I just Finished reading The 100 Absolutely Unbreakable Laws of Business Success by one of my Mentors; Brian Tracy (for the 11th time).
According to Tracy, success is predictable. There are universal laws that have always existed in business and will always exist. If you violate the laws, even unknowingly, you will fail. But if you learn the laws and apply them whenever and wherever appropriate, you are “virtually guaranteed to enjoy success and prosperity in your business activities.”
This book has really blessed me. Here is a summary! And I hope it will bless you too…
Tracy’s 100 “laws” embrace every aspect of work life, from leadership and money to negotiating and time management: Each law, validated by experience and research, is accompanied by its application, with questions and exercises geared to creating proactive, positive results.
The book is divided into eight sections (laws) as follows:
- The Laws of Life
- The Laws of Success
- The Laws of Business
- The Laws of Leadership
- The Laws of Money
- The Laws of Selling
- The Laws of Negotiating
- The Laws of Time Management
For more than 30 years, Brian Tracy has traveled and worked in more than 30 countries, studying business, economics, philosophy, psychology, metaphysics, and entrepreneurship with the goal of discovering why some businesses are more successful than others. This practical guide to achievement provides the answer. Each law, validated by experience and research, is accompanied by its application, with questions and exercises geared to creating proactive, positive results.
Are you ignorant or these LAWS or worst; BREAKING THEM?
The Laws of Life
1. The law of Cause and Effect :
Everything happens for a reason; for every effect there is a specific cause.
(This is the ultimate law; everything you are at this moment in time, is because of all your past thoughts and actions, i.e. cause and effect, in the past.)
2. The law of Belief :
Whatever you truly believe, with feeling, becomes your reality.
(This is the law controlling your mind and vision and thus, reality. You are what you believe.)
3. The law of Expectations :
Whatever you expect, with confidence, becomes your own self-fulfilling prophecy.
(If you expect to fail, you will; if you expect to succeed, you will.)
4. The law of Attraction :
You are a living magnet; you invariably attract into your life the people, situations, and circumstances that are in harmony with your dominant thoughts.
(Be extremely careful in selecting the people you deal with and friends who share your optimistic thought process.)
5. The law of Correspondence :
Your outer world is a reflection of your inner world; it corresponds with your dominant patterns of thinking.
(Signifies the importance of an clear mind (as in Getting Things Done) and dominant thought; you are what you think about most of the time.)
The Laws of Success
6. The law of Control :
You feel good about yourself to the degree to which you feel that you are in control of your own life.
– Change is inevitable.
– Controlled change leads inevitably to greater achievement than uncontrolled change.
– To take control of your life, you must begin by taking control of your mind.
(Internal control and external control are so much related; and thus, is inner peace and outer peace.)
7. The law of Accident :
Life is a series of random occurrences and things just happen by accident. – By failing to plan, you are planning to fail.
(Life is random; but planning eases that random chaos into a defined path.)
8. The law of Responsibility :
You are completely responsible for everything you are and for everything you become and achieve.
– You are always free to choose what you think and what you do.
– Responsibility begins with your taking full and complete control over the content of your conscious mind.
– No one is coming to the rescue.
9. The law of Direction :
Successful people have a clear sense of purpose and direction in every area of their lives.
10. The law of Compensation :
You are always fully compensated for whatever you do, positive or negative.
11. The law of Service :
Your rewards in life will be in direct proportion to the value of your service to others.
– All fortune begins with the sale of personal services.
– If you wish to increase the quantity of your rewards, you must first increase the quality and quantity of your service.
– Everyone works on commission.
12. The law of Applied Effort :
All worthwhile achievements are amenable to hard work.
– All great success is preceded by a long period of hard, hard work in a single direction towards a clearly defined purpose.
– The harder you work, the luckier you get.
– To achieve more than the average person, you ust work longer and harder than the average person.
13. The law of Overcompensation :
If you always do more than you are paid for, you will always be paid more than you are getting now.
14. The law of Preparation :
Effective performance is preceded by painstaking preparation.
– Do your homework; it is the details that trip you up every single time.
– Action without thinking is the cause of every failure.
15. The law of Forced Efficiency :
The more things you have to do in a limited period of time, the more you’ll be forced to work on your most important tasks.
– There will never be enough time to do everything that you have to do.
– Only by stretching yourself can you discover how much you are truly capable of.
– You perform at your highest potential only when you are focusing on the most valueable use of your time.
16. The law of the Decision :
Every great leap forward in life is preceded by a clear decision and a commitment to action.
