| To visualize the business model behind
GDI Solutions,
consider the following simple analogy of the capital markets.
The capital markets bring investors,
investment services, market knowledge, and alternative investments together as a
well-established marketplace for financial investments.
This helps all investors to find the investments which
are expected to meet their objectives while enabling companies to
efficiently raise the capital they need. Service providers work with
both sides of the market to mutual benefit. The marketplace (NYSE,
NASDAQ, investment banks, venture capitalists, etc.) is the infrastructure
which brings investors and investments together to do business efficiently.
The market is where Supply (Investors) meets Demand
(Investments) through intermediaries with the knowledge and contacts to
support working relationships which bring both sides of the market together.
Corporations invest billions of dollars each year on
capital projects such as new offices or factories to support the growth of
their many operations worldwide, but there is no efficient marketplace to
bring together the corporate investors, project support services, and
reliable information about their many investment and service alternatives.
Instead, it remains a very fragmented market of many separate specialties
and local services.
GDI Solutions is now bringing investors,
investment services, market knowledge, and alternative investment locations together as a
new marketplace for direct capital investment projects. Our role is to be
the infrastructure which makes this market more efficient for the benefit of
everyone, rather than become an intermediary in all the transactions. |
That's the vision behind GDI
Solutions : create an efficient marketplace in which Supply (professional
service providers and area representatives) can be introduced to Demand
(corporate investors):
- network the world of direct investment projects more
efficiently,
- help share practical niche market knowledge and
research work,
- develop projects faster and better in good business
locations for their needs,
- provide valuable benefits to all
three types of participants as they work together more effectively
- develop more successful investment projects, and
- support investment flows from anywhere, to anywhere.
Imagine the potential impact if a far
more efficient marketplace can be created for major capital investment projects.
Companies invest billions of dollars worldwide in such projects each year, but
as the
graphic about our work to bring the three networks together shows, the
investment market is still very inefficient.
The combined structure of our various services, as shown
in the graphic executive summary
and the "funnel" for location
decisions, brings the "data" and "experience" dimensions together through
personal relationships and local market knowledge and contacts.
This should create a far more efficient marketplace, as
also explained in the introductory
analogy about a retail store with many competing products available "on the
shelf" as an independent service. In the financial services analogy here,
the Participants are comparable to the members of an exchange and the various
products which are traded.
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While investors struggle to identify appropriate services
and business locations to meet their needs, the service providers and area
representatives struggle to identify and reach (at the right time) the investors
who need their capabilities.
There are literally thousands of area representatives and
service providers trying to identify and promote their services to any
executives who might be responsible for projects which could use their specific
locations or services, which is like looking for the proverbial needle in a
countryside full of haystacks.
That is analogous to the absurd idea of thousands of CEO's
or CFO's trying to go out and track down individual investors and sell all their
shares personally, instead of using the capital markets and service providers to
continually find investors who would find such an investment to be of potential
interest.
|
When a company needs to
raise capital, or an individual or institution seeks to invest capital, they
can easily turn to efficient capital markets to find independent research
and analysis, financial service providers, sources of capital, and useful
information about their many investment alternatives. The market
infrastructure is highly developed. For example,
financial reporting standards make it relatively easy to obtain directly
comparable and timely, reliable information about many companies, and to
know where to find specific types of information quickly to support
investment decisions.
There is no "right" investment for everyone, but there
are many resources to help investors identify appropriate investments
according to their own unique interests. Similarly, the market enables
companies to raise the capital they need without the CEO's and CFO's going
out and trying to personally find many individual investors and persuade
them to buy shares. |
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There is no consistency in reporting about capital
investment locations or project support services to make the investor's task
easier in this market. A vast amount of promotional or statistical
information is available about potential investment locations, but it can be
hard to find what the executive really wants to know, and some of the available
information can be very inconsistent or confusing for the comparison of
alternatives. There are also few standards among the service providers.
Caveat emptor!
Executives are basically left to figure out each project
on their own, or to find capable support as best they can through their own
networks. That is why services such as GUIDE and SICR have been created.
|
GDI Solutions
is
creating a shared service in the form of a knowledge exchange based upon many
personal relationships, supported by technology such as this website and
other tools, to connect the networks of leading investors, investment
services, and investment alternatives so that it becomes easier for all of
them to reach each other and work together in a more efficient and
productive manner. Imagine how much time and
money is wasted today among all three groups, and how many good investment
opportunities are missed, for lack of an efficient process to introduce
these three groups to each other so that they can do faster and better
business together. A better market should become the proverbial rising
tide which raises all boats. |