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Saturday, December 20, 2014
Good governance and responsible leadership are the key to Africa's and the world's future.
Anybody studying governance and the state of the world can see that we have tremendous progress over the last decade, the world is becoming more peaceful and more prosperous as people migrate to cities, democracies spread and global trade increases.
However, we still have a long way to go and business can just operate effectively in a fair and free society, in a system that gives life chances and doesn't waste a single talent and creative mind.
The role of responsible leadership is cruicial in inspiring and empowering followers and protecting the rights of vulnerable groups.
The people of Africa demand better government, more responsible leadership and participation. Just a week after shake hands with Burkino Faso's president Blaise Compaore he was ousted from power having neglected his people's strive for change and reform.
Companies and governments can no longer and should never neglect the needs of their constituency. The world has become more flat, transparent and integrated than ever before - good corporate citizenship and governance has developed from being a compliance issue and legal requirement to an essential part of how organizations are run and structured.
Our company New York Business Consultants is teaching leaders to be responsible, to implement so called triple bottom lines and corporate social responsibility policies because we believe that only responsible leadership that takes the social and ecological impact of one's decision sinto account leads to sustainable economic performance.
To learn more how to apply this to your organization, reach out to info@newyorkbusinessconsultants.com
Tuesday, September 2, 2014
We need more African and emerging market brands!
By Malko Ebers, CEO New York Business Consultants
Sept 02nd 2014, New York City
Isn't it amazing you can spend your entire lifetime in America or in Germany or another 'Western' country and you will probably never encounter an African brand. Yes, globalization is real, the information economy is real and we are all connected but brands from emerging markets? How many do you know, which ones matter to you?
Yes, your t-shirt might have been made in Vietnam, your car is German, your smartphone from Japan, your wine from Spain and you own hundreds of products from all over the world. We depend on each other, global supply chains and connections are incredible they are part of our economies and daily choices as consumers - we probably wear items from a dozen countries when we leave the house. But are we just 5% aware of where our products are from, of the complexity of what makes this wonder of supply possible? Of course not.
We are however aware of brands. Look at the above image. It shows mostly US brands and I am sure you know plenty of them, a five year old kid pretty much anywhere on the world could recognize thge McDonalds sign and would know what it means, which products and services to get there.
Companies spend hundreds of billions of dollars a year on advertisement, it is like a tv-industrial complex and you can't escape. From online pop up windows to the daily mails offering you another credit card, to mails offering you to switch to the fastest internet to...an endless stream of communication, brands screaming at you 24/7...all while we have more choices than ever and less time.
In this multibillion dollar battle for attention any less wealthy companies have a tough time engaging their customers - but the internet makes it possible, it makes it possible to target customers for a low budget and for particular business, let's say a local coffee place.
What we should see is that commodity producers start developing their own brands which will allow them to sell directly to customers via ecommerce and to directly approach retailers and distributors. If you for example produce coffee or cocoa it is a very tough business to be in because your product doesn't differentiate from any other producer. Your business depends on world market prices and that makes you vulnerable and your business risky. If you sell coffee beans then you get 20 cents for the cup that Starbucks sells for $7dollars! You can do the exercise for any commodity. So where is the money? The answer: in brands and processed commodities, this is where the added value is. You won't get much for your coffee beans or your oranges doesn't matter how good your business is but for a branded coffee or juice it looks extremely different.
With our partners in Africa, India and other emerging marketplaces we observe that these economies rely far to heavily on commodities. Many of the producers should ddevelop their own brands and should proactively do business development in other countries to 'fight for shelve space' to open flagship stores and to find their way to the hearts and minds of consumers.
I want to see more African and other brands from around the world, it would create a fairer world and richer consumer experience. If we just have a handful of Western brands everywhere, if we only see H&Ms and McDonalds from new York to Shanghai and Lagos it would be boring and very few people would benefit. The internet and ecommerce, the opportunity to engage consumers globally give us unique opportunities to change this structure and to develop a more rich and pluralized brand landscape for the benefit of all.
