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Daniel Evans CEO & Economist, Ormita Commerce Network YOUR BUSINESS IS IN TROUBLE and why government initiatives.

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Presentation on theme: "Daniel Evans CEO & Economist, Ormita Commerce Network YOUR BUSINESS IS IN TROUBLE and why government initiatives."— Presentation transcript:

1 Daniel Evans CEO & Economist, Ormita Commerce Network YOUR BUSINESS IS IN TROUBLE and why government initiatives still havent saved you …

2 FIRST: LETS TALK ABOUT A TERM THAT YOU HAVE BEEN HEARING LATELY

3 BALANCE OF TRADE

4 WHAT DOES BALANCE OF TRADE REALLY MEAN?

5 dont take my word for it lets ask someone else… WHAT DOES BALANCE OF TRADE REALLY MEAN?

6 my sixth grade teacher

7 BALANCE OF TRADE the formula TOTAL $ VALUE OF EXPORTS – TOTAL $ VALUE OF IMPORTS =

8 I APOLOGISE … THIS WAS ACTUALLY MY SIXTH GRADE TEACHER…

9 my sixth grade teacher

10 A POSITIVE BALANCE OF TRADE Is known as a trade surplus (because it consists of exporting more than is imported). A NEGATIVE BALANCE OF TRADE Is known as a trade deficit or a trade gap (you are importing more than you export).

11 A POSITIVE BALANCE OF TRADE Is known as a trade surplus (because it consists of exporting more than is imported). A NEGATIVE BALANCE OF TRADE Is known as a trade deficit or a trade gap (you are importing more than you export). Virtually all developed countries have an overall trade deficit…

12 WHICH MEANS …

13 LESS MONEY IN LOCAL CIRCULATION

14 WHICH RESULTS IN…

15 LESS MONEY FOR LOCAL PEOPLE TO SPEND With you

16 WHICH MEANS …

17 BUSINESSES WHO EARN MOST OF THEIR INCOME LOCALLY MAY START TO EARN LESS

18 WHICH LEADS TO …

19 SOME BUSINESSES CUTTING BACK ON THEIR SPENDING

20 WHICH CAN MEAN …

21

22 LESS PAID WORKING HOURS

23 LESS PAID WORKING HOURS VOLUNTARY PAY CUTS

24 LESS PAID WORKING HOURS VOLUNTARY PAY CUTS REDUNDANCIES & LAY-OFFS

25

26 WHAT DOES THIS HAVE TO DO WITH YOU?

27

28 IM GETTING TO IT …

29 WHEN YOU PAY SOMEONE … WHAT HAPPENS?

30 WHO WILL THEY SPEND THE MONEY WITH?

31 HOW MUCH OF IT WILL COME BACK TO YOU?

32 LETS FACE FACTS

33 WHEN YOU BUY FROM SOMEONE THERE IS NO GUARANTEE THAT THEY (or someone they know) WILL BUY FROM YOU IN RETURN!

34 WE CANT FORCE OUR SUPPLIERS TO BUY FROM US

35 SO WHAT DO WE DO?

36 WE PUT BANDAIDS OVER THE CRACKS

37 Discounting

38 Special Offers Discounting

39 Sales Discounting Special Offers

40 BUT THE CRACKS GET BIGGER

41 LESS MONEY IN THE ECONOMY ALSO MEANS …

42 MORE SURPLUS CAPACITY!

43 Every day there is 9.3 trillion dollars of unsold time, space, production capacity or products. This is going to waste.

44 Every day there is 9.3 trillion dollars of unsold time, space, production capacity or products. This is going to waste. Some famous guy said this…

45 @ ENTERTAINMENT VENUES EMPTY SEATS

46 @ CAFES & RESTUANTS EMPTY SEATS

47 APPOINTMENT TIME UNSOLD

48 @ HOTELS & RESORTS ETC EMPTY ROOMS

49 SURPLUS RENTAL CAPACITY

50 WASTED SPACE

51 IDLE PRODUCTIO N CAPACITY

52 DEPRECIATING INVENTORY

53 A LACK OF MONEY DOES NOT NECESSARILY MEAN A LACK OF ASSETS

54

55 ASSETS ARE THE THINGS WE BUY WITH MONEY – THEY ARE NOT MONEY ITSELF

56 Great Idea

57

58 WHAT IF…

59 EVERY TIME WE NEEDED TO SPEND MONEY WE WERE GUARANTEED A NEW SALE?

60 THERE WAS A NETWORK OF BUSINESSES WHO PREFERRED TO TRADE WITH ONE ANOTHER?

61 WE COULD USE OUR SURPLUS ASSETS TO PAY FOR THINGS WE NEED?

62

63 NO… WE HAVENT GONE NUTS

64 THE PLAN …

65 Put together a network of businesses who have excess capacity

66 Media Companies Service Providers Manufac- turers Retailers Start-ups Governme nts

67 LET PEOPLE START SELLING THEIR UNUSED CAPACITY

68 A B C D E F G H I

69 A B C D E F G H I

70 A B C D E F G H I

71 A B C D E F G H I

72 A B C D E F G H I

73 A B C D E F G H I

74 A B C D E F G H I

75 A B C D E F G H I

76 A B C D E F G H I

77 A B C D E F G H I

78 YOU START TO HARNESS LOST VALUE INSTEAD OF WATCHING IT GO TO WASTE

79

80 LETS FACE FACTS… WE ARENT ALL WALMART OR APPLE

81 Line starts here.

82 NEW CUSTOMERS PROBABLY ARENT LINING UP AT YOUR DOOR EVERY DAY

83 SO LETS DO SOMETHING FOR OURSELVES Pay for what we have with what we need

84 SO LETS DO SOMETHING FOR OURSELVES Pay for what we have with what we need Bank the value of unsold assets

85 SO LETS DO SOMETHING FOR OURSELVES Pay for what we have with what we need Buy from those who buy from us Bank the value of unsold assets

86 SO LETS DO SOMETHING FOR OURSELVES Pay for what we have with what we need Invest without spending extra cash Buy from those who buy from us Bank the value of unsold assets

87 SO LETS DO SOMETHING FOR OURSELVES Pay for what we have with what we need Change the way we think about business Invest without spending extra cash Buy from those who buy from us Bank the value of unsold assets

88 WE WOULD HAVE MORE OF THIS AS WELL …

89 If youre interested … please visit our website at: THANK YOU!


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