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Monday, January 31, 2011

My Full Sail Response to the book "Rich Dad Poor Dad..."

@ All,

I think the first real question we have to ask ourselves when we read the book... are we "Rich" or are we "Poor"? And that's a tough question to face. Especially, when many of us in the country are unemployed or are barley making ends meet. Not to mention, the middle-class is disappearing and our ability to save into wealth is being sucked away by low banking interest rates, ten years of bad wall street deals, and health care (Para-phrased from Moore's Capitalism a Love Story).

@ James.

LOL, I think your totally right, I might have answered two of the questions. It's just LAP3 answer and the entire book was what I responded to and the book was a though emotional ride when I read on the train to Colorado. I try to be a polite open person because the business people I admire are just that. In as sense, I'm applying the concept THE NEED For HEROS (on page 182).

I'm talking to Homer tomorrow so I guess I'm clear up that was my response, not my set of answers.

For LAP3 I did address...

2. How is wealth measured? How is financial independence achieved?

With the personal examples of venture capitalists and entrepreneurs I have met. Which I'm guessing statistically speaking most people in this class have had similar encounters. However, when I officially address the question, I will make more references to the book. What I was addressing from the book were themes related to...

How do we address the Rich?

Do we just categorize them as having money?

Do we treat them differently?

And do they treat us differently?

Combining the book with my life, I will honestly tell you, that there are so many opportunities to gain money, or learn about money when people are willing to share. And their enough who do want to share. The book states that his friends who are not rich never ask him how he did it. As if, they have a secret shame. And, I have been able to ask that question many times, "how". With different results.

And what I wanted to share and open to discuss was dealing with the "rich" people with money willing to talk to you (i.e. potential investors, good free advice, or a potential friend) in a more social sense. In other words, breaking down the internal classicism of the ego, to potential classless reality of capitalism and our society. For example, at the work place when I have worked for people who were paid more because they were a supervisor, I couldn't really socialize on an equal playing field, where as I'm in a different position when I met a manager at a party who I do not work for.

If you remember the class with the "48 Rules of Power" text, understanding relationships this is key to negotiating who you are.

In regards to LAP3 I also addressed...

3. What would you consider the most valuable lesson from this book? How will you change your financial activities?

The idea that the rich give money and expect a return, similar to how native Americans gave blankets and asked for the blankets later. The settlers did not understand that the Native Americans were just lending them the blankets and were mad when the Native Americans asked for them back (from pages 178 and 179 of Rich Dad Poor Dad).

The lesson I learned from this was that many of the Rich are "Indian Givers", in these sense, they want a return, but they are those willing to help others become rich as long as they get their money back. This is true. However, in this analogy, people may not respect the lender, and become mad when the investors ask for their return, and vice verse.

Also in this analogy, The Native Americans should not have just gotten a return, but also have gotten something beyond the blankets, something like positive PR that could have changed US History. This is also true, sometimes an investor will lend with no interest, if their is something they want they may not have a direct monetary value such as PR or good will. Thus, because I'm dealing with more positive PR than assets, I needed something like this analogy to tell me what I have, investors will be interested in. As a "poor" person trying to make the best out what I know and who I can connect with Step 7 of Getting Started from Rich Dad Poor Dad.

LOL, James, I think I know the problem is I read the whole book during winter break and Getting Started wasn't a real "reason".

Hmm, I guess I have responded to maybe one question... and responded to two students... my bad. I'll get more on topic with my third post.

Best_ Zon

Friday, January 21, 2011

SEO Tools, Quizzes, and How to Use Embedded Coding to Better Market

Key words to watch for: Meta-tags, Site Juice, Internet Surveys, SEO (Search Engine Optimality) Tools, Loaded Graphic, Digital Content, Embedding

First a very important related question for anyone interested in reading…

How can I learn from information that is third party and is already being implemented as an industry practice?

For example, you realize Facebook is big in year 2006, it isn’t too late to get in, but there already have been three years of third party developments.

Why do I cite Facebook as the example, because this story too started in 2003. Three guys who started a Search Engine Optimality service called “SEOmoz” with Matthew Inman. If you not familiar with Search Engine Optimization Tools, here's what you need to know... Google runs on bringing searches on the top by a ranking algorithm that is based on how many web pages are linked to any site. This concept is called "site juice" (Webcomics Weekly). For example, if some users “ is awesome”, then for every page with a mention and a link to that website, that increases the site's site juice. Add Twitter, MySpace, Facebook, and think anything that can have key word links and can increase site juice.

