On previous business models we covered the barter trade business model which is taking rural areas by storm.
Borehole drilling in exchange with cattle,
Solar Irrigation systems for cattle,
Collect your cattle fatten them and sell at a premium!
We also covered the entrepreneurship support business model. Everyone wants to make money and if your business is to sell to the final consumer then its not going to be sustainable in the long run.
Make other make money—don’t eat alone. Support entrepreneurship which is the fastest expanding sector in the world. Econet introduced Eco-Agents and boosted business, Musina is popular for supporting entrepreneurs. Seedco, Vet Distributors, Chinese Factory Shops in Jozi etc
Network Marketing also follow the same model and clearly, this model is with us for a very long period of time!
Business Partnership Model
Today we had a Zoom meeting for the steering committee on Borehole Crowdfunding. Members will be interested in getting a borehole set up and after everyone gets a borehole what happens to the machinery and equipment?
The drilling rigs converted to commercial use by shareholders! Now this is better than simply having a borehole drilled on your premises…
How much money have you paid to Nyaradzo? So they never bothered to give you share capital based on your contributions? To say those who contributed for 10 years we are giving you a certain percentage of shares?
So Econet just takes funds from us but never bother to make clients shareholders? Yes of course we know where their shares are traded but for all these years—we have nothing to show for using their systems?
The next funeral assurance company to take the country by storm will craft strategies to make clients shareholders.
So these schools just collect school fees and as soon as your child leaves the school that’s the end of the relationship? The biggest school model will have parents owning a stake in the school…
As financial literacy levels increase in the country, many are now asking tough questions—for how long should we continue to be consumers?
If you want ownership then go to the stock exchange? People already know of this but will say its not enough—they want more!
So save this post –check how this aligns to your business model, follow trends too in the economy.
The downside of the model is it can be taken advantage of by scammers.
