Loading...
businesseducationtechnology
It's Not Worth Being Naive; You’re Important When Someone Needs You.
About this Episode
It's Not Worth Being Naive; You’re Important When Someone Needs You.
Buena Vista Social Club. It was a music project and a huge success. In 1996, the song "Chan Chan" ruled the radio stations. Beautiful and atmospheric, it brings back memories of the island’s best times for those who have been to Havana. The music video showcases life in Old Havana, with people and stereotypes: old cars, cigars, rum, and, of course, elderly gentlemen in white hats playing guitars, bass, and trumpets. The production won a Grammy, and a documentary was filmed to the music from the album. In the years following the project’s success, tickets for "evenings" with BVSC music could be bought in Havana and Miami. The package includes dinner, wine, and a cigar, with dancing, fun, and an incredible atmosphere. The show (concert) ends, and tourists head back to their hotels, richer in cultural experience and with the naive belief that they have encountered the last bastion of true culture.
Compared to other Caribbean islands, Cuba is still shrouded in a melancholic mist of romance and regret for lost time, but also respect for how the nation has managed to preserve its roots. Despite poor conditions on the island, a lack of infrastructure, and unattractive dining and sanitation conditions, the place is full of tourists. When I first visited Cuba in the 2000s, I was robbed but felt happy. In the next decade, I returned to the island, and it had changed beyond recognition — for the worse. My last visit before COVID left me feeling completely disappointed. Although more and more hotels are being built there, even luxurious ones like Kempinski, the charm has vanished. At least for me.
Cuban President Miguel Díaz-Canel explains that the deteriorating situation in Cuba is due to debt, embargo, and general backwardness. Lack of fuel and energy shortages prevent attracting investors. Economic uncertainty and a complicated import-export system mean this island, which isn’t self-sufficient, has to import products like tobacco from Vietnam. Even though there’s a fishing industry, it’s impossible to buy fresh fish. The lack of foreign currency means the country can’t pay off its debts. The cycle closes in on itself. The main export commodity is doctors and nurses. Officially, this is called the export of professional services, which is three times larger than other goods like cigars, rum, or even nickel, not to mention tourism revenue. Even cooperation with China can’t improve the situation.
And this point is particularly interesting. Theoretically, in this situation, Russia or China could, at minimal cost, effectively colonize Cuba. But that’s not happening. Moreover, contracts with China are of an interventionist nature, if not outright humanitarian aid. And one could ask what this story teaches us from a modern business perspective. I know this may come as a shock. Why am I comparing an economy to startups? But I’ll continue with this thread. First, the survival of a business depends on its market and its capacity. Secondly, having the right partners and implementing a collaboration strategy is crucial, but the most important is not to rely on help when the other party has no vested interest. In discussions about building startups, we often talk about Product-Market Fit or production costs. It’s precisely the definition of mutual or three-sided interest that is the most critical success factor for continuity, if not survival.
Buena Vista Social Club. It was a music project and a huge success. In 1996, the song "Chan Chan" ruled the radio stations. Beautiful and atmospheric, it brings back memories of the island’s best times for those who have been to Havana. The music video showcases life in Old Havana, with people and stereotypes: old cars, cigars, rum, and, of course, elderly gentlemen in white hats playing guitars, bass, and trumpets. The production won a Grammy, and a documentary was filmed to the music from the album. In the years following the project’s success, tickets for "evenings" with BVSC music could be bought in Havana and Miami. The package includes dinner, wine, and a cigar, with dancing, fun, and an incredible atmosphere. The show (concert) ends, and tourists head back to their hotels, richer in cultural experience and with the naive belief that they have encountered the last bastion of true culture.
Compared to other Caribbean islands, Cuba is still shrouded in a melancholic mist of romance and regret for lost time, but also respect for how the nation has managed to preserve its roots. Despite poor conditions on the island, a lack of infrastructure, and unattractive dining and sanitation conditions, the place is full of tourists. When I first visited Cuba in the 2000s, I was robbed but felt happy. In the next decade, I returned to the island, and it had changed beyond recognition — for the worse. My last visit before COVID left me feeling completely disappointed. Although more and more hotels are being built there, even luxurious ones like Kempinski, the charm has vanished. At least for me.
Cuban President Miguel Díaz-Canel explains that the deteriorating situation in Cuba is due to debt, embargo, and general backwardness. Lack of fuel and energy shortages prevent attracting investors. Economic uncertainty and a complicated import-export system mean this island, which isn’t self-sufficient, has to import products like tobacco from Vietnam. Even though there’s a fishing industry, it’s impossible to buy fresh fish. The lack of foreign currency means the country can’t pay off its debts. The cycle closes in on itself. The main export commodity is doctors and nurses. Officially, this is called the export of professional services, which is three times larger than other goods like cigars, rum, or even nickel, not to mention tourism revenue. Even cooperation with China can’t improve the situation.
And this point is particularly interesting. Theoretically, in this situation, Russia or China could, at minimal cost, effectively colonize Cuba. But that’s not happening. Moreover, contracts with China are of an interventionist nature, if not outright humanitarian aid. And one could ask what this story teaches us from a modern business perspective. I know this may come as a shock. Why am I comparing an economy to startups? But I’ll continue with this thread. First, the survival of a business depends on its market and its capacity. Secondly, having the right partners and implementing a collaboration strategy is crucial, but the most important is not to rely on help when the other party has no vested interest. In discussions about building startups, we often talk about Product-Market Fit or production costs. It’s precisely the definition of mutual or three-sided interest that is the most critical success factor for continuity, if not survival.
Hosts & Guests
No transcript available for this episode.