– Act boldly and unseen forces will come to your aid.
– Act as if it were impossible to fail, and it shall be.
– Just do it!
17. The law of Creativity :
Every advance in life begins with an idea in the mind of a single person.
– Your ability to generate constructive ideas is, to all intents and purposes, unlimited. Therefore, your potential is unlimited as well.
– Whatever the mind of man can conceive and believe, it can achieve.
– Imagination rules the world.
– Imgination is more important than facts.
18. The law of Flexibility :
Success is best achieved when you are clear about the goal but flexible about the process of getting there.
– The continued experience of resistance and frustration is often an indication that you are doing the wrong thing.
– You are only as free in life as the number of well-developed options you have available to you.
– Crisis is change trying to take place.
– Errant assumptions lie at the root of every failure.
19. The law of Persistence :
Your ability to persist in the face of setbacks and disappointments is the measure of your belief in yourself and your ability to succeed.
– Persistence is self-discipline in action.
– Never give in; never, never, give in.
The Laws of Business
20. The law of Purpose :
The purpose of business is to create and keep a customer.
– Profits are a measure of how well the company is fulfilling its purpose.
– Profits are a cost of doing business, the cost of the future.
21. The law of Organization :
A business organization is a group of people brought together for the common purpose of creating and keeping customers.
22. The law of Customer Satisfaction :
The customer is always right.
– If ever the customer seems wrong, refer back to the rule.
– All customer satisfaction comes from people dealing with other people.
– The best companies invariably have the best people.
– The key role of management is to achieve the maximum return on investment in human resources toward satisfying customers.
23. The law of the Customer :
The customer always acts to satisfy his/her interests by seeking the very most and best at the lowest possible price.
– Customers are both demanding and ruthless; they reward highly those companies that serve them best and allow those companies that serve them poorly to fail.
– Customers always behave rationally in pursuing the path of least resistance to get what they want.
– Proper business planning always begins with the customer as the central focus of attention and discussion.
24. The law of Quality :
The customer demands the highest quality for the very lowest price.
– Quality is what the customer says it is and is willing to pay for.
– Quality includes both the product or service and the way that it is sold, delivered and maintained.
– Companies are profitable in direct proportion to their quality ranking, as customers perceive it.
25. The law of Obsolescence :
Whatever exists is already becoming obsolete.
– Tomorrow will be different from today.
– Continuing innovation and improvement are essential to survival.
– The best way to predict the future is to create it.
26. The law of Innovation :
All breakthroughs in business come from innovation, from offering something better, cheaper, faster, newer or more efficient in the current marketplace.
27. The law of Critical Success Factors :
Every business has a number of key success factors that measure and determine its success or failure.
– Each individual has personal critical success factors, the performance of which determines his/her business future.
– Your weakest critical success factor determines the height at which you can use all your other skills.
28. The law of the Market :
The market is where buyers and sellers of products and services meet to set prices and determine the allocation of money, labor, materials, and all factors of production. – In a free market, resources will be allocated with complete efficiency and prices will accurately reflect supply and demand to that moment.
– The free market is the most efficent way for millions of people to have their needs met at the lowest possible cost.
– The freer the market is from government interference, the greater the supply and veriety of goods and services and the greater the prosperity of the people.
29. The law of Specialization :
To succeed in a competitive marketplace, a product or service must be specialized to perform a specific function and be excellent at satisfying a clearly defined need of customer.
30. The law of Differentiation :
A product/service must have a competitive advantage or an area of excellence that enables it to stand out from its competitors in some way if it is to succeed in a competitive marketplace.
– The determination of a unique selling proposition is the starting point of all successful advertising and sales.
– To succeed in the marketplace, a product/service must have a distinct advantage, something that makes it superior to competing products and services.
31. The law of Segmentation :
Companies must target specific customer groups or market segment if they are to achieve significant sales.
– Many companies fail because they are targeting the wrong market with the wrong product in the wrong way.
– The ideal market segment contains those customers for whom the product’s competitive advantage is the most important in satisfying their most pressing needs.
32. The law of Concentration :
Market success comes from concentrating single-mindedly on selling to those customers you have segmented as being the ones who can most benefit immediately from the unique product/service features you offer in your area of specialization.
– The best high-profit strategy is dominate a specific market niche with the best product available for those customers in that niche.
– Concentration on high-profit market segments with high-profit products and services gives the highest return on sales, return on investment, and return on equity.
33. The law of Excellence :
The market pays excellent returns and rewards for excellent performance, excellent products, and excellent services.
