teenage sons and nieces were up in no time, paddling around and navigating the small waves coming in on the beach. They looked like naturals and so of course I thought how hard could it be? One attempt to stand up on a piece of wood floating on the water soon gave me my answer. Epic Fail! I consider myself to be a fairly coordinated person, but continued attempts to stand up resulted in continued crashes and splashes back into the water. This was a source of extreme pleasure to my family, particularly the teenagers who performed this simple task with ease. After taking a pretty lengthy break and giving others an opportunity to try their luck, I gave it another shot. I won’t be winning any paddle board prizes but after a few more tries, I was eventually able to get up on my feet and paddle around in the gulf. It was worth the effort.

I look at failure in general as a bump in the road to success. Failure to me isn’t absolute or the end all in any situation. I would be foolish to believe I can do anything anytime I choose, or that I will make the perfect decision the first time. What I do put a lot of credence into is learning from past attempts or experiences. I have made a lot of bad decisions in my life, but I don’t consider myself a failure by any means. I do not possess the skill to do all things, but again I am not a failure. If there is something I want to do I must learn how to do it and practice what I have learned. The framework of this class is a perfect illustration. My first elevator pitch got some pretty bad feedback, but my third pitch was greeted with positive enthusiasm. Three legitimate tries at anything should show some improvement, imagine what a hundred tries would look like. Keep your head up and stay confident! 

Venture Concept #1

The Ring Thing

We live in a world that thrives on continued improvement and increased efficiency. Internet speed, GMO food sources, miles per gallon, alternative fuel sources, and the list goes on and on. Why not take that same stance with the small tasks we encounter every day? Everybody encounters objects that need to be pried apart, be it a key ring, Lego toys, staples, or fasteners. Maybe they need to cut lengths of twine, or tape from packages from IKEA. Others may need to make adjustments on small electronics. Whatever the situation, we all tend to risk injury and frustration by not employing a tool to make it easier and more efficient. What can be more efficient than having a tool literally become part of your finger. My product is one for the masses. There are no geographic or demographic limitations, simply a better way to accomplish tasks that get performed millions of times a day. This opportunity is very large in scale and is somewhat time sensitive in that others are constantly looking for opportunities to exploit as well. Delaying production and marketing could mean a missed opportunity in no time.

The Ring Thing is simply a ring worn on the finger or thumb with an attached tab to simulate the fingernail or other small tool. They can be made of metal or plastic and the tabs will be available in different orientations and shapes to match the customers need. For example a flat, blunt tab would be ideal for someone prying apart key rings or fastener retaining rings, whereas a sharp curved tab would be ideal for someone cutting something. I eliminate the need to hold a tool in your hand, or to use your fingernail as a tool and risk injury. I would offer these rings in different sizes, colors, and tab configurations and would charge about $3 to $4 for each one depending on my exact production and marketing expenses.

Generating awareness of my creation will be my number one priority. When people see this simple, practical, and common sense approach to everyday situations, they will immediately be intrigued and curious about its application. It is not something on the forefront of peoples mind all the time, and that is something I would need to change. My product will be packaged in a small convenient container which allows it to be viewed and placed at checkout aisles in hardware, automotive, home improvement, and marine stores. I will be reliant on word of mouth recommendations from hands on individuals who are early adopters of practical gadgets or contraptions. By flooding literally every purchase point such as the above mentioned stores, it will be difficult for a competitor to find a place to sell their knock off that my invention is not already available. Once the word is out and people hear how useful it is, the extremely reasonable price point will not hold anyone back who wants to try it for themselves. I envision my product being a staple product in every household similar to a flashlight or calculator. The overlap of making everyday tasks easier for people and the innovation of my product allows for an extremely lucrative and successful business.

I believe that my strong family support and my personal desire and perseverance to succeed are my top resources from which to draw on. I do have quite a few advantageous resources such as seed money and a large potential customer base from which to get the ball rolling, but nothing compares to the drive within myself and the support of loved ones who share in my confidence and determination. I never feel alone, and that is an amazing feeling!

In expanding my business, I imagine I will stay with the small, inexpensive gadget type products for hands on individuals. I will take a look at lighted hand tools or work gloves with additional features. Staying within a small defined class of products will help me with customers buying multiple items in the line when they are happy with another item. Additionally, my products will be fairly cheap and therefore will carry less risk for the consumer as well as appeal to the spontaneous shopper. People will begin to see correlation between these gadgets that offer real world solutions and will trust in my products and want to try them out.