Some of’s founders, like Matthew Inman, created a site called, which pissed off Google because they “Quote and Quote” manipulated Google search engine by embedding hidden code in graphics related to online quizzes. Meaning people took quizzes about “How many Justin Biebers can you beat up,” then posted a graphic showing a rating on how well they did on their web pages on services like Facebook, these embedded graphic posts increased site juice. Google got mad and booted off of their ranking system. Nonetheless, Matthew Inman through quizzes and art made a reported $500,000 last year (Webcomics Weekly).

Okay some things to learn from this. Many successful web cartoonists are actually connected to technology because they themselves come from tech backgrounds. Matthew Inman considers himself a web cartoonist even though there is some debate about this claim by some leading cartoonist. Inman may be struggling with being an artist but he understood the lost art of keywords and meta-tags. The embedding of code into a type of game achievement is brilliant, and I believe that many marketing companies may not be using the same techniques. This means that if your forming a start-up this might be key to good marketing.

Also note, a friend of mine told me that Google can not change their system too radically because Google has sold search engine tools and a search engine culture so SEO tools should be good for years to come if not evolve into a more standard practice. My friend was offered an SEO job in 2005, and reluctantly turned it down because he didn’t like the compensation for the work.’s services are not cheap, but when look at the site’s users such as Disney and Facebook, I think the buzz about this company and it’s tools is not something to blink at.

Something’s to look into…

Research the psychology of game achievements.

Research how SEO tools could help or hurt your business.

Webcomics Weekly (2011, Jan 6) Webcomics Weekly #75 - Sour Oats

Thursday, January 20, 2011

Full Sail Discussion on Break Even Analysis

@ Alex and Kadina

Note: I’m posting this assignment on my blog @ Since, I’m quoting you two if you want me to remove the post please email me at or And since I read and loved your responses please read my posts as well.

Response to 1.

Was it a good decision for LiveNation to sign Madonna, Jay-Z and other megastars?

I agree with Alexandra Rotenstein and Kadina Sangster that Live Nation made a good choice to Sign these major stars based on their earning potential.

Will they earn a profit?

I think Alexandra Rotenstein is right in saying “LiveNation realized that the economy here in the U.S. has taken a toll on concert sales, but they shouldn’t look to international fans, they should compensate here.” However, I’m not sure that Live Nation at the time was really considering what that compesntion might be. For example…

Mr. Rapino: If we get to $7 gas, the natural [thing] is to assume that because it's a luxury item or a consumer item that it's affected. But we have found that most consumers only go to two shows a year. And even if you look at the data for the last 15 or 20 years in the concert business, there's no correlation between recession down times and declining ticket sales. No matter where the price of gas is, the consumer's still got to get out. They've still got to save their money to go see Tim McGraw. (Smith, 2008)

Re: Kadina

The 2008 assumption by Rapino is that the recession really won’t effect ticket sales for major stars. This isn’t a bad assumption since entertainment sales for establishes brands and franchises seems to be a staple of the US economy. However, is this prediction realistic is the question?

I did a quick Google search and found that yes in 2009 the ticket sales were up, but they had to discount heavy. In regards to Alex, it seems the company did focus on adjusting prices for the US consumer market; however, the company still was at a loss….

“LOS ANGELES – Live Nation Entertainment Inc. says its third-quarter net income fell after a dismal summer concert season.

The concert promoter that merged with Ticketmaster this year said Thursday that net income fell to $51.4 million, or 30 cents per share, from $69.2 million, or 78 cents per share, a year earlier.”


What are some other factors to consider regarding the recording?

Re: Alex_

“I guess the only question is how the contracts are created and who really controls the agreement, the artist or LiveNation. A downfall to this contract is coverage. The artist might have to give up certain aspects to their concerts that they usually have full control over and vice versa for LiveNation.”

