Create wealth by adding value to products and services
Chapter 3 p.1
I Ask
You regularly refer to “wealth creation”.
What does this mean?
I Answer
The creation of wealth is a fundemental concept in the economy of a country. And is the reason for the existence of a business.
Wealth can not be distributed before it is created. There are so many examples of activities in a country that consume wealth. Only business creates wealth.
People start companies, invest in companies and work in them because they are eager to participate in the process of creating wealth in order that they, in turn, can share in that wealth.
I Explain
The process whereby a company creates wealth is by “adding value” to products and services which it in turn sells to customers.
Only as the company “maximizes its value contribution to the customer” can the company maximize its business and grow its turnover and profits.
Finally, as the team members and employees of the company maximize their contribution (value add) to the company, can they expect to reap the rewards of their efforts and share in the wealth created.
The fundamental key to this understanding which is the subject of this Walk & Talk process, is to optimize and grow the different interests and needs of the three main role players in the business – the individual, the company and the customer.
I Advise
The redistribution of wealth without the creation of new wealth results in a redistribution of poverty.
