"Management consultancy Bain & Co. has opened a recruiting center in the Second Life virtual environment. Earlier this month the firm held an open house in Second Life, at which students attended from Harvard Business School, MIT's Sloan School of Business, the University of Chicago Graduate School of Business, and the Kellog School of Management at Northwestern University."

I heard about this article on Bain Consulting's new recruiting techniques and was absolutely floored.  Are they that desperate for recruits?  As far as I know, if you really wanted the job you'd show up at recruiting events in REAL life.  The consultant that thought of this idea must think he's really clever.  Maybe they should open virtual recruiting centers on World of Warcraft and have recruiters as posed as poker players on Pokerstars as well, I know a bunch of really smart people who play those games who may be interested in a second career in management consulting.

Or maybe they are recruiting in these virtual worlds to create a virtual consulting group that can be outsourced and consult management from their desktops all the way on the other side of the world? 

You want to own your own business? We all see oil prices shooting up at the gas pumps so how about starting your own gas station?  Here are some things I've learned from successful technology entrepreneur who has diversified his retirement funds into a gas station here in San Diego. Oil may sound like pure profit, but it really isn't all that pretty for gas station owners.

$.07/gallon - We may be paying $3.80 per gallon for it, but they are only making $.07/gallon. Thats about 2% margins. This is on the high side. I have heard of others making $.02/gallon. With about 450,000 gallons sold per month, this equates to about $31,500/ month in gasoline sales revenues.  That looks like a big number, but its not all profit. Theres still plenty of overhead to cover.

Convenient store - This is the true money maker. Selling those cigarettes, gatorades and dirty magazines rakes in about $120,000 per month.  The gas pumps draw 'em in but the candy bar's make the money. Another classic example of making people go to point C  to get them from A to B (i.e. movie theaters and popcorn/soft drinks)

Car wash - Another profit machine for the gas station.  This is an automated system with pretty low upkeep ~$2,000/month.  Each car costs about $8.00 resulting in a monthy profit of ~$8,000.

The Bottom line: Theres a lot of money being moved around, but in the end the net result is about break even. Sure you're not in the red, but its not the cash cow you thought it was when you invested a few mill into it.

Conclusions: Retail gasoline, like everything else, is super competitive. You need a massive up front capital investment to get started.  You need to run three separate entities - gas pumps, retail, and car wash just to make a little profit.  Location and name brand gasoline will certainly boost your profits - there are definitely many very profitable gas stations out there, they are the minority.

Don't think that having technical skills is enough to power you through your career.  Unless you are an insane engineer with 99th percentile genius, you'll need to diversify your skill set.  Writing is one skill that you will definitely need and will open up a whole bunch of career opportunities for a technically trained newly grad.  For instance, being an OK writer with a technical background has given me the opportunity to draft up a business plan for a potential start up.  Writing is just something that you can't avoid. Heres a good article on business writing.

When can I expect to hear from you?

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Check out College Grad Resource site for more questions tailored to different members of the company you're interviewing for.

It's not about becoming a millionaire anymore, its about becoming a pentamillionaire these days.. How'd these people get there?

"The vast majority — 80% — either started their own business or worked for a small company that saw explosive growth. And almost all of them made their fortune in a big lump sum after many years of effort."

A quote that reinforces a point I was making in the Kobe beef entry:
"today's very rich say that money itself wasn't much of a motivator."
(thats always easy to say after you've got 5 million in the bank. )

To do list:

1. Get in early.
2. Fund up to the limit.
3. Be careful of going on savings autopilot.
4. Don't let a new job torpedo your old 401(k).
5. Diversify. Diversify. Diversify.
6. Think before you borrow.
7. Consider a Roth 401(k).
8. Take advantage of catch-up contributions.
9. Scrutinize the 401(k) before your hired.
10. Cash out wisely as a retiree.

Source: 10 Golden Rules for your 401(k)

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Not to do list: The 5 Biggest 401k Blunders

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Pretty useful stuff. These first few years are critical to our long term retirement planning. It's the magic of compound interest.

