Tag Archives: #risk

– What is the cause of poor stock management by big businesses?

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Stock is money. Having large quantities for months of unsold stock on retail shop floors seems unwise. Equally so, having no stock available for days, of known fast moving or highly demanded goods, is unwise. Yet in many South African retail shops, it is unsurprising to find an oversupply or undersupply of goods in stores.

Does it mean retailers are forced to accept whatever the producer wants them to list, or is it the case of management at head office deciding on what the stores must list in spite of demand, or is it a lack of relevant technological solutions to provide intelligence information enabling managers to make informed decisions, or is it the case of poor usage of technology within the organisation? By Nimroth Gwetsa, 31 May 2021. Continue reading →

– The Risk of Fear

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The COVID-19 era has redefined the way of life and I doubt we will revert to the way of life before the occurrence of the pandemic just as life changed after 911 and is reported to have also done after world wars. We need to accept that the life of mask wearing, sanitisation and social distancing will remain with us for years.

Though many are apathetic still to threats of getting infected as seen from their continued overcrowding interactions without taking prescribed precautions, I would not want to trivialise potential destructiveness of COVID-19.

Apart from President Trump, I am yet to hear from anyone who has been infected by the virus and felt its impact dismissing it as another variant of flu, yet many critics with no prior COVID-19 infection easily make such claims. By Nimroth Gwetsa, 29 December 2020. Continue reading →

– Be good to customers and generous to loyal ones

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When economic hardship increases and prolongs, chivalry often dies. It’s as if the root of all successes is in rudeness, officiousness, generalisations and all other nasty “nesses” out there. Perhaps we worship materialism and its abundance in our lives proves our closeness to our “material god” that a lack thereof, reveals our distance from our “material deity”.

Big companies, despite having resources to attract and retain customers, often resort to draconian and often “suicidal” rules to guard their revenue generation despite the impact on customers. No wonder loyalty is beginning to wane, with customers easily switching to competitors when their offers are seen as sustainable and dependable alternatives. Entrepreneurs should seize the moment and use the economic downturn as the opportunity to build a solid and loyal client base by maintaining good customer care practices, acquiring true knowledge of their customers, showing appreciation to loyal customers and offering customers, especially loyal ones, more flexibility to their offerings. By Nimroth Gwetsa, 31 August 2019. Continue reading →

– #Employers, appreciate your employees. #Employees, appreciate your employers

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Employers, appreciate your employees. Employees, appreciate your employers. I command you.  By Nimroth Gwetsa, 30 September 2018. Continue reading →

#CabinetReshuffle – Opportunity Lost and Lessons for Small Growing Businesses

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We’ve heard experts say the president has a prerogative to appoint and dismiss whomever he/ she pleases. The notable condition being that those appointed should consent to taking an oath of office to uphold the Constitution of the Republic. The less said about how we perceive some to have carried out that oath, the better, for each tree is and shall be known by its own fruit. Some grape trees, among the appointed, bear thorns instead of luscious fruit. By Nimroth Gwetsa, 31 March 2017. Continue reading →

– Lessons We Could Learn From Tata And Geely based on BMW And Ford Failures

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The success of Land Rover, a company originally spawned off and owned by British carmaker Rover Company, saw its successes in the 70s dwindling owing to the parent company, British Leyland Motor Corporation’s financial troubles. As declines caused one takeover after another, the brand was then bought by BMW in the mid-1990s. But that too didn’t save the carmaker from its troubles. It was given another lease on life when Ford acquired the brand as part of its then Premier Automotive Group (PAG) in 2000, which then also included Jaguar, Volvo and Aston Martin.

The car manufacturer soon experienced financial performance troubles under Ford. The troubles compelled Ford to offload Jaguar and Land Rover to the Indian owned Tata Motors, and the Volvo brand to Geely Automobile of China.

Why couldn’t such previously successful brands be rescued by more successful and formidable carmakers like BMW and Ford? And why have the initially much “deplored” Chinese and Indian carmakers such as Geely and Tata, do the unbelievable and turn these companies around so quickly?

What lessons can we, as owners of small companies, learn from the history of Jaguar, Land Rover and Volvo to ensure our growth and development isn’t stunted by the same challenges they experienced? By Nimroth Gwetsa, 31 October 2016. Continue reading →

> PERILS OF ILL-TIMED UPFRONT PAYMENT DEMANDS

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It’s very rare interacting with emerging or small businesses and not face requests for upfront payment before any delivery of service or product is made. It’s quite refreshing, on the one hand, seeing small businesses focusing on the problem and related solution without first mentioning upfront payment.

I feel for small businesses and their need to increase working capital to fund business operations. I have found that many customers are turned off by upfront discussions of payment. When is it the right time to discuss matters about money? By Nimroth Gwetsa, 30 September 2016. Continue reading →

BUSINESS VALUATION – GETTING THE BEST VALUE AND PEACE OF MIND SELLING COMPANY EQUITY

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There comes a time in the business founder’s life to consider selling some equity in the company, if not to dispose it all. Reasons for the sale are always situational. The sale could arise from the need to expand capacity of the business, sustain or dispose of it entirely to realise a return on investment. Disposal could also be owing to the need to meet other pressing financial obligations.

Many factors influence company equity valuations. Thus in selling equity, how best can owners avoid suffering from seller’s remorse just as buyers do after their priced purchases? By Nimroth Gwetsa, 30 April 2016. Continue reading →