| Entrepreneurs thrive during periods of
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| | or nothing on the Internet and become
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| rapid change, and we are living in such a
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| | multimillionaires (even some
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| time right now. The good news is that
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| | billionaires) while large companies run
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| the more rapid the change, the greater
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| | to the courts in an effort to hold back
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| the opportunities available to
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| | the economic tsunami brought on by these
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| entrepreneurs.The explosion of new
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| | new technologies and quick-witted
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| technologies make this an unprecedented
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| | entrepreneurs.We first saw the digital
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| period in economic history for
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| | world impact the music industry; now it's
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| entrepreneurial opportunities: cheap
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| | affecting Hollywood's monopoly on film
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| computers, new software applications and
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| | and video distribution, and soon we'll
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| digital networks - namely the Internet -
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| | see it affecting the publishing and
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| are powerful tools available to everyone
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| | education fields. Much faster, lower
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| who wants to create financial
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| | cost digital systems are replacing
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| independence and improve his or her
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| | traditional, slow physical manufacturing
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| lifestyle.The Money GameI've been a
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| | and distribution systems.As the older
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| student of business since I began my
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| | physical systems crumble under the
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| career as a venture capitalist on Wall
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| | economics of the new technologies,
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| Street. Over the years I raised millions
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| | countless jobs and careers are being lost
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| of dollars to finance numerous
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| | in the process. We see long-term
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| entrepreneurs and start-up companies
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| | employment disappearing; pensions are on
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| until I decided to become an entrepreneur
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| | the way out; salaries are not what they
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| myself and financed my own companies in
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| | used to be. And this comes at a time when
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| broadcasting, alternative energy,
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| | the cost of living continues to rise. As
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| software, and telecommunications. I was
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| | a result, we all need to begin thinking
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| the CEO of the company that built the
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| | more about becoming entrepreneurs - to
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| first digital network in Moscow, in 1990,
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| | understand and take advantage of these
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| and started one of the first B2B Internet
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| | new digital technologies by creating new
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| service providers.It's from this
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| | information products and services that
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| perspective that I see fantastic new
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| | will leverage our skills and
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| entrepreneurial opportunities unfolding.
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| | expertise.Traditionally, entrepreneurs
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| And nowhere is this more apparent than in
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| | have not only had to have the ability to
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| the world of communications and
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| | envision something new, they had to raise
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| information.Because information and
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| | the capital and build complex
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| communication are fundamental components
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| | organizations to supply their new product
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| of every human interaction and business
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| | or service, and then they required the
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| transaction, each new communication
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| | skills to lead, coordinate and manage
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| medium - the telegraph, telephone, radio
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| | them.InfopreneursWhat makes the Internet
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| and television -- has had a successively
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| | and information publishing businesses so
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| greater impact on the world, and created
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| | exciting is that they don't require the
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| great fortunes for those who rode each
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| | traditional skills of money raising,
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| wave of change. The Internet will be the
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| | organizational development and management
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| most significant wave of all.The
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| | to launch and build. This opens the new
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| InternetThe Internet now makes it
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| | financial doors to a much larger group of
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| possible to reach almost any person,
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| | potential entrepreneurs.Entrepreneurs
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| anywhere in the world, in only a few
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| | capitalizing on the new areas of digital
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| seconds and for only a few pennies. But
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| | information publishing are becoming known
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| what makes it even more significant is
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| | as infopreneurs. They think and work
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| that computers can convert all the
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| | differently.Infopreneurs are the new
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| traditional analog forms of information
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| | entrepreneurs who envision ways to apply
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| (sound and voice, printed words, pictures
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| | new information technologies and systems
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| and data) into a common digital medium
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| | to satisfy market needs and wants. They
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| for transmission over the Internet. This
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| | can see and create new economic models.
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| capability is radically changing existing
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| | They don't need to raise capital; they
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| businesses and creating vast new
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| | create it instead. They don't manage
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| entrepreneurial opportunities.While the
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| | large organizations; they guide small
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| Internet is affecting every business in
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| | teams. They don't work in corporate
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| every industry, its greatest impact will
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| | office complexes, but in bedrooms across
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| be on the information industries'
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| | America. They don't have onsite
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| products and services. Think of some of
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| | employees, they have contractors spread
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| the biggest businesses in the world.
