Jack D. Deal's Free and Inquiring Mind Applied; Change before you have to...831-457-8806

PM Harold Brown on bad banks...

A bad bank anywhere is a threat to good banks everywhere.  British Prime Minister Harold Brown

Mikhail Gorbachev on capitalism and profits...

It is necessary to overcome these mistakes of super-consumerism, of super-profits. We have to think about finding — through the G20 or other institutions — new models of development (and) cooperation. --Mikhail Gorbachev

Alan Greenspan eats crow quote...

"I made a mistake in presuming that the self-interests of organizations, specifically banks and others, were such that they were capable of protecting their own shareholders."  --Alan Greenspan

These are the best of times, these are the worst of times...

My own gut level feeling is that it has to run its course before it will end.  All attempts to prevent it from running its course will only stall the recovery. 

Having said that the only practical and positive point is the somewhat battered but still surviving entrepreneurial spirit.  Despite it all there is always someone that feels they can build a better mousetrap. 

When that entrepreneurial age begins, productivity and innovation will flourish as perhaps never seen before.  

These are the best of times, these are the worst of times...

Any suggestions for ending the downturn?

My own gut level feeling is that it has to run its course before it will end.  All attempts to prevent it from running its course will only stall the recovery. 

Having said that the only practical and positive point is the somewhat battered but still surviving entrepreneurial spirit.  Despite it all there is always someone that feels they can build a better mousetrap. 

When that entrepreneurial age begins, productivity and innovation will flourish as perhaps never seen before.  

These are the best of times, these are the worst of times...

Summary of Auto Execs Bailout Requets from Congress Nov 19 2008 Part 1

	jackddeal CNN: GM's Wagoner refuted criticism that his company was not keeping pace with the times, saying it had been on the brink of a turnaround less than 5 seconds ago from web
	jackddeal Sen Enzi cited "inefficient production" and "costly labor agreements" that put the U.S. automakers at a disadvantage to foreign companies. less than 5 seconds ago from web
	jackddeal Sen. Mike Enzi, R-Wyo., complained that the larger financial crisis "is not the only reason why the domestic auto industry is in trouble." less than 5 seconds ago from web
	jackddeal self inflicted wounds are very different from a global financial crisis...right? ha... less than 5 seconds ago from web
	jackddeal Sen. Christopher Dodd, D-Conn., said the industry was "seeking treatments for wounds that I believe to a large extent were self-inflicted." less than 5 seconds ago from web
	jackddeal CNN: Lawmakers bristled and questioned whether a stopgap loan would really cure what ails the companies. less than 5 seconds ago from web
	jackddeal Robert Nardelli, CEO of Chrysler LLC, said the bailout would be "the least costly alternative" when compared with damage from bankruptcy. less than 5 seconds ago from web
	jackddeal The GM CEO blamed the industry's predicament "not on management failures but on the deepening global financial crisis.." right... less than 5 seconds ago from web
	jackddeal "Our industry ... needs a bridge to span the financial chasm that has opened up before us," said General Motors Corp. CEO Rick Wagoner...ha less than 5 seconds ago from web
	jackddeal "Millions of layoffs will follow our demise" as the damaging effects rippled across an already-faltering economy...what me worry? ha... less than 5 seconds ago from web
	jackddeal in case you missed it, the Senate testimony by the car moguls was a hoot...check the highlights...ha... less than 5 seconds ago from web

If It's Only a Meltdown, Should I Really Be Worried?

	jackddeal only a true optimist would say 'thank God my home is worth at least half of what I am paying for it'...ha... less than 5 seconds ago from web
	jackddeal if your home's mortgage is currentlly twice its appraised value, thinking about whether the glass is half empty or half full won't work... less than 5 seconds ago from web
	jackddeal one obvious point is that stress, anxiety, worry, panic, drunkeness, etc. are not effective responses...the call is for action...ha... less than 5 seconds ago from web
	jackddeal is the world mad at the U.S. or mad at themselves? ha...it's tough to argue against greed...ha... less than 5 seconds ago from web
	jackddeal one point that is somewhat amazing is how the rest of the world eagerly bought up U.S. debt...they just couldn't help themselves...ha... less than 5 seconds ago from web
	jackddeal the thieves didn't need to be smart all they had to do was figure out the weaknesses in the structure and go at it... less than 5 seconds ago from web
	jackddeal it's a hard animal to analyze but on the surface it looks less of a collusional ploy than a sistemic failure...ie, the thieves weren't smart less than 5 seconds ago from web
	jackddeal what is still somewhat puzzling and alarming is the elaborate and expensive infractructure we had to prevent credit fraud simply didn't... less than 5 seconds ago from web
	jackddeal one has to wonder if the same analysts recommending buy on the slippery slope were involved in the no money down 4 bedrooomer scam... less than 5 seconds ago from web
	jackddeal BTW, some guy on CNBC said I should buy stocks now so I think I'll invest in something solid like Ford or GM...no? less than 5 seconds ago from web
	jackddeal in times of self doubt, it's great to know we can rely on government, Wall Street, banks, realtors, lenders and almost everyone else... less than 5 seconds ago from web

