Monday, February 20, 2006

The Chieftain

Back to the local chieftain story. I had a long chat with friends over the weekend why this chieftain would decide to stop owning a bread shop. Even though his bread shop is the only bread shop in the village.

Villagers have to buy bread from him. When there is another outfit trying to sell similar bread, the chieftain would exercise his chieftain power to stop the competition by raising the cost of another bread shop. Making his bread shop the most profitable.

His decision to sell the shop came 1 day after the bread shop ownership sanction ended. This raised speculation among the villagers. Some were outraged that he sold his outfit to an out-of-town chieftain (who also enjoys monopoly in his village). This out-of-town chieftain already bought a big bread shop down under called Otpus. Buying the only local bread shop, this gives out-of-town chieftain the ability to raise prices, change the recipe or even put in honest potion to find villagers' secrets (so villagers will talk in their sleep). For example, this out-of-town chieftain will get to know whether Waraphon's family plans to go to Timbuktu for vacation, he (OOT chieftain) can offer his travel agent service to W's family the next day. This gives OOT chieftain a sustainable competitive advantage.

But I think otherwise. If you were the chieftain, you have controlled 5,000-bread budget over period of 5 years. With typical bribery scene, as a chieftain, you should have made 500 bread on bribes. But you couldn't just show off 500 breads to villagers. So you had to hide 500 bread somewhere. Here comes the out-of-town chieftain, you could ask his help. Of course, you'll have to pass some profits to this OOT chieftain in the future.

In addition, as a chieftain, you have the power to sell the village's monopoly community stores (such as GATE, TTP to name a few). Since these community stores are monopoly - meaning there is only one in each respective market. Moreover, every villagers helped putting in money to build these community stores. However, as a chieftain, you could use the "inefficiency" as the key to sell these community stores. Now you know that you can sell these comm. stores, you have the money (5000 breads) that you ask your good friend OOT chieftain to keep.

Will you (as a chieftain) want to buy monopoly community stores if you have 5000 breads? Of course, every single human would want to. How could you "legally" get to your 5000 breads? So here comes the OOT chieftain, you just ask your OOT chieftain friend to act as if he's buying your monopoly bread shop. Then he can transfer "your" 73 breads to you, while he acts as if he owns the bread shop.

Voila, now you have 73 breads to buy community stores. Your supposedly "illegal" 73 breads became clean and disposible income.

You can never judget the book by the cover. You can never think what you are told to think (from the newspaper). If you keep reading, listening and thinking based on what you hear/see/read, you will never be a chieftain.

So start using your single most valuable resource today.

Have a nice brain day.

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