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business ethics
2008-07-21 15:59:00
Honesty and Integrity?The glue that holds all relationships together -- including the relationship between the leader and the led is trust, and trust is based on integrity.? --Brian Tracy?A life lived with integrity - even if it lacks the trappings of fame and fortune is a shining star in whose light others may follow in the years to come.? --Denis Waitley?The greatest homage we can pay to truth is to use it.? ?Ralph Waldo Emerson?To give real service you must add something which cannot be bought or measured with money, and that is sincerity and integrity.? --Douglas AdamsYour Integrity is your "crown jewels" loose it at your peril, protect it at all cost's, it makes a difference:To your customersTo your employeesTo your share / stake holdersTo your familyTo youTo GodSlainteGordonThe daily challenges of an Entrepreneur living in the North East of England
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Innovation and Engineering
2008-07-10 02:58:00
I read this article from EDN by Rick Nelson, Editor-in-Chief, it gives an interesting insite into one future for engineering, an exciting one and one that we should chase after and promote, to every kid who is searching for a positive future. The lastest comments from the G8 conference was an admitance that it is only going to be you and me who set the world back on it's right course, we need to get involved in climate change and bring Innovation , and "out the box" thinking to make a difference. This article could be the start for many. Driving meta-innovation worldwide.........The need for these new definitions occurred to me while listening to a keynote speech titled ?The Dreams of Engineers: What's Next?? that Geoffrey C Orsak, dean of the Southern Methodist University School of Engineering , presented at a conference on mechatronics (sponsored by EDN and sibling publications) held May 13 in Santa Clara, CA.As an example of redeployment of ancient technology, Orsak cited SkySail...

You can do good and do well
2008-07-04 08:49:00
You can do good and do well: lessons from "The Go-Giver"I caught this post from one of my favorite bloggers Pam Slim, this is an extract of the post:The Law of Value Your true worth is determined by how much more you give in value than you take in paymentThe Law of Compensation Your income is determined by how many people you serve and how well you serve themThe Law of Influence Your influence is determined by how abundantly you place other people's interests firstThe Law of Authenticity The most valuable gift you have to offer is yourselfThe Law of Receptivity The key to effective giving is to stay open to receiving Have a look at the full post here : http://www.escapefromcubiclenation.com/ge t_a_life_blog/2008/07/you-can-do-good.htm lHave an awesome weekend...SlainteGordonThe daily challenges of an Entrepreneur living in the North East of England
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What do leaders hear in this day and age
2008-06-30 08:54:00
The top CEO?s of the Fortune 500 companies rely on accurate information required to steer their organizations future strategy. Most CEO?s would tell you they are inundated with internal operating reports, analysis about everything and anything. Externally they read The Wall Street Journal, Business Week, Forbes and Fortune Magazines. They also read books about strategy and reports about their competition. A Leaders job is to see the future of their market and steer the organization to that vision based on the information they have consumed. Productivity and profitability are always the under currents required to reach a vision.The manager?s job is to execute initiatives and strategies to move the organization to the vision established by the leader. Managers are supposed to work with people and processes that enable the organization to improve the momentum by which the organization progresses towards the vision. Managing productivity and profitably is the means of reaching a vision....
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Closed for a wee while
2008-06-23 05:38:00
I am closing the Blog for a wee while, thanks for your support :)Regards GordonThe daily challenges of an Entrepreneur living in the North East of England
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some light relief for the weekend
2008-05-30 11:41:00
Ever thought of how to open the conversation to a VC, well keep this thought in mind, he is thinking, "how is this guy going to make me money", repeat, "how is this guy going to make me money". This article below comes from an article in the Sun microsystems blog "Place for Small and Medium Businesses"How to Pickup a VC by G KawasakiMany entrepreneurs ask me what is the best way to open a pitch to potential investors. I'll answer that question at the end of this posting, but first let me tell you the ten worst opening lines that you can use:You say: "I'm bright and ambitious." Investor thinks: "That's a relief because I usually invest in stupid and lazy people."You say: "I'm a blue sky thinker." Investor thinks: "You have no business model, and you don't know how to ship."You say: "I don't know much about your firm, but I thought I'd contact you anyway." Investor thinks: "You're a lazy idiot--why are you wasting my time?"You say: "I love to think of new ways to solve problem...