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| | around cyberspace. And they make a lot
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| Think entertainment (music and movies),
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| | of money. This is the new breed.The
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| think broadcasting (news, information and
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| | businesses they build are also
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| entertainment), think publishing (books
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| | different.Virtual BusinessesInfopreneurs
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| and magazines), and biggest of all, think
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| | are creating a whole new category of
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| training and education (books, courses
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| | opportunity known as virtual businesses.
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| and continuing education).To see the
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| | Virtual businesses exist almost entirely
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| Internet's potential impact, let's look
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| | inside computers and networks. Most of
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| at one small, well-established medium:
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| | the business functions that are handled
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| the book.Analog EconomicsA physical book
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| | by teams of people in the offline world
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| requires harvesting trees to make paper,
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| | are now embedded in software
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| onto which a story or information is
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| | applications. Virtual businesses are
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| transferred via a printing press. Then
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| | automated collections of hardware and
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| many hands and lots of energy are
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| | software connected to their customers via
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| required to move the book from
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| | digital networks. They operate 24/7,
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| manufacturing plant to retail store and,
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| | selling and delivering information
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| finally, to the consumer. This process
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| | products to worldwide markets, with
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| is resource, labor and capital
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| | minimum human intervention.Virtual
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| intensive.To see how this works in
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| | businesses receive their customers over
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| financial terms, let's consider the
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| | the Internet and respond with automated
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| author of our book.In the analog world
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| | product presentations and virtual
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| she writes her book and receives 10
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| | salespeople. Automated eCommerce engines
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| percent of every sale, or $2.50 on each
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| | process transactions, and products are
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| $25 book sale. The publisher retains the
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| | shipped and delivered electronically.
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| remaining $22.50 for manufacturing,
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| | Software systems provide supervision,
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| distribution and selling expenses. Let's
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| | control and management.Virtual businesses
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| further assume that her publisher pushes
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| | exist today that were started on
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| hard and sells 25,000 copies in one year,
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| | shoestrings. Yet they serve the same
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| a decent number in the offline publishing
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| | number of customers and produce the same
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| world. Our author would then earn
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| | level of profits as venture-backed
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| $62,500 ($2.50 x 25,000 copies) for her
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| | companies launched with millions of
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| creative efforts.Digital EconomicsThe
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| | dollars and significant investments in
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| same book can be produced and packaged in
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| | plants and equipment. There are virtual
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| a digital form known as an 'eBook', and
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| | businesses run from bedrooms that make
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| delivered anywhere in the world in
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| | more than companies with hundreds of
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| seconds, at 1/100th the cost and with
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| | employees. This is truly an
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| almost no environmental impact.So let's
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| | entrepreneurial heyday.Benefits of
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| assume our author writes that same book,
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| | Becoming an InfopreneurIf you've often
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| but decides to become an entrepreneur in
| |
| | thought about becoming an entrepreneur,
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| the digital world by setting up a small
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| | or you've looking at your existing
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| Web business and selling her eBook
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| | economic world quaking and shaking, if
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| online, over the Internet, to a worldwide
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| | you no longer see a bright future in a
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| market. And for the sake of this
| |
| | big organization, if you're worried about
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| example, let's assume she sells the same
| |
| | your financial outlook, if you long for
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| number of books at the same price.Looking
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| | something different or more lucrative,
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| at the costs of doing this, over the year
| |
| | consider becoming an infopreneur.Becoming
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| she'll spend about $2,500 to build the
| |
| | an infopreneur offers many significant
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| Website, $4,000 a month for a half-time
| |
| | benefits.· You get to be your own
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| Webmaster, $150 per month to host the
| |
| | boss. Working for yourself brings the
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| Website (that sells and collects money 24
| |
| | freedom to work on what you want, when
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| hours a day, seven days a week), and an
| |
| | you want.· You can work anywhere.