True, but as seen in the Madonna deal it seems that Live Nation got the short end of the deal because Live Nation really had to pay Madonna in the deal to advertise her products (Kafka, 2007). In other words it seems She's exploiting them. LOL, Madonna is an amazing and scary businesswoman to deal with. Also, I don't think it would be the best inrest for Live Nation to attempt to control the artists the signed, becuase that might change the out put of the music made and cause fans to move on to other artists.

Re: Kadina

“Something very important to consider is the quality of music that these artist are producing and their overall image as artists. This industry is based on, first overall appearance (image) and then their sound. If Jay-Z went from rapping to singing or from rapping to singing and dancing and changed his sexual preference, his fanbase would probably decrease dramatically, because that is not how his audience perceives him. If there is a decrease in his fanbase, then this will cause LiveNation to lose lots of money on their investment. Also, another factor to consider would be if the artist of interest fanbase is continuously expanding year after year, then LiveNation success would increase rapidly because now not only do that artist have their audience that has been went them for some time, but they now have gained a new audience that will continue to follow their career, and therefore ticket sales will increase every year.”

I like the fact you took in the consideration of the artist evolving and making creative decisions that effect their fan base and sales. True, if new fans happen then ticket sales could increase; however, Live Nation's deal was not on the potential fans, but the established fans. I don’t think Live Nation was banking on new fans and would probably disapprove of drastic artistic changes that could effect demographics and sales. This is why Madonna is so important because she has changed herself for two decades, and her fan base is large and very diverse already because of it. I beleive if Madonna became a hard core getto rapper, she would still sell tickets.

Other References

Kafka, P. (2007) Live Nation's $120 Million Bet:Breaking Down Madonna Deal From:

Smith, Ethan. "LiveNation Sings a New Tune." The Wallstreet Journal. The Wallstreet Journal, 11 July

2008. Web. 12 Jan. 2011. .

Masnick, Mike. "Live Nation's Plans To Annoy More People?" Techdirt. Techdirt, 31 Aug. 2010. Web. 12

Jan. 2011. .

Break-even analysis

3. What are the basic steps that you must take to determine if you are able to make a profit?

Ideally determine you fixed costs, then determine your variable prices per unit. Then, subtract variable costs from the selling price. The ratio could look like this…

Breakeven Point = Fixed Costs/(Unit Selling Price - Variable Costs)


Note the Entrepreneurial Finance bookalso states it does have to be the price per unit. For the Madonna deal, it might be better to group all different types of products such as “Vitamine Water into one dollar amount.

(Entrepreneurial Finance, 5th Edition. Pearson Learning Solutions p. 127).

@ Monique

Note: I’m posting this assignment on my blog @ Since, I’m quoting you you want me to remove the post please email me at or And since I read and loved your responses please read my posts as well.

From: Monique

"So many people don't realize that this persona that they've created is a job and it is work to keep them going. I'm sure Lady Gaga has to have time to be Stefani Germanotta and not everyone is going to like that person so she has to work to keep her real life and her show persona separate and distinct so as not to turn off any fans. Justin Bieber and Selena Gomez are going thru this at this very moment since he is getting older and starting to date. None of his young female fans want to see him with this young lady so consequently, they're feeling heartbroken over this boy they do not know and some fans are making death threats at Selena. These kinds of situations affect public personas and eventually impact sales. You can say the same about Miley Cyrus who is trying to find a way to grow up but not offend parents of the world who saw her as the ultimate role model for their daughters. Usher, who broke women's hearts by marrying Tameka Foster and ended up losing some of his fan base; the list goes on and on."

LOL, it’s happened to me before many times as well, but what you added are examples I didn’t considered.

I think there is a sad old formula being drawn about pop stars… “Don’t date.” On the other hand, I still listen to Usher. I think that if fans love the performer, relationships that happen aren’t heartbreaks for fans, but can generate the same feeling of hearing a friend find someone that makes them happy (i.e. the power couple formula).

Interestingly, Lady Gaga on interviews such as Larry King has shown more of her personal slef, and has been more public about personal issues such as Gay Rights even tough she herself reportedly is not. Scott Kurtz and the Half Pixel crew had a great discussion about fans and sales. They said on their pod cast “Webcomics Weekly” that a persona should train their fans by rewarding positive behavior and ignoring negative behavior.

