The Four Dimensions of a Hannaian Royalty Publishing Business

Dimension 1.....To make profits and bonuses from the sale of the physical primary entertainment products, Internet publishing products, Industry specific educational packages, advertising sales, and conference promotions.

Dimension 2.....To make commissions from building a network of royalty and network publishers, and vendors.

Dimension 3.....To derive royalties and accumulate equity from the acquisition, development, and publishing of your own intellectual properties, and from co-publishing the intellectual properties of Hannaian, and other publishers.

Dimension 4.....To receive dividends and accumulate equity from trading and investing in the publicly traded stock of other intellectual property based companies.

Finally, never forget that intellectual property is the backbone and engine behind all modern business. In other words, the real money makers and controllers of the financial world are the individuals and companies who control the intellectual properties in the particular business or industry. Most of these people are not as visible as Bill Gates, the classical example. However, if and when you look behind the scenes of any financially successful operation you will always find them. ‡

As a business grows and makes money it should naturally and generically become a valuable asset in its own right, building on its name and goodwill. If it is the right type of business, like an intellectual property based business which also accumulates equitable holdings in its products and proprietary processes, it should build even greater equity. After years of working a business, you must end up with something that you can sell and which someone else would want to buy. If a business has none of these attributes your years of working in it will not give you anything more than a good job would, assuming you can even afford to provide yourself with the extra benefits many jobs still provide. Any real business venture you undertake should therefore build equity, since without it there really is no future, and your time and resources will almost certainly be wasted. ‡

The most valuable and profitable elements of modern business are built around intellectual property holdings. These assets which a business holds in copyrights, patents, trademarks, servicemarks, licenses, and various contractual rights gives the business control of valuable or potentially valuable proprietary processes.

Ironically the intellectual property base or holdings of most businesses are invisible to the casual observer who usually perceives only the physical products and services as the value or profit base of the business. This is natural however because although almost all businesses have some intellectual property base, only very few have an intellectual property base or holding which has true potential value. The public manisfestation of the business is usually its physical products and presence.

The real importance of intellectual property rich companies is that such businesses have an extra base to develop equity, and royalty type income separate and apart from what may be perceived as their primary business.

Such businesses also benefit from enhanced opportunities for capitalization from savvy investors who realize that their investment in such companies has the extra level of protection provided by the intellectual property base.

In modern business today the intellectual property holdings or base of a company may be many times more valuable than its physical properties, products and services. Profits from these intellectual property holdings are usually much higher than profits from the sale of the physical products which carry the heavy overhead of manufacturing and distribution.

The sale or merger of business assets may be totally contingent on the intellectual property factor. Companies which have a valuable intellectual property base are much more attractive for investment or purchase purposes than their competitors who may provide very similar physical products and services, but who are intellectual property poor.

The control of proprietary intellectual property rights has become more important in modern business as the global economy becomes entrenched and domestic and international laws protecting these proprietary rights become more prevalent and sophisticated. The unfettered use of most proprietary processes and rights are becoming a thing of the past. The legal protection and compensatory basis and mechanisms available to exploit and benefit from such rights even further facilitate the profit making and equity building aspects of these invisible properties.

A classic example of a company with a strong intellectual property base compared to its competitors is the Coca Cola company. On the surface it appears to be primarily in the manufacture of a beverage which requires lots of capitalization necessary for plant construction, product manufacture and delivery. Other companies manufacturing similar cola beverages must do the same, however very few if any other cola company possesses the intellectual property holdings inherent in the trademark Coca Cola. The use and licensing of this famous name in and of itself is a significant and valuable business and commodity separate and apart from its cola manufacturing business.

Other companies such as book publishing, music publishing and software and multimedia companies whose products are intrinsically intellectual property based are even more benefited by the protection of intellectual property laws.

The power of intellectual properties is rooted in their inherent protection by law, both domestically and internationally. Today with the increasing globalization of business and trade, international treaties afford a level of protection for holders of intellectual property like never before, no matter what area of the world is involved. This protection afforded as a matter of law, and the increasing pattern of providing statutory compensation for infringements promises to make the acquisition of intellectual properties an increasingly important economic and financial goal for wise investors and companies. (Click here for more about the importance of intellectual properties in business). ‡

Pure network marketing companies, particularly the large ones whose entire business structure depend on multi-level marketing usually do not fully explain the concept to their sales organizations.

The Hannaian publishing business is not primarily a network marketing business, however because a network marketing concept is used as one of the four fundamental functions of the business it is important for Hannaian publishers to understand how saturation may affect their network building activities. There are four types of saturation:

1. Program Saturation

Program saturation is easily understood. If the network marketing program has hundreds of thousands of marketers already involved the program is saturated.

2. MLM Industry Saturation

Where the particular program has lots of other similar networking programs in competition for the same type of recruits and customers there is a saturated MLM industry. This is particularly so if there are many large network programs in the marketplace selling the same type of product. A good example is the proliferation of nutritional network programs and telephone service networking programs. Even though any one of these nutritional programs or telephone programs may not be individually saturated, the cumulative effect of many of them being in the marketplace at the same time saturates the market with individuals selling nutritional or telephone products and business opportunities to a population who cannot clearly distinguish one from the other. The plans and products all look the same to the consumer who will not often take the time to try to ascertain any real differences.

3. Product Saturation

Product saturation deals with the availability of similar products in the marketplace. It also is determined by how unique a product is. Again using the nutritional and telephone service networkers example, they always present their products and opportunities as unique. Under a detailed analysis they may indeed be unique but the truth is that they are all much the same and look so to the average consumer. The real problem is that similar products are readily available in the marketplace outside of the network marketing system. A consumer can buy similar nutritional or telephone service products from any number of reputable retail sources. These products therefore have tremendous competition from the general non-MLM industry and marketplace, making them a highly product saturated opportunity.

4. Business Opportunity Saturation

Business opportunity saturation is a problem today for every business opportunity marketer including Hannaian Publishers who want to build their business network. This is because everywhere you turn today their is a business opportunity being marketed. Many of these opportunities just like the Hannaian Publisher opportunity do not even rely totally on MLM network type marketing, although MLM type opportunities seem to be predominant in the marketplace. Today there are numerous business opportunities available to individuals who are looking for financial and job independence. This makes it more necessary than ever for those who represent true and solid business opportunities to be knowledgeable about saturation and its effects so that they may distinguish their opportunity from others.

When several of these types of saturation reach high levels there is a compounding effect that makes the result worse than the simple sum of each type. The long and short of understanding saturation is understanding competition. Your chances of being successful in MLM network marketing therefore depend a great deal on getting started early, on the ground floor in the particular program, and marketing truly unique products which are sold in a marketplace not already filled with other similar networking programs. But even this is not enough. You still need to make the determination of whether the business is a real business or a pseudo business. ‡

1. Is it an opportunity that relies totally on network marketing?

2. Is there no opportunity to be involved with real product research and development?

3. Is there no opportunity for real equity accumulation?

4. Most importantly, is there no real way to build and work your business and make money outside of the network?

These four questions outline the signs of a “Pseudo” business, one that cannot be independent of the network opportunity. If your answer to these four questions is “Yes” then the business opportunity is a “Pseudo” business, not a real business. If a network business opportunity satisfies these criteria, and it is also heavily saturated, there is very little hope for success. If this is your situation, you are not involved in a real independent business operation. You are simply working in a highly saturated and competitive market place, purely as a salesperson in the cloak and disguise of a true businessperson. ‡

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