Trading up book summary
This book is a classic and a must read for anyone who trades for a living or desires to do so in their lifetime. Hedge Fund Market Wizards Author: Some of the books in the series have certainly been better than others, and Hedge Fund Market Wizards is now my favorite next to the original.
I loved the variety of investors. Having a glimpse of their lives, careers, and lessons learned along the way was raw and invaluable. In fact, I enjoyed the book so much that I have already purchased a few copies for friends. The book should not be read just once, and is probably best suited for those who already have atleast some experience with the market.
There are several drawbacks to note. With such an exorbitant amount of information, quick summaries at the end of each chapter would be extremely helpful for newer investors. Secondly, I felt the book did not get into position management enough, ie what to do once you have a winner, when to take profits, etc. Those that know me know I am not a big options trader. However, I found this quick read guide very helpful in understanding iron condors and the strategy behind using them effectively. Since the guide does go quite in depth, having previous knowledge on the subject is highly recommended to maximize its value.
As a result, they are powerful tastemakers: Old Luxury is about exclusivity. New Luxury goods are far more accessible…. The company makes only 6, bottles per year and, according to founder Jim Koch, sells out the entire stock in a week. The numbers are not the business — they are the symbols of the business. European producers once controlled 90 percent of all wine imports to the United States.
Today, their share is 60 percent and still falling…. In the last ten years, global share of the old world Western European producers has dropped from 79 percent to 67 percent. The outsides are winning because they have lower costs, a greater investment in advanced technology, and more-sophisticated marketing methods and pricing strategies. Beer was one of the first American industries revolutionized by low-cost, high-speed, high-throughput methods manufacture and distribution in the late nineteenth century.
In addition, the brewers discovered image advertising and mass promotion that squeezed the weaker producers out of market.
As a result, tremendous consolidation has taken place in the industry. Over the past one hundred years, a business with two thousand independent local producers has been consolidated to three national brewers with a combined 80 percent share.
During the years through , sales grew at a 15 percent compound annual growth rate CAGR ; from to , sales grew at just 3 percent CAGR.
A return from the dead is unlikely in New Luxury. BMW, Mercedes-Benz, and Lexus have already so transformed the market- making their cars more affordable at the low end and more aspirational at the high end- that Cadillac may not be able to escape death in the middle.
Two examples of New Luxury goods that have the potential to transform their categories are premium tea and high-performance athletic clothing. In Germany, exposure to TV advertising has increased by 85 percent over the last six years. French seniors are already noted traders up. People fifty years of age and older account for 33 percent of the population in France.
They earn 45 percent of net domestic income and hold 50 percent of the net financial assets. Americans never liked to settle back, give up, and trade down unless they are absolutely forced to by world events or personal vicissitudes. It takes committed leaders and bold execution to seize the trading-up opportunity. Ask consumers what they want, and they will stare blankly at you. Engage them in the category and ask for improvements, and they will work with you. Most of the innovations in the thirty categories we have studied would have been killed by traditional customer research.
And what a captivating read it was! It was difficult to put it down once I started it. The book was very well researched and a lot of data has been presented in the book to justify the points made.
Now Silverstein and Fiske take a close look at its buying patterns. Their homes are no longer cash machines and their investments are in a ditch. I have just finished my classes for the semester in Strategic Management. As I did my fifteen minute wrap up of the course, I announced some interesting news to my students. It is a rare treat to subdue a group of enthusiastic business students but their stunned silence was fascinating to watch.
Many have written about the key components of business success. Theories build on approaches ranging from evaluating lessons learned to recognizing opportunities and having a willingness to take measured risks.
Clearly such concepts can play an influential role. However, there are three key foundational imperatives for ensuring enduring success. As I thought about the this movie, I saw a lot of pertinent things to today in both acceptance and leadership.
Thanks for the review. Thank you for your comment. It is a really good book; fun and interesting to read but also full of lots of details. It would have to be in my top 10 for the year. You are commenting using your WordPress. You are commenting using your Twitter account. You are commenting using your Facebook account. Notify me of new comments via email.
Key words Luxury, strategy, management, behavioral economics, marketing, strategic management, corporate strategy, product innovation, market diversification.
New luxury goods are based on emotions. Empty nesters are important traders up.