Once this business is set up and sales begin to climb, I will eventually step back from the day to day operations and allow others to run and grow the business. Possibly my teenage sons can take over operations in four to five years. Keep the business in the family and give them the head start I so badly want to. I have no intention of being tied down to anything, I just want to share in the rewards and be able to live a fruitful life with my amazing wife. 

Elevator Pitch #3

https://www.youtube.com/watch?v=ps_yui9CK5I

Pretty much a replay of Elevator Pitch #3. Tried adding more inflection in my voice as was recommended in a feedback comment. I feel like I still need some more practice if I were to actually be presenting my product to an investor, but you've got to start somewhere.

My Unfair Advantage

11.       I have strong family support from my wife and two teenage sons.

·         Valuable- yes

·         Rare- yes, although I am extremely biased

·         Inimitable- yes

·         Non-Substitutable- yes

22.       I currently have a $10,000 I am willing to invest into my business

·         Valuable- yes, for me

·         Rare- no

·         Inimitable- no

·         Non-Substitutable- no

33.       I have engineering training that will assist in product creation

·         Valuable- yes

·         Rare- no

·         Inimitable- no

·         Non-Substitutable- no

44.       My wife and business partner has a Bachelors in Business and a Masters in Education

·         Valuable- yes

·         Rare- no

·         Inimitable- no

·         Non-Substitutable- no

55.       I own a home with ample space for an office and production area (garage)

·         Valuable- yes

·         Rare- no

·         Inimitable- no

·         Non-Substitutable- no

66.       This class has taught me how to reach out to experts and receive feedback from strangers

·         Valuable- yes

·         Rare- no

·         Inimitable- no

·         Non-Substitutable- no

77.       I have what I believe to be a terrific and new idea for a product

·         Valuable- yes

·         Rare- yes

·         Inimitable- no

·         Non-Substitutable- no

88.       I have a large source of potential customers from my local sailing community to get things started

·         Valuable- yes

·         Rare- no

·         Inimitable- no

·         Non-Substitutable- no

99.       I have real life experience that can pinpoint when and where my creation could be used

·         Valuable- yes

·         Rare- no

·         Inimitable- yes

·         Non-Substitutable- no

110.   I have the desire and perseverance to succeed

·         Valuable- yes

·         Rare- yes

·         Inimitable- yes

·         Non-Substitutable- yes

It’s interesting to see that resources that I feel are a big deal don’t measure up to all four of the VRIN characteristic traits. For example having some money already set aside to start a business is not necessarily a game changer in the grand scheme of things. Or having a well-educated business partner for that matter. What did measure up and what will give me a leg up is the (1) strong family support and the (10) desire and perseverance to succeed. This was a very interesting and enlightening assignment.

Amazon Whisperer

Revenue driver for the Ring Thing is direct sale of the item. My product will be offered at numerous brick and mortar stores as well as online.

I imagine I will stay with the small, inexpensive gadget type products for hands on individuals if I were to expand my product line. Possibly lighted hand tools or work gloves with additional features.

Staying within a small defined class of products will help me with customers buying multiple items in the line when they are happy with another item. Additionally, my products will be fairly cheap and therefore will carry less risk for the consumer as well as appeal to the spontaneous shopper. People will begin to see correlation between these gadgets that offer real world solutions and will trust in my products and want to try them out.

The following is a pair of work gloves with a built in bottle opener in the palm of the right hand. I think this is an awesome idea and was a bit surprised and disappointed that it already exists. It is not well known about or publicized at this point.

https://www.amazon.com/StoneBreaker-Gloves-Tailgating-Glove-Large/dp/B018QUNMMI/ref=sr_1_3?ie=UTF8&qid=1468494563&sr=8-3&keywords=gloves+with+bottle+opener

There is only one review for this product, and as you can imagine it is a wonderful review. The user says the bottle opener works as described, but also that the gloves are extremely comfortable and useful for yard work as well.

Because there is only one positive review, I feel that I would need to match the quality of the existing product, but at a price of $29.99, maybe I could undercut the price a little. The existing gloves look pretty heavy duty, so maybe I could offer a product that is a little more comfortable and light weight that is used only for opening bottles and not ones that can also double as high quality work gloves.

These gloves are a perfect extension of the Ring Thing line in that they offer a simple solution to a problem people rarely think about until they need it. They are a novelty item that has the potential to take off and be a staple item in every person’s gadget drawer or tool box. 

Reading Reflection No. 2

I chose to read How to Fail at Almost Everything and Still Win Big by Scott Adams. The general theme of this very humorous, informative, uplifting, and genuine book is to look at small or not so small failures as opportunities to learn and grow. Everything that happens to us in life is making us stronger, more intelligent, and positioning us for different and possibly better situations in the future. He does an excellent job of combining humor and his own personal setbacks to inspire others to never give up or settle for what is right in front of us.