& If we can give you a helping hand how to develop and market your service or product, how to create a brand that sells in the Us or Germany, get in touch at info@newyorkbusinessconsultants.com or toll free 1-800-481-2707
Danke Sehr and Thank You
A gesture makes a big difference in intercultural organizations (and in life)
By Malko Ebers, Sept 02nd 2014, New York
I recently spoke to a German manager who had been transferred from Germany to the US subsidiary of her company. Everything seemed to work out smoothly but after some time more and more of her team members started leaving the company. This raised suspicion and became a real problem for the business unit. Identifying and attracting talent and filling vacant positions is a costly process and can significantly disturb work processes. What was the problem?
A consultant is often called to action when a symptom becomes so clear that is causes problems and affects the bottom line, meaning it is felt financially. However, a symptom is not the problem as any doctor would be able to confirm. Employee motivation and retention can be a complex problem that has to be analyzed holistically involving supervision, leadership, incentive structures but also the individual situation of each employee. What turned out to be the main reason for loss of employee motivation and high turnover was rather surprisingly: Danke and thank you!
In Germany a rather collective culture with high so called uncertainty avoidance (according to researcher Hofstede) rules and regulation, clear processes and directions are commonly well established in the corporate governance and cultural structure. In other words, employees are given clear roles and responsibilities in a job description and it is taken for granted that they carry out their duties and report to their supervisors. In America however, one of the most individualistic cultures individual recognition is extremely important for corporate culture and employee motivation.
Our German manager had expected that US employees would behave the way German employees would, she would just not consider it necessary to say thank you, to give more individual recognition and reward. We do see this very often that one can not take for granted what works in one culture does so in another. There is not the one right way but organizational effectiveness and leadership styles are strongly embedded in our national and organizational cultures.
As consultants it is our responsibility to treat a problem as an analytically case, we need to find the 'theory in use' of what truly motivates behavior and impacts outcomes.
Often large impact such as high employee turnover is caused by something small such as taking a thank you for granted. It is not, expressing gratitude and giving individual reward and recognition is a powerful tool. In our organizations we don't want to take effort and contribution for granted but should recognize and reward it which builds a community and stronger team spirit and corporate culture.
Saturday, June 21, 2014
A Chinese Virtual Office: The Quick and Easy way to Start Expanding Into China
By NYBC Business Associate Marc Jarret, June 21st 2014
http://uk.linkedin.com/in/marcjarrett
As anyone who has ever tried expanding into China can testify, the process of so doing can be fraught with difficulties: over and above the cultural and linguistical challenges, there are a raft of potential obstacles which include compliance with Government policies and labor laws, as well the obligations associated with insurance, leasing of offices and hiring of staff.
This having been said, the potential of this vast and fast growing market are simply too big to ignore: China is the world's fastest-growing major economy, with growth rates averaging 9.8% over the past 30 years and it could become the world's largest economy sometime as early as 2020.
If your Business transcends the national boundaries of your domestic market, China should therefore be at the top of your list of countries to target as part of your globalization efforts. Understandably though, the difficulties associated with entering China often act as a barrier for taking the first tentative steps into this enormous market.
However, there is a way to circumvent these obstacles - instead of committing yourself to the costs and headaches associated with opening an office in China, you can easily create the impression to potential Chinese customers or partners that you are already operational there by creating a virtual one instead.
Reading an English language only website and calling an overseas number remains a practical and psychological barrier for people in most countries, including China. It is therefore important that prospects can contact you in Chinese and by means of a domestic telephone number, as opposed to an international one.
Inbound calls to your Chinese number must be answered in Mandarin or Cantonese, depending on which region of China the caller is located. Call center agents that answer such calls must be trained so that they have at least a basic understanding of your particular product or service. They should then make available to you such leads in English. Any follow-up activity should of course be conducted in the caller's native language.
Your new Chinese number can then easily be added to the 'contact us' section of your website which thanks to the global architecture of the World Wide Web all potential customers located in China will be able to see. Even better, you can create a Chinese section of your website and there are a wide range of translation companies who will only be too happy to help you in this process.
If you elect to have a Chinese standalone version of your website, then work with a company that can help you get listed on Baidu, China's answer to Google. Doing so will greatly improve the chances of being found by potential Chinese customers who are actively seeking out your particular goods or services.