– The market pays average rewards for average performance and below-average rewards for below-average performance.
The Laws of Leadership
34. The law of Integrity :
Great business leadership is characterized by honesty, truthfulness, and straight dealing with every person, under all circumstances.
35. The law of Courage :
The ability to make decisions and act boldly in the face of setbacks and adversity is the key to greatness in leadership.
36. The law of Realism :
Leaders deal with the world as it is, not as they wish it would be.
37. The law of Power :
Power gravitates to the person who can use it most effectively to get the desired results.
( Expert power ; Personal power ; Position power ; Ascribed power)
38: The law of Ambition :
Leaders have an intense desire to lead; they have a clear vision of a better future, which they are determined to realize.
39. The law of Optimism :
The true leader radiates the confidence that all difficulties can be overcome and all goals can be attained.
40. The law of Empathy :
Leaders are sensitive to and aware of the needs, feelings, and motivations of those they lead.
41. The law of Resilience :
Leaders bounce back from the inevitable setback, disappointments and temporary failures experienced in the attainment of any worthwhile goal.
42. The law of Independence :
Leaders know who they are and what they believe in, and they think for themselves.
43. The law of Emotional Maturity :
Leaders are calm, cool, and controlled in the face of problems, difficulties and adversity.
44. The law of Superb Execution :
Leaders are committed to excellent performance of the business task at hand and to continuous improvement.
45. The law of Foresight :
Leaders have the ability to predict and anticipate the future.
The Laws of Money
46: The law of Abundance :
We live in an abundant universe in which there is sufficient money for all who really want it and are willing to obey the laws governing its acquisition.
– People become wealthy because they decide to become wealthy.
– People are poor because they have not yet decided to become rich.
47: The law of Exchange :
Money is the medium through which people exchange their labor in the productions of goods & services for the goods & services of others.
– Money is the measure of the value that people place on goods & services.
– Your labor is viewed as a factor of production or a cost by others.
– The amount of money you earn is the measure of the value that others place on your contribution.
– Money is an effect, not a cause.
– To increase the amount of money you are getting out, you must increase the value of the work that you are putting in.
48: The law of Capital :
Your most valuable asset, in terms of cash flow, is your physical and mental capital, your earning ability. – Your most precious resource is your time.
– Time and money can either be spent or invested.
– One of the best investments of your time and money is to increase your earning ability.
49: The law of Time Perspective :
The most important people in any society are those who take the longest time period into consideration when making their day-to-day decisions. – Delayed gratification is the key to financial success.
– Self descipline is the most important personal quality for assuring long-term success.
– Sacrifice in the short term is the price you pay for security in the long term.
50. The law of Saving :
Financial freedom comes to people who save 10 percent or more of their income throughout thier lifetime.
– Pay yourself first.
– Take advantage of tax-deferred savings and investment plans.
51. The law of Conservation :
It’s not how much you make but how much you keep that determines you financial future.
52. Parkinson’s Law :
Expenses always rise to meet income.
– Financial independence comes from violating Parkinson’s law.
– If you allow your expenses to increase at a slower rate than your income and you save/invest the difference, you will become financially independent in your working lifetime.
53: The law of Three :
There are three legs to the stool of financial freedome: savings, insurance and investment.
-To fully protect against the unexpected, you require liquid savings equal to two to six months of normal expenses.
– You must insure adequately to provide against any emergency that you cannot pay for out of your bank account.
– Your ultimate financial goal should be to accumulate capital until your investments are paying you more than you can earn on your job.
54: The law of Investing :
Investigate before you invest. – The only thing easy about money is losing it.
– Don’t lose money.
– If you think you can afford to lose a little, you’re going to end up losing a lot.
– Invest only with experts who have a proven track record of success with their own money.
55. The law of Compound Interest :
Investing your money carefully and allowing it to grow at compound interest will eventually make you rich.
– The key to compound interest is to put money away and never touch it.
56: The law of Accumulation :
Every great financial achievement is an accumulation of hundred of small efforts and sacrifices that no one ever sees or appreciates.
– As your savings accumulate, you develop a momentum that moves you more rapidly towards your financial goals.
– By the yard it’s hard, but inch by inch, its a cinch.
57: The law of Magnetism :
The more money you save and accumulate, the more money you attract into your life.
– A prosperity consciousness attracts money like iron filings to a magnet.
– It takes money to make money.
58. The law of Accelerating Acceleration :
The faster you move towards financial freedom, the faster it moves towards you.
– Nothing succeeds like success.
– Fully 80% of your success will come in the last 20% of the time you invest.