If your in my shoes, you've probably been hearing about factoring in 401K benefits from companies into your job search quite a bit.  But what if you don't have a 401K yet and want to get started building your nest egg for retirement with a little money and savings that you've set aside?

First of all, you should take that money out of your whimpy little bank account giving you a weak interest rate and move it into a high yielding online money market savings account. But after you do that, here's some investment options and ideas that you can consider.  I don't necessarily agree with all of them, just an FYI.

 

Pinkberry is under fire as expected - when you're on top, everyone wants a piece of the action. Multiple lawsuits have been filed against the Pinkberry franchise questioning whether their product is actually made of yogurt. 

Don't you just love America? You have the freedom to pursue the American dream. Start a business. Be your own boss. But remember, any jealous/dissatisfied customer also has the freedom to pursue a lawsuit.  Maybe Hwang and Co. should have cashed out with Disney? Or maybe not, this is probably more free publicity and advertising for Pinkberry. No such thing as bad pub, right?

This is just something we need to keep in mind when we start our own businesses.  If you don't want to deal with the issues unrelated to your core competence then you should just keep your day job - entrepreneurs have to be able and willing to deal with anything.

Here's a suggested reading list of books about entrepreneurship and investing that I will definitely be checking out this summer.

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• Founders at Work
• The Only Three Questions That Count
  
• Hackers and Painters
• Confessions of a Street Addict
• The Dhando Investor
• The Wisdom of Crowds
• Grande Expectations

Source: Infectious Greed

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I had many choices to start my blog with. Even thought eponym was a new service with few users, I thought it would be a good place to start at because of the cool features that even a newbie like me would be able to use.  In addition, I could have a custom web url that would be redirected to this blog.  You get all that for a low price of $4.95 / month.....or so I thought.

Anyways, since I paid for the service about 2 months ago, I have had 0 success trying to contact the support group. Well maybe not 0, they DID respond to my first email inquiring about activating certain features. However, since then, I have heard nothing from them. I think I've sent them one follow up email per week for the past 2 months... no one has responded. I've tried calling their customer support......no one picks up.  Are you guys still in business?  Greg Billingsley? Can you respond to my emails? If not, could you leave a comment so that I know that Eponym is still in business?

I wouldn't know about this, but I hear that blogging can be very profitable.  Some companies are actually hiring people to blog for them. Check them out if you want to start a blog but don't know where to start!

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Option 1: http://www.vault.com/
Blog on Vault and Get Paid!

Dear Vault Member,

Vault is looking for talented, semi-obsessive, bloggers to write and collect news stories and information in the following areas:

• Investment Banking/Finance
• Management Consulting
• Law
• MBA Admissions
• Law School Admissions

Blogger duties are as follows:

• Scour the Internet for interesting and relevant news articles on a daily basis, commenting/captioning as necessary
• Write 2-3 original articles/observations about your subject on a weekly basis.
• Break news as available (merger rumors, applications posted, etc.)

If you have your own blog or web site, that's a big plus. This is a paid position; we expect it to take approximately 10-15 hours a week. You will be communicating with Vault editors on a regular basis.

To apply, please send a CV, a cover letter, a writing sample, and a link to your blog and/or web site (if applicable) to blogs@vault.com. We regret that we cannot respond to all applicants.

Apply to be a Vault Blogger
Go to Vault's Message Boards, the Original Workplace Community

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Option 2: TJ's Weblog: Tech, VC, Entrepreneurship, etc
"Creative Weblogging is hiring quite a number of bloggers right now and you will find a great learning experience working with us.

If you want to give it a try - here are some rules:

(1) We engage experienced bloggers only. If you do not currently have a blog, we recommend you set up a free blog account at Blogger.com or Wordpress.com. After you have been blogging for 60 days, please contact us again at that time.

(2) You must be able to blog on a regular schedule - ideally 10-15 posts a week. If you post less we can also arrange for a different agreement.

(3) We look for your passion for a entrepreneurship and the VC industry. Show us how much you LOVE a particular topic.