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| additional $10,000 per month to buy
| |
| | Since all your activities take place via
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| pay-per-click ads on Google to get
| |
| | the Net, you can be anywhere in the
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| traffic to her site.At the end of one
| |
| | world...on the beach in Hawaii, in a
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| year her expenses ($2,500 for
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| | mountain cabin in the Alps, or at a
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| construction, $48,000 for the Webmaster,
| |
| | Starbucks in Manhattan.· You don't
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| $1,800 for hosting and $120,000 for
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| | need much capital. Info businesses can
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| advertising) would total about $172,300.
| |
| | be launched on a shoestring and throw off
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| On the income side, her revenues ($25 per
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| | capital instead of consuming it. The
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| copy x 25,000 copies) would total
| |
| | only significant capital you'll need is
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| $625,000. When we subtract her expenses
| |
| | the intellectual capital you create by
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| from her revenues, she's left with
| |
| | learning how to exploit these new
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| $452,700. Cheap digital tools and the
| |
| | technologies.· You can start in your
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| Internet's reach provide her with the
| |
| | spare time and at your own pace. You can
|
| leverage to do a little more work...but
| |
| | start slowly and maintain your
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| make a lot more money. She could never
| |
| | nine-to-five gig while you learn the
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| enjoy this sort of success in the offline
| |
| | ropes and develop the confidence and
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| world.This simple example shows the
| |
| | income to make the big leap to
|
| amazing leverage of becoming an
| |
| | independence.· You don't need
|
| entrepreneur and selling information
| |
| | employees. All the specialized talent,
|
| products in the new digital world.
| |
| | skills, and help you'll require can be
|
| Whereas in the physical world our author
| |
| | hired over the Net, on a contract basis.
|
| earned 10 percent of the revenues
| |
| | There's no overhead or burn rate to keep
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| ($62,500), in the digital world she earns
| |
| | you up at night. You don't even need any
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| more like 70 percent ($452,700), or seven
| |
| | real management skills.· You can make
|
| times more income.The New CapitalThis new
| |
| | a lot of money. I personally know
|
| digital world shifts the advantage from
| |
| | infopreneurs that make millions each year
|
| those with, or having access to,
| |
| | and employ only a few outside
|
| financial capital, to those with
| |
| | contractors. One is making over $8
|
| intellectual capital. And that's
| |
| | million, after expenses, with just nine
|
| exciting.In the analog world of physical
| |
| | employees. That's the leverage of
|
| publishing, setting up the systems to
| |
| | virtual companies.Internet information
|
| manufacture, store, ship, distribute and
| |
| | publishing is the most accessible
|
| retail books requires lots of financial
| |
| | entrepreneurial opportunity you will see
|
| capital. Plants and offices have to be
| |
| | in your lifetime. It's the easiest,
|
| built to hold the equipment, people and
| |
| | fastest and least risky way to create
|
| inventory. Trucks have to be purchased
| |
| | financial independence, or build a
|
| to transport the books to the stores that
| |
| | fortune. Best of all, you can do it on
|
| have to be opened to sell them. As a
| |
| | your terms, with no venture capitalists
|
| result, entrepreneurs have had to start
| |
| | or shareholders telling you what to
|
| almost any venture by first raising a lot
| |
| | do.Maybe you should consider becoming an
|
| of financial capital, commonly known as
| |
| | infopreneur.-------------------------Wayn
|
| venture capital.Again, the Internet
| |
| | e Van Dyck is the CEO of Six Degrees
|
| changes all this.In the digital world,
| |
| | Media Inc. in Sausalito, CA. His company
|
| the business infrastructure is embedded
| |
| | designs, builds and operates virtual
|
| inside computers and networks, and
| |
| | businesses, including and He is a
|
| increasingly intelligent software
| |
| | contributing author to Walking With Wise
|
| replaces most of the manual and clerical
| |
| | Entrepreneurs along with Donald Trump,
|
| functions critical to any business.
| |
| | Harv Ecker and Dan Kennedy.
|
| Setting up a digital business requires
| |
| | is the first complete Internet
|
| intellectual capital but relatively
| |
| | Business-In-A-Box. Now you can create a
|
| little financial capital. Thus the power
| |
| | complete online business in less than 30
|
| shifts from the people with the money to
| |
| | minutes with NO technical skills or
|
| the people with the ideas and
| |
| | expensive webmasters. Better yet, you
|
| intellectual horsepower to recognize,
| |
| | get all the traffic and conversion tools
|
| harness, and leverage the new information
| |
| | you need to really make money. You get
|
| technologies.The Economic TsunamiAlready
| |
| | over $25,000 worth of technology for less
|
| we've seen 30-year-olds start with little
| |
| | than the cost of a cup of coffee a day.
|