The Laws of Selling
59: The law of Sales :
Nothing happens until a sale takes place.
– Product and services are sold, not bought.
– Customers need to be asked to buy.
– Eighty percent of sales are closed after the fifth call or after the fifth closing attempt.
– 50% of salespeople quit after the first call in a complex sale, and 50% of salespeople fail to ask for the order even once in a simple sale.
– Ask and ye shall receive.
60. The law of Determination :
How high you rise is largely determined by how high you want to climb.
-You must commit to being the best in your field.
– To acheive high sales goals, you have to set them in the first place.
– You can’t fly with the eagles if you continue to scratch with the turkeys.
61. The law of Need :
Every decision to purchase a product/service is an attempt to satisfy a need or relieve a dissatisfaction of some need.
– Before selling anything to anyone, the salesperson must be clear about the need he/she is attempting to satisfy.
– Sales success comes from fulfilling existing needs, not create new jobs.
– The more basic the need, the more basic the sales presentation.
– The more complex the need, the more sophisticated and subtle must be the sales presentation.
– The obvious need is often not the real need for which the profuct will be purchased.
62. The law of Problems :
Every product/service can be viewed as the solution to a problem or the resolution of an uncertainty.
– Customers buy solutions, not product/services.
– The more pressing the problem or need, the less price sensitive the customer and the easier the sale.
63. The law of Persuasion :
The purpose of the selling process is to convince customers that they will be better off
with the product than they would be with the money necessary to buy the product.
– The customer always acts to satisfy the greatest number of unmet needs in the very best way at the lowest possible price.
– Proof that other people similar to the customer have purchased the product the product builds credibility, lowers resistance, and increases sales.
– Testimonials of any kind increase desirability and lower price resistance to a product/service.
64: The law of Security :
The deepest craving of human nature is the desire for personal, financial, and emotional security.
– The survival instinct is the strongest drive in human behavior.
– The need for safety is a powerful motivator of human behavior.
– The need to increase certainty underlies much of customer behavior.
65. The law of Risk :
Risk is inherent in any investment of time, money, or emotion.
– You are successful in sales to the exact degree to which you can position yourself as the low risk provider of your product/service.
– The primary obstacle to buying anything is the fear of failure, the fear of making a mistake in the buying decision.
– Everything you do in a sales interview either raises/lowers the perception of risk and the fear of failure.
66. The law of Trust :
The trust bond between the salesperson and the customer is the foundation of the successful sale.
– You build a high-trust sales relationship by asking questions aimed at determining the real needs of the customer that your product/service can satisfy.
– Successful salespeople listen twice as much as they talk.
– No one ever listened themselves out of a sale.
– Listening builds trust.
67. The law of Relationships :
All selling is ultimately relationship selling.
– The customer wants a relationship first.
– In complex sales, the relationship continues after the sale.
– The relationship is more important than the product/service.
68. The law of Friendship :
A person will not buy from you until convinced that you are a friend and acting in his/her best interests.
69. The law of Positioning :
The customer’s perception of you and your company is his reality and determines his buying behavior with you.
– Every visual element of dress, product, packaging, printing, and promotion creates a perception of some kind.
– Top salespeaople position themselves as the preferred suppliers of their products/services.
70. The law of Perspective :
The way that you are viewed by your customers determine your income.
– When you are viewed by your customer as working for him/her, you will be in the top 10% of money earners in the field.
– Top money earners in sales are viewed as consultants, helpers, counselors, and advisors to their customers, not as salespeople.
71. The law of Advance Planning :
The best salespeople prepare thoroughly before every call.
– The salesperson with the best knowledge of the customers’s real situation will be the one most likely to make the sale.
– Sales professionals plan their questions in advance.
– The power is on the side of the salesperson with the best notes.
72. The law of Perverse Motivation :
Everyone likes to buy, but no one wants to be sold.
– The best salesperson is perceived as a helper who assists prospects in getting what they want and need.
– Top salespeople are teachers who show their customers how products and services work to satisfy their needs.
The Laws of Negotiating
73. The Universal Law of Negotiating :
Everything is negotiable.
– Prices are best-guess estimate of what the customer will pay.
– Every price was set by someone and can therefore be changed by someone.
74: The law of Futurity :
The purpose of a negotiation is to enter into an agreement such that both parties have their needs satisfied and are motivated to fulfill thier agreements and enter into further negotiations with the same party in the future.
75: The law of Win-Win or No Deal :
In a successful negotiation, both parties should be fully satisfied with the result and feel that they have each “won” or no deal should have been made at all.