(4) We also look to see how enthusiastic you are about blogging and the blogosphere - we want to see that you blog regularly and often. We also want to see that you participate in the blogosphere through commenting and other actions. Blogging is a participation sport!"

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EXECUTIVE LIFE

Wagyu, The Foie Gras Of Steaks

If you think prices for a tenderloin or a T-bone at fine steakhouses are
steep, try ordering wagyu beef. Servings of the highly marbled delicacy,
considered ambrosia for carnivores, might run as much as $20 an ounce. Then
again, because wagyu has a taste and texture more like foie gras than USDA
prime steak, a small portion will do just fine.

The beef comes from Japanese cattle that are treated to regular massages and
a diet of grains and beer, at least in Japan. Wagyu cattle are now raised in
the U.S. and Australia, although Kobe beef, considered the best of wagyu,
comes from a specific region in Japan.



The Japanese typically eat wagyu in thin slices grilled rare or dipped in
simmering broth, but chefs in the U.S. keep inventing ways to serve it. Kobe
Club in New York offers "flights" that allow you to sample Kobe filet, strip
loin, and rib eye. The price is $395, but it's enough for two. At Cut in Los
Angeles, chef Wolfgang Puck's signature dish is Kobe beef short ribs for a
relatively modest $39.

Others have given the pricey delicacy a more homey touch. Thomas Keller has
served wagyu meat loaf at Ad Hoc, a more casual spot near his famed French
Laundry in Yountville, Calif. Ketchup, a sleek L.A. grill, features mini
Kobe beef hot dogs (four for $12), while a Kobe beef rib sloppy joe ($15)
graces the menu at newly opened Presidio Social Club in San Francisco. Why
the growing popularity of wagyu? With caviar and foie gras under siege, says
restaurant consultant Clark Wolf, "we need some luxury protein to help us
feel special."

By Amy Cortese
Source: Businessweek Online

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Is there a point to this article? Is the purpose to give average joe's a glimpse into the finer things in life only accessible to the wealthy exec? Is it to encourage everyone to work harder and advance their careers so they can eat Kobe beef rib sloppy joes for lunch everyday? Or is it simply an ad campaign by Wagyu beef suppliers trying to push their products mainstream? If anything at all, it simply encourages us to act rich before actually being rich.

Personally, articles like this don't really mean much to me.  Gaining access to the finer things in life do not motivate me to be an entrepreneur or to advance my career.

What really motivates you? Does a fancy cut of meat drive you? Think about before you jump in...

A Pinkberry just popped up in my hometown and I reluctantly went there twice this past weekend.  $5.95 for a medium 3 topping green tea yogurt. Sounds like a ridiculous price to pay for frozen yogurt but if you look at the $5.00 Grande Frappucino you bought at your local starbucks this morning, the yogurt's a bargain. Anyways, whats going on with them anyways?

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" Interested in a Pinkberry Frozen Yogurt franchise? Well, you may need to wait a few more months to even obtain a franchisee prospectus from Pinkberry, Inc. Here is the quick rundown of What’s New in the thriving business:

• The word is that Pinkberry, Inc. has been acquired by one of the Walt Disney’s Company as of December 2006.
  Update: The acquisition has not been finalized as the owners of Pinkberry did not accept the offer.
• The two founders, Hye-kyung “Shelly” Hwang and Young Lee are now (or could be) successful multi-millionaires. Congratulations."
  

Source: http://www.kwak.org/blog/pinkberry-yogurt-franchise.html

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Even though the deal isn't official, it looks like Pinkberry might not IPO after all.  Not sure what the terms were, but I heard that it was something in the ball park of $10.6M.   Sounds kinda low at first glance doesn't it?  The founders sure think so.  But judging by the amount offered, it looks like Disney saw it the way I saw it.

It looks like there has been some talk recently on the blogosphere regarding the subjects of age and entrepreneurship. 