Of course, what’s positive or negative to an artist is arbitrary. For example, my pro gay rights message was posted on Lady Gaga’s twitter page, but I guess the negative twits were removed because I did not see any. Another example, The lead Singer of “Garbage” I heard one day had to tell her fans not to trash the theater they were performing once, which caused the loss of a lot of fans but not all.

In turn, music stars should prep fans for changes that may effect their art. Can't sing about how much society is taken advantage of you, when you making millions, right Dr. Dre? Can't sing about heart break when you are in love?

Know of any cases?

Monday, January 10, 2011

My 2010 Understanding of Net Neutrality

My 2010 Understanding of Net Neutrality

As a guy trying to make money with the Internet and Access in various platforms such as home and phone, net neutrality really had me spooked. On, many creators were afraid of the FCC’s impact on the business model that has worked for thousands of creators in the last ten years based on Net Neutrality. Frustrated to the na├»ve ignorance of how important this is of many friends, family, and peers, I decided to blog about the information I’ve been finding. Moreover, the more I understand how the Internet is being protected and designated, the less emotional I feel. Nonetheless, if ignorance blinds many, our “Internet Rights” may one day disappear and most of the country wouldn’t even care until they had to pay for it, literally.

The F.C.C. under the Obama administration is trying to protect the Internet from falling under corporate control (Net Neutrality). Because what has made the internet successful for entrepreneurs and new technologies has been a uncontrolled platform where new services like “Youtube “could beat “Google Video” based on frame rate performance as cited by Senator Franken on many interviews such as the one seen below.

Franken draws an analogy to the Television industry. Within his analogy, he cited how many of the independent television producers disappeared after a 1980 FCC rule change that gave networks the ability to create their own show. In other words, the ruling gave corporate control over an independent market, which could ultimately lead to one conglomerated corporation. Moreover, if a company like Comcast gains control of how speeds run on the Internet, this could lead to accelerated mergers between communication companies such as “AT&T” and media companies such “Disney” to try secure their market shares and portability. Thus a trigger effect where the Internet goes the way of the radio, a once free innovated platform to a more controlled less innovated platform.

“Mr. Franken and other critics say the rules come with major caveats; for instance, they would allow for 'reasonable network management' by broadband providers. And they would discourage but not expressly forbid something called 'paid prioritization,' which would allow a media or technology company to pay the provider for faster transmission of data, potentially creating an uneven playing field.” _Stelter, 2010

For example, Level Three versus Comcast. Under Net Neutrality, Level 3 could offer a service without being charged by Comcast. Thus, “Net-Flix” users had lower costs; however, if Comcast could charge Level 3 then the costs would be on the consumer. The argument is that Comcast is only a portal to the Internet and not the owner of the Internet. The video below explores two related arguments.

“On Dec. 21, 2010, the F.C.C. approved a compromise that would broadly create two classes of Internet access, one for fixed-line providers and the other for the wireless Net. The vote was 3 to 2, with the Democratic commissioners supporting it and the Republican commissioners against.”_ Net Neutrality

The battle for now is fast lanes, but a new question has been proposed about new technology that Google and Verizon may be developing independently. Meaning, broadband connection as far as paid faster connection is not the concern but it the next generation of Internet could come prepackaged and controlled by a company such as Google. “…fast lanes are fairly easy to understand when it comes to wireless Internet access…”however, what are the other services that Google and Verizon want to control? (Net Neutrality).

My understanding is that the Internet is slowly replacing the cable box with platforms like HD TV where the TV is really a giant computer monitor. Comcast realizing what was happening tried to control where the cable market was heading to, an actual Internet TV Hybrid. In turn, imposing their concerns on companies such as Facebook. However, Comcast had no real market position in portable devices as Google and Verizon. Thus, the focus of content providers is no longer the home, but what devices will people carry on them wherever they go.

So this is where Net Neutrality is at the end of 2010. There’s plenty on the web to read about this issue, and I’ll continue to blog about it as it relates to my interests and concerns. However, how does it interest or concern you?

If you are interested, search for new technology and trends related to Net Neutrality.

Also, look into the cell phone effects of Net Neutrality.

Non-Video References
Stelter, B (2010, Dec 20 )F.C.C. Is Set to Regulate Net Access. The New York Times Retrieved From

Net Neutrality (Updated Dec22,2010) Retrieved From