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aded going to the gym； but once I am there and in motion； it is a pleasure。 After the workout is over； I am always glad I talked myself into going。
If you are unwilling to work to learn something new and insist on； instead； being highly specialized within your field； make sure the pany you work for is unionized。 Labor unions are designed to protect specialists。
My educated dad； after falling from grace with the governor； became the head of the teachers union in Hawaii。 He told me that it was the hardest job he ever held。 My rich dad； on the other hand； spent his life doing his best to keep his panies from being unionized。 He was successful。 Although the unions came close； rich dad was always able to fight them off。
Personally； I take no sides because I can see the need for and the benefits of both sides。 If you do as school remends； bee highly specialized； then seek union protection。 For example； had I continued on with my flying career； I would have sought a pany that had a strong pilots union。 Why？ Because my life would be dedicated to learn a skill that was valuable in only one industry。 If I were pushed out of that industry； my life's skills would not be as valuable to another industry。 A displaced senior pilot…with 100；000 hours of heavy airline transport time； earning 150；000 a year…would have a hard time finding an equivalent high…paying job in school teaching。 The skills do not necessarily transfer from industry to industry； because the skills the pilots are paid for in the airline industry are not as important in； say； the school system。
The same is true even for doctors today。 With all the changes in medicine； many medical specialists are needing to conform to medical organizations such as HMO's。 Schoolteachers definitely need to be union members。 Today in America； the teachers union is the largest and the richest labor union of all。 The NEA； National Education Association； has tremendous political clout。 Teachers need the protection of their union because their skills are also of limited value to an industry outside of education。 So the rule of thumb is； 〃Highly specialized； then unionize。〃 It's the smart thing to do。
When I ask the classes I teach； 〃How many of you can cook a better hamburger than McDonald's？〃 almost all the students raise their hands。 I then ask； 〃So if most of you can cook a better hamburger； how e McDonald's makes more money than you？〃
The answer is obvious： McDonald's is excellent at business systems。 The reason so many talented people are poor is because they focus on building a better hamburger and know little to nothing about business systems。
A friend of mine in Hawaii is a great artist。 He makes a sizable amount of money。 One day his mother's attorney called to tell him that she had left him 35；000。 That is what was left of her estate after the attorney and the government took their shares。 Immediately； he saw an opportunity to increase his business by using some of this money to advertise。 Two months later； his first four…color； full…page ad appeared in an expensive magazine that targeted the very rich。 The ad ran for three months。 He received no replies from the ad； and all of his inheritance is now gone。 He now wants to sue the magazine for misrepresentation。
This is a mon case of someone who can build a beautiful hamburger； but knows little about business。 When I asked him what he learned； his only reply was that 〃advertising salespeople are crooks。〃 I then asked him if he would be willing to take a course in sales and a course in direct marketing。 His reply； 〃I don't have the time； and I don't want to waste my money。〃
The world is filled with talented poor people。 All too often； they're ？poor or struggle financially or earn less than they are capable of； not f because of what they know but because of what they do not know。 They focus on perfecting their skills at building a better hamburger rather than the skills of selling and delivering the hamburger。 Maybe McDonald's does not make the best hamburger； but they are the best at f selling and delivering a basic average burger。
Poor dad wanted me to specialize。 That was his view on how to be paid more。 Even after being told by the governor of Hawaii that he could no longer work in state government； my educated dad continued to encourage me to get specialized。 Educated dad then took up the cause of the teachers union； campaigning for further protection and benefits for I these highly skilled and educated professionals。 We argued often； but I know he never agreed that overspecialization is what caused the need for union protection。 He never understood that the more specialized you bee； the more you are trapped and dependent on that specialty。
Rich dad advised that Mike and I 〃groom〃 ourselves。 Many corporations do the same thing。 They find a young bright student out of business school and begin 〃grooming〃 that person to someday take over the pany。 So these bright young employees do not specialize in one department； they are moved from department to department to learn all the aspects of business systems。 The rich often 〃groom〃 their children or the children of others。 By doing so； their children gain an overall knowledge of the operations of the business and how the various departments interrelate。
For the World War II generation； it was considered 〃bad〃 to skip from pany to pany。 Today； it is considered smart。 Since people will skip from pany to pany； rather than seek greater specialization； why not seek to 〃learn〃 more than 〃earn。〃 In the short term； it may earn you less。 In the long term； it will pay off in large dividends。
The main management skills needed for success are：
1。 The management of cash flow
2。 The management of systems （including yourself and time with family）。
3。 The management of people。
The most important specialized skills are sales and understanding marketing。 It is the ability to sell……therefore； to municate to another human being； be it a customer； employee； boss； spouse or child…that is the base skill of personal success。 It is munication skills such as writing； speaking and negotiating that are crucial to a life of success。 It is a skill that I work on constantly； attending courses or buying educational tapes to expand my knowledge。
As I have mentioned； my educated dad worked harder and harder the more petent he became。 He also became more trapped the more specialized he got。 Although his salary went up； his choices diminished。 Soon after he was locked out of government work； he found out how vulnerable he really was professionally。 It is like professional athletes who suddenly are injured or are too old to play。 Their once high…paying position is gone； and they have limited skills to fall back on。 I think that is why my educated dad sided so much with unions after that。 He realized how much a union would have benefited him。
Rich dad encouraged Mike and me to know a little about a lot。 He encouraged us to work with people smarter than we were and to bring smart people together to work as a team。 Today it would be called a synergy of professional specialities。
Today； I meet ex…schoolteachers earning hundreds of thousands of dollars a year。 They earn that much because they have specialized skills in their field as well as other skills。 They can teach as well as sell and market。 I know of no other skills to be more important than selling as well as marketing。 The skills of selling and marketing are difficult for most people primarily due to their fear of rejection。 The better you are at municating； negotiating and handling your fear of rejection； the easier life is。 Just as I advised that newspaper writer who wanted to bee a 〃best…selling author；〃 I advise anyone else today。 Being technically specialized has its strengths as well as its weaknesses。 I have friends who are geniuses； but they cannot municate effectively with other human beings and； as a result； their earnings are pitiful。 I advise them to just spend a year learning to sell。 Even if they earn nothing； their munication skills will improve。 And that is priceless。
In addition to being good learners； sellers and marketers； we need to be good teachers as well as good students。 To be truly rich； we need to be able to give