The Importance Of Brand, A Danger of Usury, And About A Business That Never Loss

Note: Tulisan ini adalah terjemahan Basa Enggres bebas dari artikel ini

(This article based on Muslim perspective, but if you have another religion and also agree with the material of this article, then I will accept it with pleasure - Author).

Some time ago the Indonesian people were shocked by the news of bankruptcy Sariwangi Tea.

For decades this legendary tea has accompanied Indonesian family dishes. Even this product had existed before I (the writer) was born.

PT Sari Wangi AEA is a producer that gave birth to Sariwangi tea products. This product had experienced a golden age for decades until it finally collapsed helplessly due to caught in *usury debt.

(Note: *Usury (or Riba) is the setting of interest or overestimating the amount of the loan when returning based on a certain percentage of the principal loan amount charged to the borrower. Usury in language means ziyadah (additional). 

In another sense, linguistically usury also means growing and growing. Whereas according to technical terms, usury means taking extra from primary assets or capital in vanity. There are several opinions in explaining usury, but in general, there is a red thread that confirms that usury is an additional take, both in buying and selling transactions (and borrowing) in violation of the principle of muamalat (honest/trustful transactions in Islam). Source: Wikipedia.

The company was declared bankrupt by the Central Jakarta commercial court on Tuesday, October 16, 2018. The company founded by Johan Alexander Supit (in 1962) was in debt of more than one trillion rupiahs.

Then what about the fate of Sariwangi products? Does the bankruptcy of this company mean that the Indonesian people cannot enjoy Sariwangi tea anymore? Hmmm,,,, let's continue the review below. 😉

Fans of Sariwangi products can breathe freely because this product will still be on the market. How come? Hasn't the company go bankrupt? Well, let's look at the story so you can find out the cause. From there we can examine and discussion about how important the brand, the danger of *usury and of a 'secret business' that is always profitable.

The cause began in 1989, when the Sariwangi brand was apparently purchased (acquired) by Unilever. There is one important thing to note, that the one purchased is the Sariwanginya brand, not PT Sari Wangi AEA.

What does it mean?

So in other words, PT Sari Wangi will continue to produce and supply Sariwangi tea products to Unilever, but the Sariwanginya brand itself has become the property of Unilever. 

At the beginning of 2018 (after 19 years the Sariwangi brand was acquired), Unilever terminated the cooperation contract with PT Sari Wangi AEA as the supply of Sariwangi tea products to Unilever.

Furthermore, somehow Unilever can get a product supply and whoever is the replacement company, what is clear is that Sariwangi products are still available on the market.

And in mid-October 2018 PT Sari Wangi was declared bankrupt. Interestingly, Sariwangi tea products will remain on the market. What is the cause? The answer is clear ==> because the owner of the brand, Unilever, still exists.

There are many valuable lessons that we can learn from this incident. Especially about the brand, the danger of usury and business secrets (commerce) that will never loss (always get profit).

The discussion will be more and more interesting. Friends ... let's look further. 😉

Other exciting Articles: 17 ENTREPRENEURIAL MINDSET and BUSINESS LOGIC (Part #1)

First, about a brand, it's essential.

Yes! The brand is crucial. It could be that the brand value is far more expensive than the physical assets owned by a company.

Brand if we analogous to people, it can be likened to the popularity of a public figure (artist, writer, famous character). 

The more famous an artist, then the name will be more expensive and have selling points. So, if that artist associated with any product (as a promotional tool), it can boost the selling value of the product.

Therefore, today many people take advantage of the fame of an artist to be used as a tool/means to market their products (endorsement). If the artist is so incredibly famous, then an item that is only worth trash for ordinary people, it will turn out to be an expensive item if born from the hands of a renowned artist/star.

What an example? 

One of them is the phenomenon of the legacy of John Lennon, frontman of the legendary band The Beatles. In the early 70s (after the Beatles broke up) John Lennon once wrote a letter containing expletives to his colleague Paul Mc Cartney. Tens of years later the letter was accidentally rediscovered and contested in an auction for big fans of the Beatles.

