Inventory management + the benefits of bundled products -“according to N.W.A.” [!]

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To be a dopeman, boy, you must qualify

Don’t get high off your own supply

From a ki’ to a G it’s all about money

Ten piece for a champ, bass pipe comes free

N.W.A.     Dopeman

Takeaway 149:  Discipline on margins is critical.  And inventory management is essential.  Also, nice bundling of complementary products may differentiate you from the other commodity business competitors.

Strategic vs. Tactical + “` “` “` nature of the long run

What separates the men from the niños

is a big failure or a fly Benzino

I’ve had all of that, yo se lo que te digo

Gotta be there in the long run for my hijos

Sen Dog   Stand Up Diary of a Mad Dog

Takeaway #151:  Sen Dog knows what he is talking about and he will certainly be there for his and your kids.  This is a long range game not a short-term Bertrand model of downward spiral price-cutting.  If you are in it for the long run and a continued share of the monopolistic profits for you and your successors, you need to build a sustainable model and avoid a colossal failure with short term profit thinking.  Be strategic, not simply tactical – today and in the long run.

Ironically, however, sometimes being strategic requires thinking functionallly, but acting strategically (Click Extra 2 below)

Extra 1: Read 6 habits of strategic thinkers: http://www.inc.com/paul-schoemaker/6-habits-of-strategic-thinkers.html

Extra 2: S&B: Think Functionally, Act Strategically