Why a Good Location May No Longer Be Physical and The Higher the Fixed Cost the Higher the Squeeze

Being found now has a very different implication. For many small and medium sized businesses, their location is no longer physical.

about 4 hours ago from web

The old adage: Location, Location, Location takes new meaning in a search society. about 4 hours ago from web
The higher the fixed costs the higher the volume of business needed to pay for those fixed costs; only so much volume can be squeezed... about 4 hours ago from web
Big advantage web; big advantage in those that can invest in search marketing. about 4 hours ago from web
These new, smaller companies can afford to purchase services like search marketing when their rent-paying competitors cannot. about 4 hours ago from web
For the cost of a small rental office one can put up a somewhat extensive e-commerce site including search marketing. about 4 hours ago from web

Interesting sites:

All Access Technology www.allaccesstech.com

Precision Laser Engraving www.lasergrl.com

Huboi Architecture www.huboi.com

Stay in the Pink www.stayinthepink.com

Shannon Grissom Contemporary Artist www.shannongrissom.com

DLG Printing www.dlgprinting.com

Nelson Staffing www.nelsonstaffing.com

PDC Pages www.pdcpages.com

PostNet www.postnet.com

MJM Computers www.sanbenito.com

W8LESS www.W8LESSROTORS.com

Dragon Paw Designs www.dragonpawsdesign.com

B & R Farms www.brfarms.com

ADZ Online Store www.adzonlinestore.com

Helen's Photography www.helensphotography.com

Homespun Harbor Ltd. www.homespunharbor.com

Traditional African Inspired Kaftan - $23

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Reply to: [email protected] ^[?]
Date: 2008-09-09, 1:32PM EDT

Slip into Soft, African Elegance
It's easy to add some spark to your look with your own vibrant, dashiki-style kaftan. Free-flowing and soft, made of 100% rayon. The dashiki style of this kaftan is famous throughout Africa. Hand wash for best results. Includes a matching headwrap. One size fits all; fitting up to a 80" bust, waist, and hips. 55" in length. Made in India. Item Number C-WF304

Want to find hundreds of other African styles? Go to www.africaimports.com or Click Here

Find even more ways to celebrate Africa with African musical instruments, artwork, textiles, jewelry and more at www.africaimports.com

Have a question? Give us a call now! Toll-Free Phone: 1-800-500-6120

Hot Political Air, Girly Men Downfall and Why Do We Insist on Killing the Golden Goose?

	jackddeal technology is changing our work; yesterday on Monday I went from downtown San Jose to Santa Cruz at 5:00PM with no traffic;telecommuters? less than 5 seconds ago from web
	jackddeal how absurd to hear some of the hot political air spouted on the environment; if we all have to ride bikes life as we know it is over...ha... less than 5 seconds ago from web
	jackddeal would GM have cut SUV production had the price of gas stayed at $2.75 a gallon? apparently GM had no such plan until the gas price hike... less than 5 seconds ago from web
	jackddeal making small brick and mortar businesses vulnerable to pricing competition will only help insure the Big Boxes win... less than 5 seconds ago from web
	jackddeal in California, if we stop, we rot. We have no other choice but to back off the small entrepreneur and let her do her thing... less than 5 seconds ago from web
	jackddeal still not hearing any candidate talking about what they are going to do to stimulate entrepreneurial activity... less than 5 seconds ago from web
	jackddeal in the old days, a tax hike like California Gov. Arnold is proposing would be called "killing the golden goose"... less than 5 seconds ago from web
	jackddeal Our Guvner "Girly Men" Arnold wants an emergency, temporary 1% hike in state sales tax; how many businesses and jobs will this tax kill? less than 5 seconds ago from web
	consumers will simply go to where value is regardless of who is doing the selling...whether it's the local merchant or foreign sweat shop... about 13 hours ago from web

Hand-Carved, Hand-Painted African Canes - $19

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Reply to: [email protected]
Date: 2008-08-19, 1:15PM EDT

These hand-carved African canes are a wonderful way to express your African culture or love of Africa. You can hang these on your wall as a painted piece of African artwork, or you can use them as walking sticks for durable support and an authentic look nobody else has. Each cane is individually hand-made, so each design is unique and totally one-of-a-kind. Each is approx. 37" tall. Made in Kenya.

