A Strong Business in a World of Challenges
In business and in life, one thing remains constant, change. For the digital business such as the V-tailer the big three challenges of change might be considered to be the three T’s, trends, technology and tax. Fortunately, unlike legacy businesses, in the digital space we have extraordinary scope to build strong diverse pipelines of products and services that, although not immune to the challenges of the three T’s, can at least navigate the droughts and storms ahead.
Assets are defined in two ways. They are in essence either something that has a capital value or is a cash producing item. In the digital space these are often in the form of intellectual property, (IP). IP such as domain names, brands, trademarks, logos, photos, videos and merchandisable content. Intelligent strong companies tend to hold such assets in a separate entity away from the operating company. They do this to protect themselves from taxation, litigation or economic risk exposure to the trading entity. If the global brands work this way, it’s a fair assumption that IP probably should be separate and secure.
Imagine you have a globally recognised coffee company, let’s call it “CostStar”. The company might have thousands of coffee shops, these have leases and rental liabilities. Then there are the staff liabilities, these are people who need to be paid, might sue you or damage the day-to-day operations in one way or another. Even the most digital of empires can be impacted, recently Facebook went offline, the likely cause being human failing. Just like CostStar, Facebook holds IP in a special entity away from risk. The key to building a strong company is protecting intrinsic value from risk.
Watch Football, Drink Coffee?
The way we watch football has changed thanks to technology. So too has the way we drink coffee thanks to technology and distribution. These days we can watch the biggest clubs in the world 10,000 miles away from the pitch thanks to streaming and a day pass. In the same way we don’t need to visit a CostStar coffee shop to drink their coffee, we might order it from Uber Eats, buy a branded coffee product in the supermarket or pick up a cup of coffee from a petrol station. All of these new channels are licenced branded products simply distributed through new channels. Imagine what you can do with your products and services with video shopping via zoen.shop. Reaching new consumers in new ways expands the value of the IP and exploiting the hard-won goodwill you have created.
As we see ever increasing taxes in advanced economies munch their way through the bottom line, we consider that running a strong business in an ever-changing environment requires ever more consideration of our protective approach to profit. The brands that surround our world are often licensed to the local places we buy them. Let’s reconsider the business model of CostStar. The trading entities in each market will actually pay a licensing fee to the IP company where taxation is advantageous. This means that the legitimate cost to the trading company is a transfer of a payment value. If you can rent an office or a store, you can rent the IP and this keeps your trading in robust financial health. Local costs should not threaten the true economic value of assets. Afterall, a strong business contributes to society, paying wages, rents, taxes in the locality only if it is alive. Businesses that end trading benefit no one.
zoen.shop can help you reach consumers with friendly faces in more places by leveraging technology and brands. The ability to get face-to-face from a distant space allows strong, robust business to structure many business models in an ever-changing environment. Just as a lawyer or an accountant can help you protect IP assets or legally and legitimately optimise cash flow and taxes, we at zoen.shop are here to help you bring your consumers face-to-face via video shopping. We want to help you reach more places than ever before. We humanise the shopping experience once again, we do that through innovation and technology. Let’s make your business stronger by making your customer reach longer.
Let’s get you up and running for V-tail, zoen.shop, ready to meet you face-to-face, because video channels bring us together.