76: The law of Unlimited Possibilities :
You can always get a better deal if you know how.
– If you want a better deal, ask for it.
– Whatever the suggested price, react with surprise and disappontment.
– Always imply that you can do better somewhere else.
77. The law of Four : T
here are 4 main issues to be decided upon in any negotiation; everything else is dependent on these.
– Eighty percent or more of the content of the negotiation will revolve around these four issues.
– Of the four main issues in any negotiation, one will be the main issue and three will be secondary issues.
78: The law of Timing :
Timing is everything in a negotiation.
– The more urgent the need, the less effective the negotiator.
– The person who allows him/herself to be rushed will get the worst of the bargain.
– You resolve 80% of the vital issues of any negotiation in the last 20% of the time allocated for the negotiation.
79: The law of Terms :
The terms of payment can be more important than the price in a negotiation.
– You can agree to almost any price if you can decide the terms.
– Never accept the first offer, no matter how good it sounds.
– Never reject an offer out of hand, no matter how unacceptable it sounds when you first hear it.
80: The law of Anticipation :
80% or more of your success in any negotiation will be determined by how well you prepare in advance.
– Facts are everyting
– Do your homework; one small detail can be all you need to succeed in a negotiation.
– Check your assumptions; incorrect assumptions lie at the root of most mistakes.
81. The law of Authority :
You can negotiate successfully only with a person who has the authority to approve the terms & conditions you agree upon.
– You must determine in advance if the other party has authority to make a deal.
– When dealing with someone who cannot make the final decision, you must represent yourself as also being unable to make the final decision.
82. The law of Reversal :
Putting yourself in the situation of the other person enables you to prepare and negotiate more effectively.
83. The law of Greater Power :
The person with the greater power, real or imagined, will get a better deal in any negotiation.
– People will not negotiate with you unless they feel you have the power to help them or hurt them in some way.
– Power is a matter of perception; it is in the eye of the beholder.
Types of Power via:
7. (Inside) Knowledge of the needs of others
10. Investment (time/money)
84. The law of Desire :
The person who most wants the negotiation to succeed has the least bargaining power.
– No matter how badly you want something, you should appear neutral and detached.
– The more you can make the other party want it, the better deal you can get.
85. The law of Reciprocity :
People have a deep subconscious need to reciprocate for anything that is done to or for them.
– The first party to make a concession is the party who wants the deal the most.
– Every concession you make in a negotiation should be matched by an equal or greater concession from the other party.
– Small concessions on small issues enable you to ask for large concessions on large issues.
86. The Walk Away Law
: You don’t know the final price and terms until you get up and walk away.
– The power is on the side of the person who can walk away without flinching.
– Walking out of a negotiation is another form of negotiation.
87. The law of Finality :
No negotiation is ever final.
– If you are not happy with the existing agreement, ask to reopen the negotiation.
– Use zero-based thinking on a regular basis by asking yourself, If I could negotiate this arrangement over again, would I agree to the same terms?
The Laws of Time Management
88: The law of Clarity :
The clearer you are about your goals & objectives, the more efficient & effective you will be in achieving them.
a. Decide exactly what you want. Be specific.
b. Write it down – clearly – in detail.
c. Set a specific deadline.
d. Make a list of everything you need to do.
e. Organize this list into a plan.
f. Take action immediately.
g. Do something everyday on the plan.
89. The law of Priorities :
Your ability to set clear & accurate priorities on your time determines the entire quality of your life.
90. The law of Posteriorities :
Before you start something new, you must discontinue something old.
91. The law of the Most Valueable Asset :
Your most valueable asset is your earning ability.
92. The law of Planning :
Every minute spent in planning saves 10 minutes in execution.
93. The law of Rewards :
Your rewards will always be determined by your results.
94. The law of Sequentiality :
Time management enables you to control the sequence of events in your life.
95. The law of Leverage :
Certain things you do enable you to accomplish vastly more that you would if you spent the same amount of time in other activities.
96. The law of Timeliness :
The ability to act faster than anyone else can be a greatest asset.
97. The law of Practice :
Continuous practice of a key skill reduces the time required to perform the task & increases the output achieved.
98. The law of Time Pressure :
There is never enough time to do everything, but there is always enough time to do the most important things.
99. The law of Single Handing :
The ability to start & complete your most important task determines your productivity more than any other skill.
100. The law of Competence :
You can increase your efficiency & your effectiveness by becoming better & better at your key tasks.
4D’s – Desire, Decision, Discipline, Determination.