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Know thy enemy, why do start-ups fail
2008-05-27 15:17:00
This article discusses why start-ups fail, I could add a few to the list, but to keep your read short I have just included what David Feinleib who is a partner at MDV – Mohr Davidow Ventures, talked about. Why start-ups failAn entrepreneur recently asked me why startups fail. Start ups fail because they run out of money. You’re probably thinking, “Tell me something I don’t already know!� Read on and you’ll see that statement is deceptive in its simplicityThis post is based both on my experience as an investor and as entrepreneur (when I’ve boot-strapped and venture-funded).They spend too much on sales and marketing before they’re ready. Many venture companies move to a high burn rate too quickly and it’s hard to go back. Sometimes even a frugal entrepreneur winds up spending too much either because he doesn’t manage the money or is tempted by having money in the bank. This often happens when a startup raises too much money too early.Other times, this occurs with e...
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Introduction to Angel Investors (Angel Investors 101)
2008-05-19 15:44:00
An angel investor or angel is an affluent individual who provides capital for a business start-up, usually in exchange for convertible debt or ownership equity. A small but increasing number of angel investors organize themselves into angel groups or angel networks to share research and pool their investment capital.Source and extent of fundingAngel s typically invest their own funds, unlike venture capatalist, who manage the pooled money of others in a professionally-managed fund. Although typically reflecting the investment judgment of an individual, the actual entity that provides the funding may be a trust, business, limited liability company, investment fund, etc.Angel capital fills the gap in start-up financing between "friends and family" (sometimes humorously called "friends, family, and fools") who provide seed funding, and venture capital. Although it is usually difficult to raise more than a few hundred thousand dollars from friends and family, most traditional venture cap...
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The in's and out's of Product Management
2008-05-16 13:48:00
Why Product Management Is EasyBy Adam Bullied from http://www.planeteye.com/I track the term ?product management? on Twitter. You can see the results of that search term by checking out a handy tool called Tweet Scan. Essentially, whenever someone mentions the words ?Product? and ?Management? in a tweet, I get alerted on my cell phone by way of SMS.I?m a nerd, but I find it interesting. And, yes - this turned in to a hella long post.Recently, and you should see this if you look at the search results, I?ve noticed a couple of folks talk about how hard a job product management is. I wanted to make some points here about this, and hopefully put to rest reservations folks may be having about exploring the possibility of getting into the job, or maybe even continuing doing the job if they are already in the thick of it.My take is: it?s not hard.Now, I?m not a product manager in a big, massive company. I never have been, and if I were a betting man, I?d say I never will be. That being sai...

The inside of a VC company or VC 101
2008-05-16 11:20:00
Venture capital fund operationsRoles within a VC firmVenture capital general partners (also known in this case as "venture capitalists" or "VCs") are the executives in the firm, in other words the investment professionals. Typical career backgrounds vary, but broadly speaking VCs come from either an operational or a finance background. VCs with an operational background tend to be former chief executives at firms similar to those which the partnership finances and other senior executives in technology companies. VCs with finance backgrounds come from investment banks, M&A firms, and other firms in the corporate investment and finance space.Investors in venture capital funds are known as limited partners. This constituency comprises both high net worth individuals and institutions with large amounts of available capital, such as state and private pension funds, university financial endowments, foundations, insurance companies, and pooled investment vehicles, called fund of funds ...
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Understanding Angel Financing or do you really want there money
2008-05-08 11:06:00
I saw this article on VC Buzz wrt Angel Financing and it brought back sour memories of attempts at raising fincance for a project I was working on with Callum Norrie to set up a semiconductor material development company using IP from the defunct Terahertz Photonics, we were at a connect conference in Edinburgh pitching the project and were engaged with some of the Scottish angel's, it was an eye opener, I would not have used the term angel investor rather "Robber Barron", I know that may sound hard, but these guys are there to make money and they will at your expense, there are a few good guys and if interested I can share there names with you . Back to the article, it nails the different types of angel investors and the issues surrounding how an angel financing works. This is a must read for anyone raising an angel round. I wish you luck in raising future funding in these hard days, but if you have a good product / service , a route to market, customer commitment, and a seasoned ...
