Wednesday, March 18, 2009

Think Big - Pipeline your dreams!

There are multiple versions of this story on the web. This is a short form.
===
There once was a small village, in a town far, far away that had one tiny little problem. They didn’t have a water supply. The only time that they could have water was when it rained. To solve this problem, two men from the village volunteered to find a way to provide water for the people.

The first man, John, immediately bought two large buckets and started going back and forth to the lake that was about a mile away. He placed the water into a huge concrete tank that the village had built. Each morning, he would get up early before anyone else so there would be a water supply for everyone. For five days a week, John worked diligently. He was having great success the first few months because the other man, Fred, seemed to have disappeared.

Where was Fred at for all of this time?

Well, Fred wrote a business plan to run a steel pipeline from the lake to the village. He hired contractors and found some investors that were willing to pay all of the initial costs. He even hired a president to run the company.

Once everything was set up, Fred charged 75% less for his water than John. He could also provide it 24/7 unlike John who always took the weekends off to rest.

To make up for this, John immediately dropped his prices to match Fred’s. He also bought two more buckets and started carrying four buckets instead of two on each trip to the lake. He then hired his two sons to work weekends so the village would be in constant supply.

John worked very hard all of his life moving buckets of water from the lake to the town. Fred, on the other hand, didn’t really need to do anything. Everything had been set up in the beginning. Fred realized that if his village needed a water supply, there were probably many other villages just like it that needed water.

He went out with the same contractors and investors and started building water pipeline to several other villages. He simply hired more people that would do all of the work. Not only did Fred build a pipeline to run water to the villages, he built a pipeline that poured money in his bank account.

No comments: