What type of eCommerce Entrepreur are you

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Having experience in behavioral science keep coming up with this scenario based on working with ecommerce incubators launching startups.

1) Do you want 100% of $100k working 80hrs per week
-or-
2) Do you want 80% of $200k working 60hrs per week
-or-
3) Do you want 50% of $500k working 40hrs per week
-or-
4) Do you want 20% of $1m working 20hrs per week
-or-
5) Do you want 0% of $unlimited working 0hrs per week

Amazingly almost everyone chooses 1), yet 1) only generates $25/hr and cannot easily be scaled whereas 2) generates $50/hr, 3) generates $120/hr and 4) generates $190/hr which has almost limitless scaling. 5) is funny as that's a permanent job.
#ecommerce #entrepreur #type
  • Profile picture of the author winsoar
    I would choose option 4.
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  • Profile picture of the author CreativeWest
    Thanks for the input, very helpful, let's see who else responds.
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  • Profile picture of the author joelraitt
    I dont think you're going to get to many answers when you explain the math below!
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    Work smart, work hard, never give up. Learn with me here: http://www.joelraitt.com

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  • Profile picture of the author Skipper
    Joel, maybe there is a follow-up in the making: "If you are type #4, buy my WSO".
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  • Profile picture of the author CreativeWest
    @joelraitt let's see who else responds.
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  • Profile picture of the author LABEShops
    I want 100% of everything I make and own 100% of everything, but don't work 80 hours. I work about 3-6 hours a day and enjoy my life otherwise. I take off when I want, work when I want. Being an entrepreneur to me is about working smarter, not harder, and enjoying the process and your life, not just slaving away. It's about working for myself from home, spending time with family and my furbabies, and loving what I do. Not about the hours or how much money I make to me.
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    • Profile picture of the author Lipipaliwal
      Banned
      Originally Posted by LABEShops View Post

      I want 100% of everything I make and own 100% of everything, but don't work 80 hours. I work about 3-6 hours a day and enjoy my life otherwise. I take off when I want, work when I want. Being an entrepreneur to me is about working smarter, not harder, and enjoying the process and your life, not just slaving away. It's about working for myself from home, spending time with family and my furbabies, and loving what I do. Not about the hours or how much money I make to me.
      Well, I appreciate your views. But, my friend, tell me, if you are thinking about a great entrepreneur and want to earn huge money, then you need to concentrate your business as well as different procedure first. If you won't put your efforts in your business, then how can you earn huge money as well as profit in business.
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      • Profile picture of the author LABEShops
        Originally Posted by Lipipaliwal View Post

        Well, I appreciate your views. But, my friend, tell me, if you are thinking about a great entrepreneur and want to earn huge money, then you need to concentrate your business as well as different procedure first. If you won't put your efforts in your business, then how can you earn huge money as well as profit in business.
        I make more than enough money for me - I bought a new car last year, a house 10 years ago, have no bills or debts. "Huge" money is not as important to me as being happy. And working 80 hours is not my idea of being happy.

        To each their own, though.
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        Owner of LABEShops.com & 20+ Niche Online Stores as well as Scifispace.com and other sites. Recommended Host: Evolve

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  • Profile picture of the author hbennick
    A mediocre outside sales rep can make $100k in 45 hours a week, with full benefits and consistency. Why go through the hassle of working 80 hours a week online for that?

    Originally Posted by CreativeWest View Post

    Having experience in behavioral science keep coming up with this scenario based on working with ecommerce incubators launching startups.

    1) Do you want 100% of $100k working 80hrs per week
    -or-
    2) Do you want 80% of $200k working 60hrs per week
    -or-
    3) Do you want 50% of $500k working 40hrs per week
    -or-
    4) Do you want 20% of $1m working 20hrs per week
    -or-
    5) Do you want 0% of working 0hrs per week

    Amazingly almost everyone chooses 1), yet 1) only generates $25/hr and cannot easily be scaled whereas 2) generates $50/hr, 3) generates $120/hr and 4) generates $190/hr which has almost limitless scaling. 5) is funny as that's a permanent job.
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  • Profile picture of the author joelraitt
    @creative West - lots of helpful answers I see! haha sorry i couldnt help it.

    An interesting question would be in the per hour 'earnings' were something like

    Option

    A) 300k a year to sit in an office and not aloud to do anything for 8 hours a day - browse the web, that's it
    B) 50k a year working 2 hours a day, the rest is free time
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    Work smart, work hard, never give up. Learn with me here: http://www.joelraitt.com

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  • Profile picture of the author gripawa
    Id choose number 1
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  • Profile picture of the author CreativeWest
    A rational based person will look at the context and understand it makes sense so will comment on their choice. An irrational based person will either ignore it completely or as their first statement make a negative comment.

    Why does this happen, well the irrational don't trust anyone and don't value time so by default they are generally restricted to 1) & 2), any neutral to positive comment would show them in a negative light. To offset that they either ignore it or they make a negative comment to offset their own trust/time issues (obfuscation).

    This is the interesting part, an irrational based person can only use irrational methods whereas a rational based person can use both rational methods and irrational methods assuming they are knowingly doing it. Many people starting eCommerce sites don't understand this simple fact being led towards 1) or 2).

    Given that most customers these days are irrational buyers, no customer lifetime value, chasing the next trendy item, cheapest wins, it is a race to the bottom. Most of the providers and the existing retailers use this method. If you use 1) or 2) every month your time is being eroded chasing the customer. If you use 3) or 4) or 5) you have options open whether to chase the customer and/or only deal with the rational customers or stay out completely.

    That provides a very nice scenario, you can loss-lead the irrational customers by funding via the rational customers so you get to increase your sales exponentially on both sides by offloading work or using higher grade tools. An irrational seller has no option to do this working longer hours for the same or less, that determines how profitable you can become whilst still working a 20hr or 40hr week and ultimately what type of entrepreneur you are.
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