Find more ways to accent your home with African art. Click Here

Find hundreds of other African products including African clothing, African jewelry, and African health and beauty products at www.africaimports.com

Have a question? Pick up the phone and call us toll-free: 1-800-500-6120

Is Your Local Chamber of Commerce Obsolete?

Wandering into the San Jose, California Chamber of Commerce one wonders what sorts of local businesses are members.   After all, San Jose is Silicon Valley Central and the home to many of the world's best known companies. 

As one glances at the list of members what is conspicuous is the absence of the heavy hitters.   What is also conspicuous is that of the tens of thousands of businesses in San Jose only a very small percentage bothers to join the San Jose Chamber of Commerce.

In the old days local Chambers were places to advertise and promote your local business.   Somehow being a member and paying your $150 yearly fee would put you among the local elite and raise the credibility of your company. 

But as in the San Jose Chamber of Commerce most local businesses are not members as well as the "bigger and more important" local businesses.   

But it's not just San Jose.   Go to any local Chamber of Commerce and more than likely you will find the same thing.   Why? 

A big picture analysis shows that the concept of "local" has changed.   Technology and specifically search technology has opened the world to the local consumer with more than just local options.   

In the old days one did business with those that one knew or knew of locally; now the local consumer can do business with any company they find searching the Internet. 

The "Buy Local" programs have simply become obsolete as the concept of local has lost its meaning.   

The inference once was that local consumers were looking for businesses and a good way to find reliable businesses was through the local Chamber of Commerce member list.   Actually this idea died in the 1970's and 1980's and was in reality not a member benefit by 2000. 

In the past a new business would join the Chamber hoping to gain local exposure and maybe get some extra business.   The badly maligned Chamber Mixers would help serve this function. 

New Chamber members were told to bring their "pitches" and stack of business cards and hand them out at the mixers.   So in effect the Chamber mixer became a big "let's sell to ourselves" exercise, as rarely do non-Chamber members attend the mixers. 

Local collective ads were once another way the local Chamber could promote its members; through brochures, local newspaper and magazine ads, an occasional TV or radio spot.   As mass media has gotten more expensive, the collective ads have gone by the wayside.   

And like many organizations, the local Chambers of Commerce have been hit hard financially in the recent economic downturn.   As their cash flows have diminished, the Chambers' ability to hire and retain good staff had diminished as well.   

Hence, all the ubiquitous job postings for Chamber Executive Directors.   Part of the "executive package" is that the executive director must raise money to pay for herself.   

This means that the primary function of the executive director is not promoting local business but raising enough money to keep the Chamber above water.   

But in all fairness, it's not just the executive director's fault; what can a group do locally to promote themselves?   

The biggest complaint today is that the Chamber does little or nothing for its members so it has become harder and harder to justify the time and $150 fee.  The first question a new Chamber prospect asks is 'what is in it for my business?' 

If the expectation is increased business, as many new Chamber members hope, then the expectation turns to disappointment over time.   That's too bad.

Communities need a strong business community to thrive and communities with a weak business community have problems.

The simple fact is that the local Chambers of Commerce are delivering less and less value to their members.   Unless the local Chambers are able to redefine their mission and find ways to bring greater value, the Chambers will simply go the obsolete route of newspaper advertising.

Bank Loan Narrative and Bank Loan Summary

Bank Loan Narrative and Bank Loan Summary

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Reply to: [email protected]
Date: 2008-05-06, 8:55PM PDT

You need a loan. They want to know where you come from, how you are doing, what you are going to use the money for and how that will improve your profitability so you can repay the loan. If you can't show this, forget it. If you can, reply to this ad or call JD Deal Business Analysis and Development at 831-457-8806.

• Location: Santa Cruz
• it's NOT ok to contact this poster with services or other commercial interests

PostingID: 671

The Jaguar or El Tigre; Milpa, Tepe, Javalina, Maya, Ejido, Palapa, Jungle, Crazy Californians

The jaguar has to be one of the most magnificient animals on Earth.   Maybe the most magnificient.   Only the tiger and lion are larger cats.   My friend Aniceto says I have a jaguar den on my ranch; probably some shallow limestone cave covered by dense growth.   I've never seen it.  I've never even seen the jaguar but Aniceto has.   One evening coming back from his 'milpa' he saw it in the middle of the road.  Usually they don't come out at all when it is light, but this one did.

