My blogging activity recently has been a bit slow.  I haven’t learned the art, if that is what it is, of blogging during intense periods of work.  This post is offered as a form of apology for my absence from ChrisMercer.net.

I was in Tokyo earlier this month and spoke on the topic of “The Value of a Brand is in or at the Margin of a Business.”  I concluded that if there isn’t much profit margin in a business, there probably isn’t a lot of value in the brand.  The setting was the 2013 RICS Asia Valuation Conference.

I also attended meetings of the Professional Board of the International Valuation Standards Council, of which I am a member (and did blog about).  While in Tokyo, I did have a couple of days to look around the city and I spent my last day in Japan on a tour to see Mount Fuji.  Wonderful!  The return to Tokyo was on Japan’s legendary bullet train.  This image captures both.

I was scheduled to leave Tokyo on Sunday, November 6th.  Since my bus to Narita International Airport was at 11:30am, I slept in until 7:30am, then decided to give myself an extra half hour, since I was still struggling with the 15 hour time zone difference.  I awoke at 7:44am, feeling at first like my right leg was inexplicably shaking.  Then, I was aware that my entire bed was shaking.  By this time, I knew something was amiss.  I looked out my window while grabbing for slacks and shoes and realized that the hotel itself was swaying a bit. And then it was over.

I didn’t know what “it” was until breakfast, when I learned that I had experienced a 5.5 magnitude earthquake.  I’m grateful it wasn’t worse.  While the trains in Tokyo were temporarily halted, there seemed to be little other impact.  I can tell you that while I didn’t panic, it was a pretty sickening feeling to think that had it been worse, there was little way out of the hotel quickly and that I and all the guests were painfully exposed.  The joys of travel.

In the two weeks since Tokyo, I’ve filed reports in two significant litigations, testified at a hearing in a southern state, returned to this southern state to be deposed regarding the value of a business, attended the deposition of the other side’s expert, participated in settlement discussions, and helped to achieve a settlement regarding valuation issues in a substantial divorce matter.  Blogging has not been on my mind.

I did manage a recent post though addressing the question, “What is Transferable Business Value?”  The conclusion of that post is that unless your business has identifiable earnings that others are willing to pay for, it may be of priceless value to you, but it lacks transferable value.

As of the drafting of this blog post, I’m at the Memphis International Airport to begin a circuitous journey to Milan, Italy.  Since Memphis is no longer a Delta hub airport, it takes three legs to get to Milan.  I can do two legs to get to JFK in New York and then fly to Milan, or I can fly to Europe and take two legs there.  The former is the least worst.  I have to be clear for my Tennessee friends, because there is  Milan, Tennessee, which is spelled the same but has a totally different pronunciation.

In Milan, I’ll be speaking at the 2nd International OIV Conference on Business Valuation.  I was invited by Professor Mauro Bini, a fellow Professional Board member of the IVSC.  I’ll be talking about “The Integrated Theory of Business Valuation.”  The Organismo Italiano di Valutazione (OIV) is responsible for setting standards and providing technical guidance in the business valuation arena.  I’m delighted to have this opportunity to address the business valuation community in Italy.

I’ll have time on Sunday and Monday to look around Milan.  As I did in Tokyo, I plan to hire a car and English-speaking driver to help make my limited time as a tourist  as productive as possible.  If you travel and don’t do this, let me suggest that it is a wonderful way to see and learn a lot in a short period of time.  Hotel concierges can usually work a trip out if they have a bit of time.

Until next time, from Milan,

Chris