Saturday, June 18, 2011

Tupperware still doing well

Reading this about Tupperware in the WSJ this morning.


It's tempting to expect Tupperware to crack as well. But the company, which only sells online and through sales representatives, has a knack for raising prices even when times are tough.
One reason is that Tupperware products don't sit on store shelves next to competing products. And salespeople are paid as a percentage of sales, keeping incentives aligned with the company's.
Ah, this is an old company that never took shortcuts and had the opportunity to differentiate themselves successfully and not fall into the trap of commoditization.

Don't be in a such a hurry. Beware of venture capital or private equity money. Not clever to help them reduce their risk by increasing yours. He only need one in ten to succeed. You need to score one in one! Not completely true as you can start over again. But just imagine the toll on you.

If you think you have a game changer and need to ramp up as quickly as possible, then you need the financial, connections and expertise of good venture capital companies. If your enterprise is going to be mistaken for a long time and ignored then forget about the venture guys and grow stealthily. When the wind finally blows, only you are positioned to catch it. Most likely some big guys will be upended by your product and service model too. A truly new thing in the world is very rare. Mostly it is about providing a better mousetrap.

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