Finally, New Year is here!

Stop procrastinating. Get 12min Premium at 44% OFF!

156 reads ·  4.6 average rating ·  23 reviews

The Business of the 21st Century

The Business of the 21st Century Summary
Investments & Finance and Career & Business

This microbook is a summary/original review based on the book: 

Available for: Read online, read in our mobile apps for iPhone/Android and send in PDF/EPUB/MOBI to Amazon Kindle.

ISBN: 8183222609, 978-8183222600


Have you realized that we are at the beginning of a new century? We inaugurated the 21st century. You may have noticed that many things have changed and continue to do so. Do you want to learn how to be ready for the next changes in the business world? Want to know what is the best business for the 21st century? Then, this book is for you.

The 21st Century Business is a "how-to" guide, so be prepared for direct and objective instructions. Kiyosaki is known to "get to the point." This book does not require academic or corporate knowledge, but attitude and willingness to get it done. In fact, the author states that traditional academic training may hamper because it's to a twentieth-century mentality.

Stop complaining about the economic crisis, political instability, taxes, inflation or unemployment. Robert Kiyosaki, who is also the author of the renowned book "Rich Dad and Poor Dad," this is the best time for you to start your business. He says that crises only evidence the natural instability of life and the only way to protect yourself is by achieving financial freedom.

The author doesn't do "lip service." When he and Kim Kiyosaki, his wife, set up their first business in the 1980s, they both had no home, lived in an old car, had no job and were in debt. Six years later they were millionaires. This book is about how the dream of financial freedom, which Kiyosaki achieved with much effort, can be achieved in a slightly less time-consuming way.

In addition to Kim, who writes a chapter on how women can succeed in direct sales, another contributor to the book is John Fleming, a renowned architect who has spent the last 40 years devoting himself to the business world, applying architectural concepts to direct sales and personal development.

The main message of this book is to lead the reader to reflect: "If you don't take responsibility for your finances, you will receive orders for the rest of your life; either you own money, or y you're a slave to it. It's your choice."

The rules have changed

Having a good job is so common that many people find it to be normal. But it isn't! Employment is a social form of work that had only become regular in the Industrial Age when mass production required standardized labor. Before, in the Agrarian Age, most were entrepreneurs. The king didn't pay the people, on the contrary, they paid the king taxes to work on his land. Citizens were entrepreneurs with small businesses.

Kiyosaki insists that one of the main reasons why most don't achieve success is because they think with the Industrial Age mentality, which prevailed in part of the Modern Age and lasted until the twentieth century. Now we live in the Information Age, and the rules have changed.

In the twentieth century, it was considered good advice to go to school, get good grades and get a good job. In the 21st century, even large corporations run the risk of becoming obsolete and failing. The only way you can find financial security is by starting your own business.

The twentieth century allowed people with an employee mentality to thrive for much of their lives. The twenty-first century asks individuals to have an entrepreneurial mentality. You need to take control of your source of income. The only way for you to acquire a solid future is to create it yourself.

The positive side of crises

During a crisis, there are more opportunities to exercise creativity, because traditional paths no longer lead to the same results. We are called to leave the comfort zone and dare to walk different paths to achieve new goals, learning to deal with the new adversities.

Big companies like Microsoft and Disney have emerged in periods of recession. Crisis brings forth the strength in the weak. "In times of weakness the strong rise." But it's not a magic trick. It takes effort. The author asks two crucial questions: 1st: are you willing to doggedly pursue your dreams? 2nd: What exactly are you going to do?

Cashflow quadrant

Kiyosaki systematized his ideas on financial thinking in a four-letter quadrant. On the left side are the letters "E" and "A." On the right side of the quadrant are the letters "O" and "I." "E" means employee, "A" freelance or small business, "O" owner of a company and "I" investor.

Most people on the planet live on the left side of the quadrant, especially on the letter E, while only a small portion lives on the right side. However, it is in the letters "D" and "I" where financial freedom is.