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A must read for the Entrprenure wanna be
2008-05-01 14:02:00
A must read for the Entrepreneur wanna be:I have worked with Founders from a lot of varied backgrounds, pure academics, research scientists, and the very rare experienced business person, all have there own philosophy on how to start a business and run a business, I have an important statement "You do not know it all" and "your point of view is not the only correct one". I have sat around numerous meetings early mornings, late nights and long haul flight meetings and listened to them declare there point of view with a level of arrogance only Kings and Queens and the President of the USA should only be making, oops !!!I forgot to mention the venture capitalist as well, well you are spending his money to test your pet theory and fix your problems, so the £xx0m you have spent so far of his money can give him the right also. I used to be in this camp my way is the only way, but I have learned that I usually hire smart people , who are better at some things than I am, and pay them a good...
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There is hope for us all still
2008-04-25 14:41:00
Interesting post from Fred, I have always recognised that running a start up can look for the outside a mess, but hey we are trying to do in 3 years what a normal company does in 20 years....so take heart and keep pushing onward, have a great weekendFrom Messes To SuccessesBy fred wilsonI was emailing with a top technology blogger yesterday and he said about one of his competitors in tech blogging, "they are such a mess". To which I replied, "yes, but our biggest messes have often turned into our biggest successes." And then I realized that I had made a rhyme and that I would have to blog it.When I look back at my 20+ year history of venture investing, it's certainly true that the biggest successes have been big messes at some point in their life. My most successful venture investment at Euclid, Multex, almost went bankrupt before the Internet came along and provided a cheap way to get it's service to its customers. Geocities, which was our most successful investment at Flatiron, ...
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Running a successful business
2008-04-18 12:13:00
Running a Successful Business Running a business is a bit like doing a jigsaw puzzle. The pieces must fit together perfectly in order to complete the puzzle. If you are missing a piece, or if you have to pound the pieces together, you can't complete the puzzle. .Create a Culture The first piece of the puzzle is the corporate culture. It needs to be created and communicated throughout the entire operation. There are many tools available to help write a mission or vision statement, but I think it's often best to keep it simple -- one or two sentences -- and describe why the business exists. What is the core value or the daily purpose? Write it down and share it with everyone! Next, create an employee manual that reflects the culture. Again, there are many websites and consultants who can help with employee manuals. In this case, I do recommend getting outside council as the policies and procedures described in the manual should be legally sound and abide by your state's employment l...
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Concerns on the short term performance of the Venture capatalist
2008-04-14 14:19:00
I have been looking at the "Credit bust" and the Big banks performance and what there impact on the VC market and debt finance for early stage / Start up companies will be ,and I have seen a number of articles on the stagnation of the VC market and the IPO / AIM, anyone have any comments, I have experienced neither , but it could be sector dependant.Private equity ?to stagnate? By Nick BrittonThe private equity industry is heading for tougher times, according to a survey of business leaders conducted by consultancy McKinney Rogers. Respondents expect the market to show zero net growth over the next 12 months and grow ?only a little? for two years after that. The credit squeeze is cited as the chief cause, with 71 per cent of respondents believing it will have a large impact on the industry, while some 68 per cent think that general economic uncertainty will affect private equity?s growth.Regulation of one kind or another, including Sarbanes-Oxley and MiFiD, is expected to contribute...
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Corporate Culture some thoughts
2008-04-09 09:56:00
Where does it come from and why do we need it?Some CEO's believe they can define the corporate culture of their company - we argue that they can't.The reason for this is that corporate culture - like any other type of culture is a product of behaviors, norms, values, history and leadership style. If you want to develop a certain corporate culture it doesn't help you writing it down in a powerpoint presentation - you have to live it out.Just look at your family. The culture you have in your family isn't written down - it is something you learn to fit into as a child by looking at the other family members and other families. It is no different with organisations. If you have to write down your culture it usually means you don't have it. KLM has a slogan for the time being: "KLM - The reliable airline". An airline is only reliable if you as a passenger has experienced them as reliable. In that case there is no need to write it down. On the other hand you have experienced the airli...