The number one connection I made between this book and what we are learning in class is perseverance. Some of the exercises in ENT 3003 have been draining and downright difficult to complete. They have even left me feeling pretty miserable about my competency and intelligence. However, I know I need this class to earn my Bachelor’s Degree and so I push on. I am learning new things and testing my comfort zone to become a better person in the end. Scott discusses how learning multiple skills is far more beneficial than being a master of one. He shares numerous setbacks and failed attempts at success that helped create what he is today. We must persevere, and enjoy the journey of learning. So far, I am accumulating my own list of failures and setbacks that will hopefully culminate into a prosperous future.

The exercise I would recommend for future ENT 3003 students is to create a list of what they believe to be personal failures and setbacks they have experienced in their life up to this point. It will feel pretty terrible at first, but then I would ask each person to reflect on what they learned from that experience and how it has changed their thinking and actions in the present. Scott’s extensive list of failures helps break the stigma of failing in general, and is uplifting to see how much stronger we can become after dealing with a setback.

My biggest ‘aha’ moment of the book, which probably should not have been that big of a surprise, was learning that Scott Adams was embedded into corporate America for sixteen years. I often read the Dilburt comics and thought how spot on some of the strips were with what was going on in my job environment, but never knew he was drawing from actual experience. The acronyms, business speak, and office interactions were all learned on the job and became valuable resources to him later in life.

This is a really good book, and a great way to look at all of life’s experiences as building blocks to a better self. 

Idea Napkin No. 2

I am an organized, detail oriented, and motivated individual who is always searching for a more efficient way of doing things. I am a husband, father of four, Navy veteran, part time student, and a full time employee. Reducing task time and effort expended are of the utmost importance to me. I have an engineering background thanks to the Naval Nuclear Propulsion Program, and have been a supervisor at a gas turbine power plant for the past 15 years. I recently became the Process Safety Management and Risk Management Plan Coordinator for my company’s anhydrous ammonia refrigeration system. I plan to earn my Business Degree over the next couple of years and continue to advance my career within my organization. I recently took up the hobby of sailing and discovered fasteners on my sailboat that proved cumbersome and awkward to operate.

My original goal was to fabricate something that allowed my family and I to split the cotter pin retaining rings of these fasteners more effectively; a simple device worn on the finger with a metal or hard plastic tab to simulate the fingernail and pry the rings apart. What I have discovered is the multitude of items and situations in which people need to pry something open. The resulting product has therefore grown into a ring with several different tab orientation and design options and has become more universally marketable.

I offer my product to customers who are not satisfied with the current condition of things, and who can recognize a better, simpler, safer, and more efficient solution to a problem. Those that are set in their ways or choose not to look for improvements in their day to day life will not see any value or necessity in my product. They must have an open mind and be willing to try something new. I see this as my key customer characteristic. There are no demographic exclusions that I can think of.

My customers will immediately see the value in my product by the time it saves and the frustrations and injuries it reduces. It will be a significant bargain for a couple of dollars.

Being trained and working in the engineering field has ingrained in me an attitude of always searching for continuous improvement. There is always an opportunity to become more efficient. Coupled with that is my strong attention to detail and desire to help others. These characteristics will ensure a quality product that does what it says it will do.

I believe these five elements absolutely fit together. My product is something that I believe in and need in my own personal life. I will take the time and care to create it to my specifications and then share it with whoever is willing to give it a try. 

The feedback I received was thoughtful and inspiring. People seemed to be able to get behind my idea and could find benefit in owning my creation. Keeping the price down is going to be crucial. People will only be willing to pay a couple of bucks and that is OK with me and fits into my marketing plan just fine. Someone liked how my creation can help prevent injuries, so that will become a more focused point of discussion moving forward. Another piece of feedback was that this product will be beneficial on and off the boat, which I have received many times and is why the design has changed to adapt to the needs of many different applications. I cannot change who I am, but I am willing to listen to feedback and change my concepts and designs to help anyone I can. I am also willing to become better educated, and develop and improve competencies that will help me along the way. Thank you so much for your feedback. 

Elevator Pitch No. 2

https://www.youtube.com/watch?v=-8fIJvpq-BQ

Elevator pitches are just not my thing! It is very difficult for me to try to memorize a pre-written pitch and then deliver it with passion and emotion. I would prefer to just speak from the hip about something I was truly passionate about. Many people slammed my first pitch because I used notes or spoke too monotone. I did try harder this time but suspect I will receive some of the same feedback. This is something that will take more than 3 attempts to perfect.