Why You Buy, Part Three Tuesday, May 27 2008 

Still more discoveries from the recent studies in behavioral economics:

Over-Valuing “Mine”

People consistently place a higher value on things they own, even if their “ownership” is temporary. The research is interesting, and I often saw this phenomenum used by salesmen on busses in Ecuador. A product is thrust into your hands, and after a ten-minute sales pitch, you pay or give back “your” item. It’s a very effective technique.

Regret Aversion

Of course you should bet $10 to win $20 on a toss of a coin, but for many, fear of regret (I lost $10!) outweighs desire to profit (I won $20!). The applications for this facet of human nature are in how you present things. With a person who has a strong tendency towards regret aversion, you’ll more likely to make a sale by suggesting what will be lost if he does’t buy, than by promising great benefits.

Refusal To “Book” Losses

I often saw this one when I worked at a casino. The loss doesn’t seem real to the player until he leaves the table, so he stays and loses more. There are thousands in casinos right now, losing more money and mumbling, “I just want to get even.”

Investors regularly hold losing investments simply because to sell them is an admission of the truth. Ask them which stocks will have the greatest return, and they won’t name their losing ones. They also won’t sell them to invest the money in the better stocks they do name, which would be the logical thing to do.

The Future Of Behavioral Economics

The science of behavioral economics is a growing field, with more studies being done every year. Though it hasn’t had much formal transference to the world of business yet, the techniques being studied have certainly been used for ages. Learn them, and you can profit - or protect yourself.

Steve Gillman has been studying every aspect of money for thirty years. You can find more interesting and useful information on his website; http://www.UnusualWaysToMakeMoney.com

Hiring Tips for Business Owners Wednesday, Apr 2 2008 

I have encountered so many rude customer service people over the phone. Those rude and impatient people shouldn’t have been hired to be there in the first place. I learned over the years to only hire high quality people to run your company and business.

If you hire the wrong kind of people to do the wrong kind of job, that’s when your business and company will suffer the consequences sooner or later. If you hire the right kind of people to work for you, your company will flourish and your customers and clients will want to do more business with you in the future.

These are 5 qualities that you want the most from your employees:

#1 HIRE ONLY HAPPY & POSITIVE PEOPLE!

Happy people creates happy atmosphere at your work place and they will treat your customers will friendly, happy and kind attitude. Happy people tend not complain too much! They are happy to do their job! Negative attitude is very infectious, it’s like virus, it will spread very fast! One person with negative and ungrateful attitude can make other people’s life miserable in your company. Make sure when they look happy, they are not on drugs or drunk.

#2 HIRE SMART & GO-GETTER PEOPLE!
Smart & go-getter people can find a way to solve problems even if they don’t even know the answer. If they are only smart, but they are not a go-getter, sometimes, when they get stuck with a problem, the smart people won’t even try to solve the problem, but if they are both smart and go-getter, they will try hard to find a solution for every problem you give them to solve.

#3 HIRE PEOPLE WHO CAN CONTROL THEIR MOUTH!

There are so many potty mouth people out there and it seems like swearing and cursing habit is becoming an acceptable behavior. Swearing and cursing habit is not an acceptable behavior! Can you imagine having your office or business being run by bunch of potty mouth people and they run around your office or business? Your customers will judge your business by the quality of your employees’ vocabulary. It makes costumers and other employees feel uncomfortable to have someone who keep swearing and cursing in your office and business. What comes out of their mouth really tells you how smart they are and their level of their intelligent.

#4 HIRE PEOPLE WHO ARE MATURE!

If you hire kid mentality people or people who are not mature, they tend not to do their job unless you watch them while they are doing their job and tell them that you will punish them if they don’t do their job. It’s like telling a 3 year old child to clean up after his/her toys, “Mommy or daddy will spank you if you don’t clean up your toys.” If your case, you will tell them “I will fire you if you don’t do your job!”

People who are mature also know how to control their temper and volcanoes! You really don’t want to have bad temper people running around your business or office. You don’t even want impatient and bad temper people to deal with your customers either, they will scare your customers away!

People who are mature have the gift of discretion; they don’t go around gossiping and backstabbing other people by talking bad about other people in the office and business. They will create distrust in the people within your company and organization. They must know how to control their tongue!

#5 HIRE PEOPLE WITH GOOD LISTENING AND COMMUNICATION SKILL!

Have you ever been frustrated by someone because he/she is not doing the job you tell him/her to do? You tell this and they do totally the opposite of what you told them to do!
The worst part is, you tell them something today and three weeks later the job is not done and they will start making excuses on why the job is not done. It will drive you crazy!

I learn over the years that sometimes it’s best to have your employees write down the things you want them to do, so they know exactly what you want them to do on the paper, so there will be no more misunderstanding or miscommunication. It is all written down.

I personally make the habit of writing 6 things that I want to accomplish every day. I learn to prioritize the 6 things that I’d like to do daily. You can teach your people how to do this, write down 6 things that they want to work on that day on a piece of paper, go through the list and make sure the 6 things are done that day.

Make sure your employees understand what you want them to do! Never ever assume that your employees understand and exactly know what you want them to do, it is best to make them repeat the instructions you give them couple times and write them down!

People will good communication and listening skills will automatically write your instructions you give them down and they will listen to your instruction will with full attention! They will even ask you if they are not clear with the instruction. When they ask you, please don’t do the drill sergeants style management like “DIDN’T YOU GET IT THE FIRST TIME?” If you’re like a drill sergeant manager who loves to scare your employees by threatening and intimidating them, I can assure you that your business and company will go down the drain in no time.

Make sure the people you hire to do a specific job are qualified with the skills and the experience that is needed to do get the job done!

I hope these tips will help you to grow a better and bigger business. We wish you the best and remember what Dale Carnegie says “People have signs on their forehead that says treat me as I am important.”

Entjik Jeffrie - EzineArticles Expert Author

© Copyright 2005 , Author: Entjik Jeffrie, All Rights Reserved.