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Sage words on not trying to know everything
2008-04-01 11:01:00
A friend shared this with me...sage words indeed I don't know. Why is it so hard for people (including both entrepreneurs and VCs) to say these three words?This past week I had two distinctly different meetings with entrepreneurs. They both were successful serial entrepreneurs. Both were exceptionally smart. Both had good ideas.The first entrepreneur, however, thought that they were expected to know the answer to every question. There wasn't a question I asked that he didn't have a definitive answer to. He knew what their pricing model would be. He knew why Google would never compete with them. He knew what their consumer churn would be three years out (despite the fact that they hadn't launched yet). Whenever I tried to discuss the different risks in the business, he told me why they didn't exist. The second entrepreneur, had a different approach. He definitively stated answers when he had them, but when he didn't know he said so. When asked about his pricing model...
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Things seem to be changing for the fairer sex in business
2008-03-28 09:28:00
The New Gender Gap in Education-BeckerUntil the mid 1960's, female high school graduates were less likely than male graduates to go to college, and female college students were far more likely to drop out than were male students. The direct reason for this difference was that many younger women married and then dropped out of school - mainly to start having families. Perhaps a more basic reason for this gender difference in education was that women did not participate in the labor force so much in those days, and hence many women did not believe a college education was useful.All this has changed radically since 1970. Female high school graduates are now no less likely to enter college than are male graduates, and a much larger fraction of girls than boys finish high school. These two facts imply that considerably more women enter college than men. The fraction of college students who are female is further increased by the greater propensity of women who enter college to finish and...
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Angel or Friends and Family investment strategies
2008-03-25 10:06:00
Angel or Friends and Family investment strategiesWhat's the best/preferred structure of investment money pre-VC investment. We're in the beginnings of raising angel capital (~500k) and were wondering what, if any, considerations we should make regarding the investments to allow for VC later. Should we take convertible loans or issue straight preferred stock? What are the other options that are out there for investment structure? Is it too much of a hassle to handle future investments when there is an "angel group (say 5 doctors banded together)" versus a singular angel?Assuming that you are planning on raising VC money some time in the future, there are two different typical structures for the first angel financing: (1) convertible debt and (2) preferred equity.Convertible Debt: This is the easier approach of the two. In this case, the investment is in the form of a promissory note that converts into equity on the terms of a ?qualified financing? (where qualified financing typical...
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Whats in the future for all us Business leaders
2008-03-13 14:26:00
I always get a buzz from reading some of the futurists ideas, I have helped a few with their research in the past, this article is a snap shot of some of the thoughts from a leading thinker in this space Ray Kurzweil, a lot of it is not to far off. Enjoy the read the original article was from Future Winners International Ltd, it has a proven track record of providing senior executives with the ability to continuously re-engineer their enterprises with a supporting organisation structure and culture which is nimble and adaptable.Adapt or DieI seldom recommend a book in this newsletter ? especially one published as far back as 2005! I however recommend unreservedly that you should get your hands onto ?The Singularity is Near? by Ray Kurzweil even if only to read the first two chapters.Ray is possibly the world?s most famous serious futurist. In these two chapters he combines fifteen studies of the evolution of life from the big bang until the present. These studies were compiled by hi...
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When pride get's in the way, yahoo,google,microsoft
2008-03-12 14:16:00
It is easy as a founder of a company to get too emotionally involved in your start up, have a read at this article about Jerry Yang and his fierce rival, Microsoft . I found this article in the http://www.growthbusiness.co.uk/ news letter and it was by Michael Jackson who is the chairman of Elderstreet Investments, a leading technology venture capitalist which he founded in 1990. He was formerly chairman of Sage, the FTSE-100 accounting software group with which he was closely involved for over 20 years, since its unquoted days. When pride gets in the wayWhen Yahoo founder Jerry Yang received a call saying that his fierce rival, Microsoft, wanted to buy the company, his initial reactions were outrage and rejection, writes Michael Jackson. Yet Yahoo has underperformed in terms of share price and trading performance, and the offer by Microsoft was generous, being significantly higher than the previous day?s share price.The bid prompted Google to start talks with Yahoo. While it?s obvio...
