The Metcalfe law states that the economic power of a company is the square of the number in its network. In this way, you can not only win new customers but also explain how wealth is created. For example, if you have a network of 4 employees, your economic power is 16. If you double your network to 8 individuals or companies, your economic power is 64. As you can only see from this simple example, building and maintaining one or more networks will have a very large and positive impact on your success.
What is a network?
That’s an obvious question to be sure. In its simplest form, and for this article, a network is a group of people who are connected by a common interest or goal. They share a common interest or understanding as well as mutual respect. For this reason, the network can and will look for ways to help everyone in the network improve their situation. It is actually a very basic human desire.
Why build networks?
Apart from our economic example above, there are many good reasons to actively build and maintain one or even several networks. On the one hand you will interact with like-minded people. This has the obvious advantage that you have the opportunity to sell your products and services and find reliable resources. Interacting with like-minded people also opens your mind and helps to generate new ideas and creates a sense of enthusiasm in you.
By networking with others you will build a network of trust. You become a trustworthy member and have access to other trustworthy members. This gives you credibility both inside and outside the network. People buy and do business with those they trust.
How to build an online network
In this article we will discuss the two major areas of networking, online and offline. In today’s business world it is necessary to build both. In many cases, in fact, you don’t have a choice, because these two seemingly different forms of networking are interconnected.
When it comes to online networks, Facebook and LinkedIn come to mind first. Of course, there are many other social networking sites like Twitter, FourSquare, Pinterest and even YouTube. But of all networking sites, Facebook and LinkedIn offer the most powerful and realistic networking opportunities. They all offer a comprehensive system for creating profiles for businesses and the ability to share information and connect with groups within the framework of the social website.
Social networking online is important not only for your ability to associate, but also for search engine traffic and online marketing. Social networking is a very effective means for business people to exchange information and knowledge. Links and useful content can be routed through a virtual online network at amazing, almost instantaneous speed. And with the power of computers, tablets and smartphones, these networks can be easily and efficiently monitored.
How to build them is very simple. You can upload your email contact lists and the systems represent you with people you know and people you know. You can very quickly search for friends, relatives and business partners and exchange social media contacts with those you see personally. You’ll be amazed at how fast and how big a network can grow. Of course, this does not always mean immediate economic power.