El Tigre was probably hungry and looking for a tepe, tejon or javelina.    He said the cat was barely 20 meters away from him and if he had carried a camera, he would have gotten a great shot.   A gun would have worked too...but Aniceto is one of those Maya that have a great respect for both life and death in the jungle.   He only kills what he eats.   Aniceto is a true jungle guy.   He respects the jaguar because the jaguar also hunts tepe or the tepescuintle.   Man and beast: the hunters.   We eat the same food,  though we barbecue tepe and the jaguar chomps it raw.   Aniceto is a jungle hunter that has a true weakness for tepe.   He knows the jaguar does too.   But there is plenty of tepe to go around.   

Usually jaguars leave humans alone.  I read where a zoo keeper in Denver was mauled to death by a 140 pound jaguar.   To counter that, my Mayan friends say they can never remember an incident where a jaguar attacked a human.   That certainly doesn't mean a jaguar wouldn't attack a human; but in the wild they really don't. 

Even so, when most Maya go deep into the jungle, they carry a gun.   Man is more afraid of the jaguar than the jaguar of man.   The men recount times when they would be startled to look  at the side of a path and find a jaguar sitting peacefully.   And Maya men don't go out walking around in the jungle at night...just in case they may happen upon a jaguar.   

The jaguar cannot be domesticated and clearly has little fear of man.   That is why on rare occasions they can be spotted during the day right off a road or path.   A Maya familiar with the jungle can spot their tracks, dung and plant life they disturb as the jaguar travels through the forest.   To an untrained eye such as mine, such signs go unnoticed.   But then again I am not a jungle man; advantage jaguar.   

The jaguar can climb trees and actually have been seen jumping from tree to tree.   Hence the tree house I plan to build on my ranch will provide no protection from the jaguar...ha.   I can imagine sleeping one night and waking up to a pair of large eyes staring me in the face; maybe a boa or a jaguar.   I'm not afraid of the jaguar but certainly respect him.   At night we humans cannot even see them...advantage jaguar.   

My concern is one day I will be out walking around on my ranch and come  across the den with little jaguars in it...oh boy.   Well, no one said the jungle was without some risk.   That's why we go, no?   Just watch out for those jaguar dens...

The jaguars, however, do eat sheep, turkeys and dogs.   I can say I have seen evidence with my own eyes.   Several weeks back,  Aniceto took me back into the jungle at another ejido and we saw dog hairs in jaguar dung.   Aniceto said that his friend had two dogs eaten by the jaguar one night...and his friend could hear his dogs yelping as the jaguar dragged them off into the jungle.   Since dog is man's best friend, that sound had to be unnerving. 

Several months before, his friend's cousin shot a jaguar trying to make off with a sheep.   It took four men to carry El Tigre out of the jungle...and back in town they took a picture.   They estimated the jaguar weighed about 170 pounds.  Take a look...look at the jaguar's teeth.   Jaguars can grow up to 200 pounds and eight feet long including the tail.  That makes them king of the jungle...and the only predator I could find was man or rather hunter man.   Maybe there are diseases or other animals that attack the jaguar, but I have not heard of it. 

The Maya where I live see them as predators and not endangered.   I supposed if I had little children playing around my palapa I might consider them much more of a predatory threat.   But fortunately one does not hear of jaguars foraging outside small villages way back in the jungle.   Perhaps the jaguar is smart enough to just leave man alone....

The jaguar is a representative of the truly wild...and that which cannot be tamed.   For most of us, the jaguar is a symbol of the magnificence of the wild and what nature has created over the eons.  For me, it is my neighbor and part of the ecology of my ranch.   I certainly respect it and hope that it continues to respect me.   Even if I do see two large eyes in the dark jungle night...and though I do not carry a gun I do carry a machete and large hunting knife.   But without a gun I would be at a distinct disadvantage.   Advantage jaguar.   I haven't heard of the Maya going out on jaguar hunts.   The jaguar has the advantage of his pursuers being very afraid of him.   

I jokingly kid the wife that she is the owner of a big jaguar and that puts us right up into the social classes of the rich and famous  that have big cats as pets.   But she reminds  me our big cat is no pet and she has given me strict orders to prohibit any hunting of cats on our ranch, though the jaguar is protected by Mexican law administered by SEMANART.    So much for my hunting reserve...

