Refund guarantee on book too

Press, 30 July 1986, Page 40

Refund guarantee on book too

By

SIMON LOUISSON

in Wellington The man who liked the shaver so much he bought the company has written a book about his experiences.

Victor Kiam bought the failing Remington Company in 1979, and with the help of his famous ad turned its $6O million loss into multi-million dollar profits. His book, “Going for it,” tells people how to succeed as an entrepreneur in the best traditions of “How to win friends and influence people.” Mr Kiam, dressed in the same red Remington tie he is pictured in on the dust jacket of the book, was in New Zealand last week for the book’s launch. Between business calls and having lunch, he spoke to “The Press.” “Entrepreneurship” is a lifestyle, according to Mr Kiam. He admits it has precluded him from having a great many friends, but on the other hand it allows him to participate in the all-important game which he plays to win. Sacrifices must be made, but his family remains the number one priority.

“What was sacrificed

was my associates. I’ve got a lot of acquaintances and a few very good friends.

“You can go through life watching other people doing things or you can do them yourself. I don’t want to be a voyeur.”

While Mr Klam’s son has joined Remington, he is not entirely approving because it means his son will not be the entrepreneurial risk-taker he had to be.

Mr Kiam forcefully rejected the suggestion that he is more of a salesman than an entrepreneur. He says that all life is selling, whether it be convincing a share analyst about the merits of a company or proposing marriage to your prospective partner in life. The difference between a salesman and an entrepreneur is that the former assumes no risks or responsibilities. “The entrepreneur has to stand on his own two feet and be counted.” A key skill for the entrepreneur is to learn how to “prioritise” things — take a rifle-shot rather than the shotgun approach. “In my book you have to commit, yourself

to a few things and do them well.”

Mr Kiam, aged 59, says that when he was young he never knew what the word entrepreneur was, but he always looked for the opportunity. After completing the Harvard Business School he worked first for Lever Brothers and later for Playtex Corporation as a salesman. In 1968 he decided to go it alone and bought into Bennis Corporation. However, it was in 1979 when, with less than $2 million of his own money he made a leveraged buyout of the Remington Company for $5O million.

He believes that success is 70 per cent hard work, 20 per cent ingenuity and 10 per cent luck. He admits luck played a fair part in his obtaining Remington, but it was his skill in interpreting a one-line newspaper statement by Remington’s former owners, Sperry Corporation, which allowed him to recognise the opportunity. This is a crucial skill for the entrepreneur, and one which Mr Kiam has not always possessed. He once was offered, but let slip through his hands, a

product called Velcro which has since made millions for its owners. Confidence is another key ingredient for the entrepreneur — another item Mr Kiam was short on when he was young. One of the things that gives a businessman confidence is having a good product. He says hype can sell a product, but having the best product will serve you better in the long run. Why does a man with Mr Klam’s wealth arid responsibilities bother to write a book like “Going for it”?

“I wanted to tell people who wanted to become entrepreneurs how to do it And I though I had a good story to tell,” he says..

All the money from the book is ploughed back into advertising it and it has one feature typical of its type — a money-back guarantee if satisfaction is lacking. There is a slight suggestion that the book may be an adjunct to the successful Remington advertising campaign, but this has not stopped it hitting the bestselling lists in England, Australia and Canada.

Commenting on business conditions today, Mr Kiam says there is more opportunity than ever for entrepreneurs. When he was young the ultimate goal was to head a large corporation, but today’s students want to do their own thing. He says that since 1972 more than 24 million jobs have been created in the United States, compared with only 1.5 million in Europe. The difference is due to the climate created in the United States which encourages entrepreneurs. This is done through allowing tax breaks for small companies employ-

ing less than 35 people, finance institutions being forced to allocate a certain proportion of funds to new ventures, and most importantly, through the efforts of venture capitalists.

For New Zealand, Mr Kiam suggests that people have to pull together more.

“You can’t have industries shouting out for a bigger piece of a shrinking pie. The world is shrinking economically. The one thing a New Zealander could do is pull together, sublimate his selfish desires." While Mr Kiam was

held up by a 24-hour Air New Zealand strike, Remington has not lost one second through industrial disputes since he took over.

Mr Kiam has harsh words for “investors,” money manipulators as he calls them. The pension fund operators are not really investors any more as they turn over investments every 90 days. He has nothing against the Ron Brierleys of this world, as long as their operation is creative and not destructive.

“If it’s creating, jobs, I’m in favour,” he says.