Shalt Not Invest Foolishly: Confessions of a Business Professor
- by Khalil
most books on investing, Management Professor Khalil Matta's
book, Thou Shalt Not Invest Foolishly: Confessions of a Business
Professor, details the author's blunders over the past 15
years rather focusing on his successes.
of describing yet one more get-rich scheme, Matta describes
typical mistakes made by novice and experienced investors alike-ones
that many readers will no doubt relate to. In fact, says Matta,
most investors know the error of their ways-e.g. they know that
certain investment moves might not be wise ones-yet often cannot
avoid committing them. His book tells of a renowned professor
in a leading business school who is prone to making such investing
Shalt Not Invest Foolishly goes beyond what to do and what
not to do-it explores why we repeatedly make investment mistakes
and suggests ways to avoid them. Matta, a management information
systems professor, develops a portrait of an investor's psyche
and stimulates the reader to reflect on his or her own investment
decisions. He describes how fear, greed and falling in love
with a stock can temper a person's judgment and lead investors
making fun of himself, Matta-who has no formal financial training
but a lot of investing experience-adds humor to a serious subject
matter. Instead of discussing financial theories and investment
strategies, Matta shares the lessons he has learned the hard
says Matta, many people make bad investment decisions over and
over again. This is particularly alarming when it involves retirement
money. He asks, how can someone treat decisions that impact
his or her financial well being as a hobby without assessing
and understanding the risks involved? For more information on
the book, please visit www.investingconfessions.com
- by Tim Smith ('87) -
invested in current customers yields five times better returns
than energy invested in gaining new ones. The first priority
should be securing the loyalty of one's current customers-not
in searching for new ones.
representatives may spend months-even years-trying to acquire
a single new customer. What they don't realize is that it takes
just seconds to lose one.
go out the back door as fast-or faster-than they come in the
front door. Sales reps waste time trying to win back lost customers.
They lower price and make costly concessions to do so. Sales
reps fail to ask their customers the question: What will it
take to provide you with the best service you've ever received?
Consider this: In all of your business transactions as a customer,
has any sales rep ever asked you that question?
step is so simple, yet many sales reps rarely use it. Did you
directly ask your customers or did you infer what their answers
would be based on your intimate knowledge of them? With the
best intentions, you try to provide
excellent service for your customers based on what you think
they want. You may be going 100 miles for your customers, but
down the wrong street.
organizations spend millions of dollars researching what it
will take toget customer satisfaction. They send out customer
surveys. They interpretresults. But once they have the results,
most haven't a clue what to do with them. The good ones implement
new programs geared to improve service and customer satisfaction.
these programs work? For some customers they do; for others
they don't. Every customer is different. Each has unique preferences
and a unique definition of what "the best service ever"
a corporation asks the question, "What will it take to
provide you with the best service you've ever received?"
it is typically after they've worked with the customer for a
period of time. You, however, can simply ask your customers
this question before you start doing business with them. You
can treat your customers as they wish from the start. So, by
asking just one question, you can save your company millions
of research dollars. And, you have clearly differentiated yourself
from the competition.
Products from one company to the next are often similar, so
differentiation in other areas is the deciding factor in a buying
decision. Congratulations. You have just taken a huge first
step ahead of your competition.
Tim Smith is a field sales trainer at Stryker Corporation,
where he set an all-time record for annual sales. He is also
a motivational speaker and the author of Loyalty-Based Selling.
To contact Smith, send email to: firstname.lastname@example.org
Excerpted from Sales and Marketing Excellence magazine.