To get you up to speed, please take a look at these blog articles:

The Mid Life Entrepreneur Crisis

Mid Life Entrepreneur Crisis (continued)

The Age/Entrepreneurship Myth

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According to the 2006 Global Entrepreneurship Monitor report ( from Paul's site), more than 50% of entrepreneurs are between the ages of 35-55.  The idea that entrepreneurship is something that experienced industry professionals do at their mid life crisis may still hold true (your parents may fit this mold), but as you can see, there is a sizeable portion of entrepreneurs get started even earlier - 20-30% get started between 18-34. 

What does this mean to me? 
Many newly grads feel pressure (from our savings accounts and parents) to find a safe/steady job and take whatever you can get while not really knowing what you want out of it right now and in the long run. The choices seem so limited don't they? Then how about entrepreneurship as a career choice? As the numbers suggest, its never too young to do it. If you aren't sure what you want to do now, why don't you plan for entrepreneurship a couple years down the line?  What kind of start up business would you like to be involved in a few years from now? What type of job coming out of college would help you build the skills, network and knowledge for that kind of business? While not all types of businesses are ideally suited for early 20-somethings (venture backed tech start-ups), there are plenty of other low entry barrier businesses that you can plan for and build (i.e. Pinkberry).

A lot of us business minded/technically trained newly grads are drawn towards a career in business development.  I really had no clue what a biz dev guy did when I first heard about it, but I was drawn to it because it had the word business in it - not engineer, sales or marketing.  So what do they actually do?

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Career Overview

Business development is a combination of strategic analysis, marketing, and sales. Business development (or "biz dev") professionals can be involved in everything from the development of their employers' products and services, to the creation of marketing strategies, to the generation of sales leads, to negotiating and closing deals.

The job of the business development professional is typically to identify new business opportunities—whether that means new markets, new partnerships with other businesses, new ways to reach existing markets, or new product or service offerings to better meet the needs of existing markets—and then to go out and exploit those opportunities to bring in more revenue.

Since the field is a cousin of marketing and sales, even when an organization doesn't have a stand-alone business development department or employees with the phrase "biz dev" in their job titles, you can bet that folks in sales and/or marketing are handling business development responsibilities. You can find biz dev jobs in all industries—at everything from tech startups to huge pharmaceutical companies. What the work entails, exactly, depends on how big a company is and what industry it's in.

What You'll Do

Your job in business development may involve any or all of the following:

The first aspect of the business development professional's job is typically to identify new business opportunities.

This means several things, in terms of what you'll do. First, you'll need to stay abreast of what's happening in your industry—what your competitors are up to in terms of products and service offerings, pricing, marketing strategies, and so on. Second, you'll need to make sure you understand what your company is up to on an ongoing basis—to understand your company's strategy, how your company compares to its competitors, and how it's perceived in the marketplace. Third, you'll need to understand the market for your company's offerings—who comprises it, and how it may be changing.

Source: Wetfeet: Helping You Make Smarter Career Decisions

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In a technology environment, business development will often times lead you back to academia in search of new technologies and business opportunities.  You'll be responsible for finding and understanding how new pieces of technology will fit into the bigger company picture, and negotiating licensing opportunities with the schools. Your counterparts will be the senior licensing officers at the university's tech transfer office.

So as part of my due diligence regarding the subject of a career in business development, I spoke to a Senior Licensing Officer, Barry Gelernt,  from UCSD Tech Tips, who has obviously dealt with a lot of Business Development Executives.  BD, like venture capital, like seemingly all good jobs , is something you do later on in your career.  It is a position that requires great networks, thorough domain knowledge and superior people (sales, negotiation) skills.  In addition, for certain industries like biotech, it is almost a requisite to have a PhD to be able to understand all the technologies you will be positioning your company acquire. However, he did suggest some things that I could do now to lead me towards a career in BD.

a.) Find an industry that I want to work in.
b.) Start career in sales or engineering (Sales will help you build industry knowledge, people skills, and network - engineering will help you..... not too sure why I'd want to be an engineer.)
c.) Take a patent BAR exam to become a certified Patent Agent (You'll be dealing with a lot of intellectual property issues in BD.)
d.) Get an MBA (Something I can't really do right now, but down the line as well. If you don't have a PhD, you gotta have something to put behind your name don't you?)