Business Ideas: Learning from Geniuses – How to Make Money

Do you know the main difference between outstanding and mediocre entrepreneurs? They didn't work on the current system. Instead, your business ideas became a new system for doing business. Therefore, we propose to look at famous business geniuses not as billionaires, philanthropists and playboys. And the inventors? And not just specific things, but also the ways in which they are produced and promoted.

Let's talk about three exceptional entrepreneurs and the business innovations that propelled them to the pinnacle of success.

Henry Ford's Business Ideas

Henry Ford is known as the man who turned the luxury car into a means of transportation. Therefore, the emphasis on its merits is not on a specific car, but on the method of its production. If you want more details, read his bio on our blog. Or Henry Ford's own book, My Life, My Achievements.

Once upon a time, the industrial revolution began in the world. One of its elements was the emergence of mechanized production. People shared the stages of manufacturing an object not only among themselves, but also among special machines. We don't know who was the first to come up with the idea of moving from a factory to a factory. But we know for sure that the mass production of cars on a conveyor belt is the work of Henry Ford.

Henry Ford invents the automobile

No, of course, Henry Ford didn't invent the car itself, but its mass model. The first car transported people without the participation of Mr. Ford. When creating Ford, his business ideas didn't come from scratch. Innovation elsewhere. Henry Ford's main idea was that the future belongs to cars accessible to all. So the car must have an increasing price. And the production of such a scale to satisfy every request.

When Ford Motor Company opened, its CEO thought of every detail. He took care of not only WHAT to release, but also HOW exactly.

Henry Ford Production: Machine and Conveyor

When a boy named Henry lived on a farm, he was upset by a curious circumstance. He believed that farmers employed more labor than they received the product. As an adult, he built a grain thresher. She worked on gasoline and saved the farmer's time. But the real time savings started at Henry Ford's own factory. He took as a basis a promising direction – the transporter.

If you want to sell an expensive thing for a low price, you need to simplify your production. There was an opinion that a car is not a toy for you. You can't just pick it up and do it without high qualifications and a long build. And Ford said yes. Henry Ford production moved to the assembly line. Each worker honed their skills to the ideal in a specific facility. So he skimmed on experts. Imagine: the engine was prepared by 84 workers, and each one of them did something different! The work flowed, and the car was made of many parts. Wages at Ford Motor Company factories were rising. Time to manufacture “Ford” – decreased.

Henry Ford's assembly line in just a few months reduced the time to assemble a car to 2 hours. This speed improved the lives of workers. So they had the usual 8-hour workday and paid vacation. And all mankind has an economy car.

Ford's championship in the automotive industry was a record time. But for the world, its merit is not just in the economy car. He launched the production of complex equipment on the conveyor. And it made life easier for many inventors.

Aizeka Zinger's business ideas

Isaac Singer is known as the creator of the famous sewing machine. It is famous: a patent for such a technical innovation was issued more than once. But these were bulky and uncomfortable designs. It was difficult for the seamstresses to work for them. And housewives – and even more. Singer improved the finished model and took it to the top of sales.

What he really invented from scratch was the franchise business. Franchising most often goes by the name of Ray Kroc – the man who gave the world McDonald's. If you are interested in his story, you can find out about it in our material. And now you have the secrets of a franchise founder.

Zinger sewing machine

It's funny to say, but the invention only took 10 days. That's how long it took the young talent to stand out in the light industry. Isaac Singer was based on a ready-made sewing machine. I analyzed all its shortcomings (and believe me, there were many). And I figured out how to fix it. As a result, the machine has a foot pedal, a plank table and a horizontal shuttle. And seamstresses have free hands to work with, a comfortable surface and seamless sewing.

By the way, the price of a Singer sewing machine has seriously increased over time. So, if your grandmother has an “old woman” in the attic, congratulations. You just found a very quick and easy way to make money.

Singer's sewing machines were blown apart like hot cakes. New business ideas were needed for the mass sale of goods. And Isaac Singer came up with franchising.

Franchising as a new business

The peculiarity of equipment production is that it tends to break down. Customers need vital service with repairs and other services. Isaac Singer has successfully sold his cars in every state in America. But he failed to establish a quality service for the equipment. However, he found another way out of the situation – franchising.

The businessman began to negotiate the rights to sell and maintain his cars. And they bought the rights regularly, because Singer's business was going up. That's how the first distributors came about. And this is in the mid-19th century, by the way. In the end, both the case itself and the Isaac Singer franchise left their mark on history. And doing business as franchises helps companies become global corporations.

As you can see, Isaac Singer's business ideas were so good that they quickly spread around the world. And over time, they became even more relevant than your sewing machines.

Carl Rehnborg's business ideas

It's hard to imagine modern business without network marketing. But the name of its creator, Karl Rehnborg, is known to few. Indeed, creation has surpassed the creator. Meanwhile, the story of the emergence of MLM (Multi-Level Marketing) is a lot of fun. So here are some facts about network marketing and its emergence.

Network Marketing: A Prison Business Idea

Carl Rehnborg, representative of the American company in Shanghai, has landed right on the millstones of history. The armed coup and the new Chinese dictatorship sent him and hundreds of other Americans to prison. Conditions for prisoners were very harsh. A chemist by training, Rehnborg quickly realized that a prisoner's diet wouldn't last long. He started extracting vitamins from improvised things. Not only local plants were used, but also rusty nails. The chemist carved them into his plate, convincing the inmates of the need for iron. Most laughed at him, and some believed and did the same. It was they who managed to survive imprisonment and return to their homeland.

Now Karl Rehnborg had strong evidence in favor of vitamins. A few experiments – and the miracle drug is ready. But a formula and a business idea are not the key to success.

Why network marketing?

Karl Rehnborg distributed his first vitamins free of charge to friends and acquaintances. But they ignored his invention. So Rehnborg asked for money for his supplement. And people are interested in the product! Furthermore, nutritional supplements have proven to be truly beneficial. Customers told friends about the vitamins, and those friends told theirs, and orders grew. Thus, Karl Rehnborg came up with the organization of the world's first network business.

Carl Rehnborg founded California Vitamins. And he invited his friends to distribute his product for the money from the sales. In addition, payments were also made to attract new sellers. The scheme proved so effective that the business literally took off. Other entrepreneurs have learned about network marketing as an entrepreneurial phenomenon. And many followed that path. An added benefit – MLM saves money on advertising. If Henry Ford said he was ready to spend $$ 3 in 4 on advertising, Karl Rehnborg got it for free!

By the way, not only did Rehnborg's business ideas survive to this day, but also his company. True, it is now known under the name “Amway”.

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Do you know of business ideas that have changed the way we do business? Share information in the comments: we'd be happy to hear from our readers. And, of course, subscribe to our newsletter so you don't miss new material.