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Suppliers and relationships
2008-02-29 14:53:00
I was in Oslo this week to meet with one of our strategic suppliers, this was our first face to face meeting, so it was a bit of getting to know each other and feeling each other out, it was an interesting visit. The key things I want to bring out was that they were open and transparent, they did not waste time in getting to the crux off the matter and they were interested in how they could help us get better pricing and product. The were open on how they could save us money and how it helped them as well in there business,they were honest on there capabilities not over stating there position. I wish more companies would take up this model as it would make there business life more "profitable". They went out there way to make our trip as productive and hassle free as possible, with assistance on local travel etc...yes if we sign a deal it will be a multi-million dollar contract, but it goes to show that " Nice guys2 in business have there place, and I would rather be known as a Nice...
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Construction your Board
2008-02-28 14:32:00
Here are some thoughts on choosing board members. Avoid "big names" For the most part, they are useless.Select people who will attend each and every meeting, who will pay close attention to the businessSelect people who have an affinity for your business, who understand your challenges and your opportunitiesAvoid putting someone you can control on your board. In tough situations they will have a fiduciary duty to do what's right and you won't be able to control them when it matters most to you.Don't let conflicts get in the way of selecting the ideal board member. Conflicts will be disclosed and can be managed. Many times the people who will understand your business best are conflicted in some way. There are ways to deal with this problem.Make sure to have an experienced accountant/auditor on your board and have them run the audit committee. That is no place for amateurs.Make sure to have at least two or three CEOs of comparable companies on your board. Make sure they are on the...
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Dragons' Den bad value for money ?
2008-02-22 10:36:00
Dragons' Den bad value for money, say small businessesNearly 65% of small businesses say that they would turn down an offer from TV programme Dragons? Den if they didn?t think it represented good value for money.According to a survey of just under 750 business owners, accounting software company Kashflow found that businesses would prefer to turn to banks or private backers for a more reasonable rate or split of the business.Of those who would accept, 36% said it was because of the experience the dragon could bring to the company, while 27% said they would use it to try and grow their company.A further 24% said they would only accept for the positive public relations opportunities.Ling Valentine, owner of LINGsCARS.com, is a small business owner who decided to turn down the Dragon?s offers of investment.She said: ?I had two joint offers from dragons Bannatyne and Farleigh, but they wanted too much [of my business.] I refused both of their offers.?LINGsCARS.com has more than doubled...
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Capturing the Tribal Knowledge
2008-02-21 09:24:00
When you start a new company, there is a lot of IP and "know how" generated quickly in the opening months of operations, I have always had a problem with the generation of documents to capture the knowledge and not just let it reside in the heads of your best workers "Tribal Knowledge ", writing reports is a time consuming process both for the writer and the reader...maybe the Wiki will be the way forward...read on..if you are interested...Seven Strategies for Implementing a Successful Corporate Wiki By 2009:At least 50 percent of organizations will use wikis as important work collaboration tools -- will you be in that number?By Brad KenneyJan. 25, 2008 -- Gasoline prices and the goal among many organizations to keep retirement-age workers active and involved are encouraging more employers to offer telecommuting options to employees.Businesses must enlist technologies that will help workers stay connected while they collaborate on internal projects. One tool to receive greater consid...