I joke to the wife that even though we own the ranch, we really don't own it.   We are just given a series of pieces of paper that allow us to live on it and do what we want.   Almost what we want.   In a funny sort of way, I am given the responsibility of protecting those parts of nature that come under my 'ownership.'    That's OK.   I've never been much of a hunter anyway...but I have to tell you, I'm not sure how I will react to two large eyes in the night.   The one thing that has the ability to hunt me down and eat me is El Tigre.   

Back here in Northern California the only jaguars here are the high maintenance Euro-sedan variety.   For some, a Honda simply will  not do.   But that's OK.  I can always go back to the ranch and carry on a wild sort of remote relationship with my jaguar.   And let those Crazy Californians figure out their modern angst for themselves, ha.    

What is so strange is that the jaguar is so different.   There is a certain size and color scheme for animals in the jungle but the jaguar somehow doesn't fit any pattern.   At some point our paths may cross but if they don't that's OK with me.   Being a clumsy Gringo all the animals can hear me stumbling toward  them  from a hundred meters away.  That's OK by me if there are no big surprises...most animals just scurry out of my way.   

Advantage jaguar. 

Jack D. Deal                       

                                                              

             

            

            

   

                       

Breakthrough Employees

There are employees and then there are breakthrough employees. Once in a blue moon the average company hires someone that can make a dramatic difference in the business. This is usually done in the routine hiring process – someone retires, quits or is fired and a person is hired to take their place.

Sometimes the company acknowledges the presence of a breakthrough employee but very often does not. Co-workers and micromanagers will drive off a breakthrough employee by considering them a threat to the status quo and their own narrow self-interests.

There is no doubt that the right kind of employee can bring huge value to a company. Highly successful companies often build their success around this type of employee. The breakthrough employee:

1. Can help a company make a 'quantum' leap. This means that this type of employee can help a company reach the next level of its strategy.
2. Wants to work in an environment where their skills and knowledge are appreciated and used.
3. Constantly speaks of improvement, opportunity and what is possible. They will 'jump ship' quickly if the company does not meet their needs. Breakthrough employees will tend to go toward opportunities and a good opportunity goes a long way toward keeping them.
4. Considers mere compliance to standards a bad joke that does not apply to them.
5. Has little sympathy with those that just do enough to get a paycheck.
6. Can quickly raise standards. This is another reason co-workers may resent their presence. Envious co-workers often conspire to make it difficult to co-exist.
7. Brings experience and new ideas and are not afraid to share them. Their feeling is –"if we can do it a better way, why not?"
8. Has ambition and thrives on a sense of accomplishment. They have the 'fire in the belly'.
9. Looks for ways to learn new skills and gain knowledge.
10. Can add freshness and zip into a dulled, compliant staff.
11. Can come 'out of the blue' in search of opportunity and employment.
12. Is generally optimistic that positive results can occur.
13. Is open to innovation and sees change as a way to grow.
14. Knows their true value to a company and knows they should be well treated and well compensated.
15. Dislikes anything, including micromanagers that get in their way. If enough obstacles are present they will perceive a lack of opportunity and go elsewhere.

Breakthrough employees are one of the quickest ways to get rapid improvement and growth in a company. Awareness of the breakthrough employee is paramount. Many companies discover breakthrough employees yet let them slip through the cracks to competitors. Although uncommon, the breakthrough employee is not extinct or even rare. But like the value of an uncut diamond, someone has to see the potential!

Jack D. Deal

Infrastructure and Economic Development

Jack D. Deal

On a recent trip to a developing country I became more aware of the influence of infrastructure and its impact on economic and business development. This insight brought out the need for an adequate infrastructure on which to build an economic base.

The final conclusion I made on this particular trip was: without a solid infrastructure the economic development and human potential of a town, region, country will be less than optimal. The consequences are that both economic and human potential is restricted: this loss not only lowers a standard of living but shatters dreams, opportunities and innovation.

Perhaps the most obvious symptom of a weak infrastructure is that people will do what they have to do to survive. On Maslow's hierarchy of needs, the basics like food and clothing come first. It is very difficult to innovate and create when hungry. Economies with weak infrastructures often evolve into subsistence economies.