To gain financial freedom, it's not enough to just make more money. In fact, itis very common for people to raise their incomes and then lose everything again. Most lottery winners, those who make millions, lose everything in a few years.

To create truly genuine wealth, the main thing isn't to make more money, but to change your mindset. It's like changing your address. Imagine that you live in one of the letters of the quadrant: to create genuine wealth you will have to change letters, that is, change the address.

It's no use just changing jobs. If there isn't a change in mindset, even top executives will continue to live as employees. It's not easy to get off the left side of the quadrant, as our society trains us to be employed, to live on the left side of the quadrant.

Some still fall into the trap of moving from the E quadrant to the A quadrant. And they think that by engaging in autonomous activity they will gain freedom, but that is also a trap. The only difference between the letter A and the E is that, as an employee, you blamed your boss for not having the job you wanted and as a freelancer, you can only blame yourself.

The essential financial values

Your financial values ​​are not the results of your external environment. They don't depend essentially on the economy, on their social class, or on their schooling. Your values ​​relate much more to your strengths and weaknesses, what drives you.

Quadrant 'E' values

Those who live in the upper left quadrant, that is, with the letter E, have safety as their fundamental value. They are people who don't take risks and retreat from the possibility of losing or failing. Ironically, these are the ones who are in the most insecure situation because they depend on a job that can disappear at any moment. The typical phrase of those on this side of the quadrant is, "I'm looking for a secure job, a good salary, and great benefits."

Quadrant 'A' values

"If you want something done right, do it yourself." This is the phrase from quadrant A. If there was a song that was his motto, it would be "My Way." People in this quadrant left the E to the A in search of independence. In this quadrant, there are microentrepreneurs, several professionals such as doctors and accountants who prefer to work on their own than having to take orders in a hospital or office. There are also experts and consultants in this quadrant. The fundamental value of quadrant A is independence. Ironically, whoever is in this quadrant depends on a regular workday.

To jump from quadrant A to O requires a quantum leap. And this has nothing to do with schooling. In the real world, students who score 10 in high school often work for students who score 8. And students who score 9, work for the government.

Quadrant 'O' values

A major challenge for Quadrant A is that you have a constant pressure to be better and better in your area. In fact, you often charge yourself to be the best in your industry when you are in quadrant A. In quadrant O; this is not important. The typical phrase in quadrant O is: "I look for the best talent to join my team." If you're in quadrant A, you're probably the best on your team. If you are from the O quadrant, it's possible that you are the least skilled in your group. In quadrant O, the important thing is to build a competent team.

Quadrant 'I' values

An investor thinks about the return. The typical phrase of this mental model is: "What is my return on investment? " In this quadrant, financial freedom is the most valued circumstance. Investors love the idea of ​​money working for them rather than themselves having to work to make money. These are also common words from investors: "I'm getting 20% ​​return on my investments"; "I want to see the company numbers;" "How much-deferred expenses are involved in maintaining the property?".

If you want financial freedom, you don't need a new job, but you need to change your address. Exit the left side and go to the right side of the Cashflow Quadrant. Go to the other side of the graph. Sometimes you may think you've moved, but you still have the old mindset. For example, if you are going to invest in real estate and have the values ​​in quadrant A, you may find that real estate is good because you will need to clean toilets. While in the same industry, someone in the D quadrant will think about hiring a great maintenance company.

An enterpreuner mind

An entrepreneur is essentially someone who has the courage and who makes the capital flow. You don't need to raise capital to create your business; the capital has already been raised. Your role is to make it flow. And you can do this in three ways.

First, as an entrepreneur: making customers buy your products. And if you own a company, you must make your employees generate at least ten times what you invested in them. When you have done this, investors will give you as much as you need.

As an entrepreneur, what you will do most is raise capital. But first, you must start your business. The capital has already been raised for you and your role now is to make it flow. That is why network (ML) marketing is a great business. You already have a company; now you have to build your network.