By establishing a virtual Chinese office, you will be able to capitalize on the opportunities on the afforded by this colossal market at a fraction of the costs and risks associated with setting up a real one.
Wednesday, June 11, 2014
Why small businesses fail big
and how to succeed against the odds
Malko Ebers, June 11th 2014
A high school student had sent me an email asking me why so many small businesses fail? A very good question. Entrepreneurs start the venture of being in business with passion, energy and ideas so how come that the average lifespan of a business is just a couple of years and that after 18 months according to Forbes 8 out of 10 entrepreneurs have given up? The Coca Cola, Ford and Walt Disney type of companies are the exception to the rule, companies that have adapted, mastered crises and have established cultures and values that have endured individuals and their corporate functions.
Based on my experience as a business consultant and dealing with entrepreneurs from all industries and walks of life I see three main reasons why small businesses fail so often.
1. Failure is normal in business and small businesses are no exception. Like in evolution adaption to changing circumstances is crucial. A now much bigger global marketplace requires constant adaption and innovation and a very high attention and commitment level. The learning curve is steep in many industries and small business owners often don't have the time, attention and resource commitment necessary to survive the toughest initial growth phase. As a small business owner you typically can't compete based on price, so your product/service has to focus on a niche, it has to be remarkable and add value. Even then small businesses often lack the capital to bring a good business model to scale so they don't get taken over or priced out by the competition.
2. Know thyself was written over the oracle of Delfi in Greece - applied to business this means know your resources, core competences and who your customers are. It takes time to build a network and reputation and a lot of small business owners don't have the necessary support structures and patience to build a referral network of loyal customers. It sounds simple but the longer you stay in the game the higher the likelihood of success, you will gain experience and grow your referral network.
3. A small business owner can't sufficiently diversify and spread the risk, especially financial risk and therefore even good business models can easily run out of cash. The business owner is basically the business in the initial startup phase, the face of the company representing the brand so any healthcare issues for example, financial burden unrelated to the business to 'life happening to us' directly affects the business without having a team and governance structure to buffer external shocks.
Other issues that are common are late payments of your clients, as a small business you typically depend disproportionately on timely payment by a few important customers. Also as a small business owner you work often too much in your business (wearing all hats yourself) instead of on the business (strategy, client relationships).
Being in business and bringing something new to the world, giving birth to an idea and adding value to other people's lives, solving problems is something beautiful. Despite all challenges entrepreneurship is part of the university of life, it teaches us something new every day. You will make mistakes but each mistake is an opportunity to learn to 'know thyself' and what you bring to the world. My advise would be to answer the why question, to surround yourself with a team and people you enjoy working with and to focus on solving problems you can be passionate about. That way no minute will be wasted and you will plant the seed for further growth.
1. Failure is normal in business and small businesses are no exception. Like in evolution adaption to changing circumstances is crucial. A now much bigger global marketplace requires constant adaption and innovation and a very high attention and commitment level. The learning curve is steep in many industries and small business owners often don't have the time, attention and resource commitment necessary to survive the toughest initial growth phase. As a small business owner you typically can't compete based on price, so your product/service has to focus on a niche, it has to be remarkable and add value. Even then small businesses often lack the capital to bring a good business model to scale so they don't get taken over or priced out by the competition.
2. Know thyself was written over the oracle of Delfi in Greece - applied to business this means know your resources, core competences and who your customers are. It takes time to build a network and reputation and a lot of small business owners don't have the necessary support structures and patience to build a referral network of loyal customers. It sounds simple but the longer you stay in the game the higher the likelihood of success, you will gain experience and grow your referral network.
3. A small business owner can't sufficiently diversify and spread the risk, especially financial risk and therefore even good business models can easily run out of cash. The business owner is basically the business in the initial startup phase, the face of the company representing the brand so any healthcare issues for example, financial burden unrelated to the business to 'life happening to us' directly affects the business without having a team and governance structure to buffer external shocks.
Other issues that are common are late payments of your clients, as a small business you typically depend disproportionately on timely payment by a few important customers. Also as a small business owner you work often too much in your business (wearing all hats yourself) instead of on the business (strategy, client relationships).
