In the last two weeks, I have been using different brands in Tekedia Growth Hour – private Tekedia Mini-MBA corporate session – to explain why brands must evolve on how they engage with markets. In the past, the mantra was this: I will just go and execute, and the numbers will do the talking. Interestingly, you can execute, but the numbers will not help you. Simply, how you make money and where you make money are more important than the actual numbers on the balance sheet and P&L.
Tesla is a car company which sells “software subscription” and emission credits, and makes all its competitors look lost, even though most are delivering “better automobile numbers”; Toyota sells more than 10 million cars than Tesla, but Tesla is valued at close to 2.5x.
Think about it: how can you make a profit of $721 million and worth over $100 billion more than someone who made a profit of $32 billion? It is called perception demand and it is shaping everything in business.
Tekedia Mini-MBA edition 14 (June 3 – Sept 2, 2024) begins registrations; get massive discounts with early registration here.
Tekedia AI in Business Masterclass opens registrations here.
Join Tekedia Capital Syndicate and invest in Africa’s finest startups here.
It took Tesla 4x less years to reap a higher market cap than Samsung
Data calculated and analyzed by Finbold indicates that it took electronic vehicle manufacturer Tesla at least four times less years to amass a higher market capitalization than South Korea’s electronic giant Samsung. By March 23, 2021, Tesla was only 18 years old with a market capitalization of $643.10 billion, which is higher than 83-year old Samsung with a cap of $484.19 billion.
---
Register for Tekedia Mini-MBA (Jun 3 - Sep 2, 2024), and join Prof Ndubuisi Ekekwe and our global faculty; click here.
If you don’t get the blessings of kingmakers in the market, your fortunes may not really change; it’s all about who’s cheering for you.
Emotion sells more than anything, nobody makes purchases by sheer reason, it’s about the heart, never about the head.
The new playbook is to tell great stories, then hope that you enter the good book of those who bless brands, and your life will never remain the same.
Bitcoin is soaring, but what is the value of a Bitcoin as a thing, without hedging it against the dollars? At least for gold as an asset class, you can use gold to manufacture products people can use, so what can you do with Bitcoin as a thing? Yet it keeps soaring, and nobody cares to ask the fundamental questions…
This is how humans distort the normal operation of the universe, creating and scaling poverty and wars on the one side, while also creating a stupendous small class of rich people on the other side – who never did anything worthwhile in their lifetime.
If the world collapses tomorrow, blame humans, we creat and distort value, and we are fraudulent by default.