What are the outward symptoms of a subsistence economy? For one thing, everybody hustles the basics. Everyone opens a small store at their house (or hut) or becomes a street vendor. Basic commodities become cheaper and the margins for selling these commodities become quite small. In the case of food, only large stores selling high volume can generate sufficient margins to become profitable. Smaller stores and vendors make very small margins, just enough perhaps to feed themselves. The subsistence market continues and is even strengthened as more 'entrepreneurs' enter the subsistence commodities market.

Another symptom can be seen in the skilled and semi-skilled labor markets. If an individual has a skill they can trade on, they will do that rather than opt for subsistence vending. The value of these skills may be diminished as the supply outstrips the demand, creating a skilled labor price war. This makes it hard for all but the large and specialty labor suppliers to exist profitably as they are always threatened by those in the market that will do the job for less. As the bidding wars spiral downward the ability of a company to train and help its employees improve is significantly diminished. Service industries such as construction (including plumbing, electrical, roofing, etc), auto-related businesses (such as auto repair and autobody), and transportation (bus, taxi, freight, air) as well as other service industries are negatively effected. On an international or interregional basis these industries become less competitive and more susceptible to outside competition. This slows development and creates another symptom of the subsistence economy: a lack of discretionary income in large segments of the population.

So a population ends up 'hustling' and very likely becomes 'corrupt'. Instead of looking for ways to improve production, services, quality, etc., the preoccupation becomes one of the hustle, scam and the bribe. Here lies perhaps the greatest challenge to economic and human development: how to make an economy be driven by competition/markets and not politics or culture. In this kind of economic environment working harder or even smarter is not enough: the most likely keys to success are who you know and who they know. Again, the net result is that internal markets become less competitive and the external demand for goods and services is diminished.

As a consequence, the subsistence economy creates a small and ineffective tax base. This small tax base restricts future growth, improvements and perhaps worst of all any future tax revenue improvements. Highways, phone systems, shipping, water, sewage, electrical power, food distribution - - all suffer from lack of a solid tax base. Add to the weak tax base an almost certain layer of bureaucratic/government corruption, then all the ingredients are set for a long term subsistence economy. In the globalized economies of the 21st century, the subsistence economies will become increasingly threatened by outside competition and perhaps more importantly less competitive in international markets. Protectionism becomes a political tactic, imports increase along with a negative trade balance, and the prices of many goods and services go beyond the reach of many in that limited economy. The old adage of the 'rich get richer and the poor get the shaft' is a foregone conclusion.

Unfortunately the only growth these subsistence economies can count on is internal and not external ...usually from internal population increases or internal migrations to urban areas. Those that 'have' in these stifled economies often spend all their energy and resources in 'protecting' what they have. Their view is 'I've got mine and any change in the status quo can only hurt my relative position'. The protectionism, corruption, and consequently difficult and high costs of doing business do tend to provide formidable barriers to entry and help maintain the status quo It also develops many industries that are ineffective and less able to provide opportunities --industries that might not survive in open markets. Mature industries, especially in the service sectors, become overly saturated. New industries find the barriers to entry too severe so innovation is stifled. Eventually interregional and international opportunities are lost.

And the cycle is repeated. It becomes not only a way of doing business but a way of life. Each individual in the subsistence system tries desperately to hold on to their tiny chunk of economic advantage. It becomes a cultural issue and hence very slow to change. To an outsider, it becomes incomprehensible in what outwardly appears chaos though in truth it is a well ordered albeit malfunctioning system.

The infrastructure eventually becomes overwhelmed, ineffective and inefficient. By saving on a sewage system up front a subsistence economy then pays a subsequent price in illness and poor health. By corruptly taking tax funds out of highway repair, the costs of transporting goods becomes higher, eroding margins on those goods. Without reliable, cheap phones communication is hampered in the connected world of today further driving up the costs of doing business.

The real tragedy is that a region's greatest resource -- its people -- is wasted. Yet the forces of change, especially changing markets, are creating pressure on weak infrastructures and their accompanying subsistence economies. As these pressures increase we will see the lower level economic participants demand more and more from the weak systems they live under. When those systems become too inefficient then the systems themselves will be questioned. When those questions and pressures become too great an eruption of social unrest and quite possibly demands for a 'structural reorganization' will occur. Those that have their stakes in these weak economies will not give up easily and the friction will be enormous.

As we approach a new business era we should all be aware of the unlimited opportunities the New World will bring. But we must be very much aware that these opportunities will not apply to all. Unfortunately we must acknowledge upheaval as these old subsistence cultures die and are transformed at what may be a very high cost. What these emerging societies will look like is not certain. Yet, we should not be surprised when this happens...

Jack D. Deal