Don?t Let the Peanuts Run Your Life
2008-02-20 22:36:00
Some brain food from David J PollayDon?t Let the Peanuts Run Your Life I love peanuts. I like them salted or unsalted. I like them sweet or savory. You can put them in my dinner or in my dessert. I never met a peanut I didn?t like. It is a joy to eat peanuts!It?s also a challenge to eat peanuts. Peanuts pack a caloric punch. Too many peanuts per day and you have to loosen your belt. One day I decided to reduce my peanut intake. I resolved not to eat peanuts after dinner, or for a late night snack.So the next night I had dinner. And sure enough, I had a thought to eat some peanuts. But I reminded myself that I had decided not to eat peanuts. So I did not eat peanuts.And then it happened. An hour later I was standing in my kitchen with salt on my lips, peanuts in my mouth, and another load ready to go. But I did not remember opening the cabinet, reaching down to the bottom shelf, grabbing the peanut jar ? OK, the peanut tub ? and putting a handful of delicious peanuts in my mouth. It w...

Pangea Day
2008-02-19 09:31:00
What Is Pangea Day ?I thought I would do my bit for the film producers of the world, I.e you and me today and introduce Pangea Day to you:Pangea Day taps the power of film to strengthen tolerance and compassion while uniting millions of people to build a better future.In a world where people are often divided by borders, difference, and conflict, it's easy to lose sight of what we all have in common. Pangea Day seeks to overcome that - to help people see themselves in others - through the power of film.On May 10, 2008 - Pangea Day - sites in Cairo, Dharamsala, Kigali, London, New York City, Ramallah, Rio de Janeiro, and Tel Aviv will be videoconferenced live to produce a program of powerful films, visionary speakers, and uplifting music.The program will be broadcast live to the world through the Internet, television, digital cinemas, and mobile phones.Of course, movies alone can't change the world. But the people who watch them can. So following May 10, 2008, Pangea Day organizers ...

Some food for thought "Game Theory"
2008-02-18 14:46:00
Game Theory an IntroductionGame theory is a branch of applied mathematics which is used in the social sciences (most notably economics), biology, computer science and philosophy. Game theory attempts to mathematically capture behavior in strategic situations, where an individual's success in making choices depends on the choices of others. While initially developed to analyze competitions where one individual does better at another's expense (zero sum games), it has been expanded to treat a wide class of interactions, which are classified according to several criteria.Traditional applications of game theory attempt to find equilibria in these games?sets of strategies where individuals are unlikely to change their behavior. Many equilibrium concepts have been developed (most famously the Nash equilibrium) in an attempt to capture this idea. These equilibrium concepts are motivated differently depending on the field of application, although they often overlap or coincide. This metho...
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Interesting article on doing business in China
2008-02-14 14:19:00
Post found in the http://www.chinavortex.com/Working the Gray Areas in China If I were to wait until the Chinese government said I could do something, I?d never be able to make money.?This is a line I have heard on many occasions from different Chinese entrepreneurs.In China, there are many areas which are not strictly illegal, but they?re not legal either. Most of the time, these involve fields which are too new for the government to regulate. Any government is a slow-moving giant; they are not renowned for their quickness and being smart. In this business ecosystem, the advantage lies with the fast-moving entrepreneur who can identify a need and move in quickly.By the time the government has figured out the industry and begins to regulate it, the major players are already established. This is how the online gaming industry started in China with Shanda, and how Giant Interactive became successful with its pay-for-play online gaming model.When Americans and Europeans go to China, the...
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Presentation Delivery
2008-02-14 08:56:00
Deliver a Presentation like Steve JobsBy Carmine GalloWhen Apple CEO Steve Jobs kicked off Macworld 2008, he once again raised the bar for presenters everywhere. While most deliver information, Jobs inspires the audience. After analyzing his latest presentation, I?ve extracted the 10 most motivating elements to incite listeners.1. Set the tone. ?There is something in the air today,? Jobs projected to the crowd to open the Macworld conference. By doing so, he set the tone for his presentation and hinted at the key product announcement?the ultrathin MacBook Air laptop. While every presentation needs an angle, it doesn?t have to be unveiled right away. Last year, Jobs waited until the 20?minute mark. When the time was right, he noted, ?Today Apple reinvents the phone.? Once you identify your angle, make sure to weave it throughout your presentation.2. Demonstrate enthusiasm. It?s impossible to deny Jobs? passion for computer design. Next time you?re crafting or delivering a presentatio...
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