And did you know?

The letter is auctioned for 40,000 US dollars and estimated that it would sell up to the US $ 60,000. Wow! It is remarkable the selling value of 'brand' (read: popularity) a famous figure.

So, the illustration above, if the brand is analogous to a human (famous figure).

Likewise, on products. The more popular a product is the higher brand value. 

Simply put, can you imagine the selling value of the Amazon, Google or Apple brands? What is clear, surely the value is tens of times more expensive than the brand price of the Sariwangi Tea. 😁

Well ... people who are smart and have sharp business instincts (intuition), then he will tend to be more focused on building branding. If you borrow the language of self-development, then branding is the same as your reputation (popularity). I have given an example clearly to the Beatles frontman above.

It is by building this self-reputation that we can have increasingly widespread influence. A good reputation can also save us when it is on failing. Therefore, try to make your reputation so that the higher +, the stronger =, the more popular! 😉

Second, be serious about building commerce that will never loss (a business that is always profitable).

Is there a business that is guaranteed never to loss? The answer: there is!

That is, reviewed from a spiritual perspective.

In my religious scriptures, Al Quran Faathir verse 29 is stated: "Indeed, those who always read the Al Quran, establish prayers, and spend part of the sustenance that We give them, quietly or brightly - boldly, they expect commerce that will not suffer losses.

So spiritually, three businesses are guaranteed never to loss money, namely: reading the Koran, establishing prayer, and spending a portion of sustenance in the way of Allah (charity, waqaf, infaq, zakat, and donations for humanity). Please look for references about interpretations of the Faathir letter above, or by asking your cleric (for those of you who are Muslim).

I, if there is any news in the business media about a business that is bankrupt, then I always remember this verse. Should, as a businessman or as a professional, you should not leave this 'sky trade.' Of course, this recommendation applies to those of you who are Muslim.

Third, reduce and control your debt desire.

A some else too eager to raise a business, making losing his common sense. Make it stuck in the muddy puddle of usury. Uncontrollable lust was the beginning of the cause of the disaster. In 2015, the management of PT Sari Wangi AEA decided to borrow money from 5 banks, namely HSBC, ICBC, Rabobank, Panin, and Commonwealth.

It turns out that the project they developed with the loan fund was not as expected.

Finally, a company that has established for more than half a century is unable to pay and is declared bankrupt. 

Such is the danger of usury, how many people suffer bankruptcy as a result of banking. Even my brother-in-law has a bankrupt business because of usury debt. And there are also some of my friends who are struggling to escape the bondage usury. May Allah make it easy and provide a way out for all of them.

On the other side, don't just because for the sake of prestige and lifestyle, then you are willing to owe here and there. Moreover, dig the hole and close gap (read: often in debt), just because you want to look like rich. Don't cheat yourself, because that attitude will only torture us. Precisely with a simple life will increase and enhance your reputation.

In general, other people prefer an honest attitude and simple behavior of our lives. Soul wealth is far more valuable and more radiant than deceptive lifestyles and prestige. In general, people is don't like someone who has the prestige is too high because people like this usually have arrogant and picky qualities friends.

Thus, Sariwangi tea gives a lesson that "valuable" to all of us, that branding or reputation is much worth. And another lesson that we can learn from Sariwangi is; so that not to get stuck in the 'puddle' of usury debts that ensnare endlessly.

Other exciting Articles: 17 ENTREPRENEURIAL MINDSET and BUSINESS LOGIC (Part #2)

And other the essential thing ==> hurry to run; "sky commerce." 

That is, a business that never loses, and the profits will continue to be brought until we die! (Look again at the contents of the Faathir Qur'an verse 29 above).

Indeed, Allah is Almighty Rich. And later, in the end, after, He will retaliate and give rewards without limit to anyone He wants. That's the luckiest person!

Hopefully, we are all part of those lucky people.

Thus the article about the importance of the brand, the danger of usury and business that never loss (always get profit).

Regards, success, hopefully, blessings always accompany our effort, Aammiin.

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Regards.