Being in business and bringing something new to the world, giving birth to an idea and adding value to other people's lives, solving problems is something beautiful. Despite all challenges entrepreneurship is part of the university of life, it teaches us something new every day. You will make mistakes but each mistake is an opportunity to learn to 'know thyself' and what you bring to the world. My advise would be to answer the why question, to surround yourself with a team and people you enjoy working with and to focus on solving problems you can be passionate about. That way no minute will be wasted and you will plant the seed for further growth.
Sunday, April 13, 2014
Sustainability and the Future of Fashion
Interview of Leyla Kazimova, Director Future Fashion Day
By Madeline Tanamal for New York Business Consultants LLC
1. Tell me briefly about Future Fashion Day.
It is a day when we celebrate ethical fashion and share
knowledge about it, not only in terms of business, but also in terms of
production processes, supply chain in general – economics of ethical fashion
and its implications. We want to educate general audience about the
opportunities and we want to deepen knowledge of those already in the industry.
We want to show that ethical fashion is about style and uniqueness, because
behind every piece of garment there is a story. And we want to tell that story.
2. How would you define sustainable fashion?
2. How would you define sustainable fashion?
I prefer using the word ethical fashion because the word “sustainable” is already loaded with many both positive and negative connotations. As I have mentioned every piece of garment has a story behind and this story is about people, who work to make it, resources they use, and environment they change with every piece produced. That is why I would define ethical fashion as industry which is responsible for fair employee payments – social responsibility, fair market prices – economical responsibility, fair treatment of the environment and natural resources – ecological responsibility. On top of it comes design of course, because to me, among other factors that is what is driving the whole industry nowadays. The times have passed when sustainable fashion was bleak and itchy.
3. And with reference to that definition, why do you
think it is important for fashion to be sustainable?
Because there is no other way for us unless we want to destroy the world we live in.
4. I would say that sustainable fashion is often more expensive than traditional fashion. How would you convince people to switch to sustainable fashion?
I would appeal to the story who and how produced this particular piece of clothes, I also would appeal to the timelessness of it. Last but not least – to the quality of it – it lasts longer, it is pleasure to wear it. I have many pieces of ethically produced clothes, but my favorites are sneakers made in Brazil. Great design! And I know exactly how the supply chain works with this label and I cannot really describe the feeling when I wear them! It is like I connect to those people who made it possible for me to wear these amazing shoes. And they are truly amazing, I must say, very comfortable and robust – I have been wearing them for 3 seasons already and for me it is really long.
5. How receptive is the world and are consumers with regards to
sustainable fashion?
It is so different depending on where you are! If we take
general audience – the knowledge is better in Europe (but this is only
according my own observations of course). If we take Canada for example, it
depends: in Vancouver, BC people are more aware about the issues in the ethical
fashion industry than in Toronto, ON for example. Again, this is my own observation,
and I have not been travelling a lot in Asia or in South America. But of
course, the awareness is growing and unfortunately only after people hear
shocking news similar to the Rana Plaza catastrophe.
6. What is your outlook on sustainable fashion?
6. What is your outlook on sustainable fashion?
Bio & contact info:
Leyla Kazimova is the director of ‘Future Fashion Day’, previous president of the environmental activist group oikos Konstanz and a passionate advocate for sustainability and civil society. Leyla is from Azerbaijan, speaks six languages and received her international education from Baku University, Konstanz and York University- a true global citizen. Leyla holds a degree in Economic Cybernetics, a BA in British and American Studies/Business and is now.finishing her MA in British and American Studies/Brand Management at the University of Konstanz, Germany.
Future Fashion Day was initiated by Leyla in 2013 as one of oikos Konstanz Chapter projects. Leyla’s plan is to develop Future Fashion Day into something more than a short term project.
To learn more contact: Leyla Kazimova at: Leyla.kazimova@gmail.com
Saturday, March 29, 2014
Join us April 11th 2014 for Peace Ink. 6pm 49W 24th street
Meet our distinguished authors and have a great time Organized by the NYC Peace Museum we are are facilitating a dialogue about peace and making a difference. See you soon.
Tickets at: http://www.eventbrite.com/e/peace-ink-tickets-7433556969?aff=es2&rank=0&sid=e377a3aeb75911e3baf412313d2241ae
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