TRADER OR BUSINESS OUTLOOK

I found that approaches / outlook different people hold for work or even life can be categorized into two distinct buckets : Trader mentality or  Businessman mentality . The way I am using this terminology here ; the words : Trader , Businessman , do not denote actual professions they represent , but to describe ‘ mentality ‘ or ‘ approach ‘ with different people

Since I believe ; ‘ What you do ‘ is a function of ‘ How you see ‘ ; people with these two mentalities have two distinct , different pattern of behavior , let’s see how

  • Revenue / money drive :
    • TRADER : is focused on how much money he is making … not necessarily from where it is coming or if this has any consistent direction . He should be happy , as long as xx number of transaction giving yyy revenue is clocked every day . As a result , a Trader may not develop or may not be known for any skill ( e.g. a Fruit seller , but not as Mango Expert or Orange expert ) As a generalist , trader will neither command a Brand , nor a premium – will be moneyed , but he is faceless to his customers & customers are faceless to him
    • BUSINESSMAN : is focused on a ‘ Line of Business ‘ … has a sense of purpose & direction & getting deeper into it , will eventually develop that skill in the desired field & will be known for his expertise . Premium comes from being a specialist
  • Transactional :
    • TRADER : As long as he is meeting the revenue target it does not matter if the same source / customer is coming again & again . It could be a completely different set of customers every day , as long as the revenue output is met . Way of dealing is transactional
    • BUSINESSMAN : Repeat sales is very important for the Businessman . It is important for him to have many of same customers to come again & again . Way of dealing is transactional
  • Profit outlook :
    • TRADER : Has to maximize profit in EVERY transaction …. Since business for him is a Sum of individual transactions . That is why a ‘ Trader ‘ says ; “ Goods once sold will not be taken back “
    • BUSINESSMAN : Optimises profit for the business over a period ; not for each transaction , every day . Hence a businessman may not mind taking one step back to go two steps forward
  • Focus :
    • TRADER : Focus is clearly on self . Likely to be rude / arrogant & ego driven
    • BUSINESSMAN : Focus is customer . Likely to be polite , accommodative,not  ego driven
  •  Now if you understand the two approaches clearly , just think : not just in business / work ; but also in our personal life , don’t we see people using these two different approaches in handling people & relationships
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One thought on “TRADER OR BUSINESS OUTLOOK

  1. Thanks Ajit . Just sent you a mail .
    If there is anything , I can add value to ; please feel free to .
    You can also reach me on : yatinsamant@handiman.in , +91 9986034443
    Very nice analysis of approaches and nicely linked logic with our approaches in our personal life.

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