Tuesday 6 March 2012

UNDERSTANDING BUSINESS LEVERAGE



In 200 B.C in Greece, a Greek man named Archimedes made a wonderful discovery, that by the use of levers, it’s possible to move large objects with little force and he was known to boast; give me a lever and I can move the earth (cocky guy). Lever is the root word for leverage. Just as Archimedes was able to move large objects by fixing a small lever, doing more with less. Theoretically, business leverage follows the same principle, of doing more with less.
 HISTORY OF LEVERAGE
The concept of leverage has developed over time, long before Archimedes started using levers; man has being using one form of leverage or the other. During the Stone Age man invented fire, and fire was a very powerful leverage that could be use for different purposes, to cook, keep warm during winter and for war. Than man moved to the  Agrarian Age, than man discovered the powerful leverage of animal power, horses where used for long distance travel, bulls where used for farming. Then came the medieval time, gun powder and big boats became the new leverage, the country with bigger guns and ships conquered the world. And with the coming of the technological age the radio, television, air planes, trains and automobiles became the new leverage. Today in the information age we have the mobile phone, oil and the biggest thing to hit this world the INTERNET.
BUSINESS LEVERAGE
The greatest business leverage there is, is the human mind. The human mind has being in existence through out the ages, it is the source of all other invented leverages. Everything around  us testify to the power of the mind, from the cloths we wear, the computers we use, the houses we live in, in fact everything is the product of the mind.
Understanding business leverage means using the power of the mind productively, in developing strategic business ideas for financial profitability.
How to develop the mind as a powerful business leverage will be discussed in proceeding articles.
Thank you for reading this article.

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