Take control of your life

To have financial freedom and produce genuine wealth, you don't need money. In four years, Kiyosaki ceased to be a homeless man and became a millionaire. What you do need is a dream, determination, desire to learn quickly and to understand in which sector of the Cashflow quadrant you are operating.

The D quadrant is a great place to generate genuine wealth. But there is one problem: initial capital is needed. In addition to being very risky, since 90% of new companies go bankrupt before reaching the age of five. That is why network marketing is the business of the 21st century. It takes a low starting capital, and there is a high possibility of generating passive income or residual income, that is when money flows even if you do nothing.

It's not about income - It's about the assets that generate income

Often, the concepts of "active" and "passive" are confused. If it doesn't make you money, it is not an asset; it is a liability. Active is when it makes money even if you don't work. Income earning is when you make money for some work or sale you make. Cash flow is when you make money regardless of what you do.

For example, if you buy a property and resell it at a great price, this is not an asset because you will receive nothing from that property after you sell it, and before you sold it, you gained nothing from it. On the contrary, you paid maintenance. This property is a liability. However, if instead of selling, you rent, it then becomes an asset and makes you money every month. Imagine you have a cow and sell it to the butcher, that's passive, but if you sell only its milk, it's active asset.

Thus, network marketing is not about capital gain alone, but mainly about cash flow. It's about building assets that will generate income for you because you will have a network of employees that will earn you continuously, not just money, but several other assets that we will see now:


There are three types of education to become successful. The academic, where you will learn to read, write, etc. A professional, where you will learn how to behave in a particular job. And financial, where you will learn how to make money.

In network marketing, you will have the financial education. You will learn from the real business world. With people who will stimulate you continuously, because their success is tied to their success. The more you win, the more they win. It is a direct relationship. You will be encouraged to develop financial management, goal setting, time management, overcoming rejection, communication, overcoming fears, doubts and insecurities. Anyway, you will learn the skills to be an entrepreneur.


You will have a team supporting you towards your personal development. We all have a winner and a loser within us. In network marketing, your team will constantly stimulate your winning side. Important skills such as moving forward and staying focused will constantly be stimulated.


If you want to get rich, you need to create a network of contacts with those who are wealthy or who can help you get rich. Their income tends to be roughly equal to the average income of their five closest friends.


Power is not in the product; it is in the network. Your product may be the best in the world, but still, that's not the most important. Having a network that distributes your product is what will make your business successful. It is Metcalfe's Law, according to which "the economic value of a network equals the number of users of the network squared." A network marketing company is genuinely from the Information Age. In this business, the most important thing is not to sell, but to communicate your idea and create a network.


"The key to success in sales is what you can do. The key to success in network marketing is what you can duplicate. " And for that, instead of training to become a speaker and expert presenter, you use the business tools provided by your company to do the presentations for you.

You will need Asset 1's skills: self-confidence, withstand rejection, communicating, being a storyteller, caring for people, etc.


Genuine leadership is the ability to speak directly to people's hearts. You will be trained in this skill in network marketing. Money flows to the companies that have the best leaders. Companies that have forgotten how to tell their own story leave the market.


Wealth is the ability to survive days in the future. Ask yourself: If I stop working today, how long will I survive financially? Your answer equals your wealth at the time.

To create true wealth, Kiyosaki indicates four steps:

1: create your own business;

2nd: reinvest in the business;

3rd: invest in real estate;

4th: let assets buy your luxuries, as for luxury everything you want but don't need.


In network marketing, you will have the constant training to have big dreams. To do this, start asking the question, "How much can I pay for this?" That way, you train your brain to schedule for great things and to plan. Erase phrases such as "I can not pay for it," "this is too expensive for me," etc.

There are five types of dreamers. The first is the one who lives only in the past. The second type is the one who has small dreams. There is a third type who realizes his dreams but gets bored. The fourth type is one of those who dream big, but who, without no planning, end up with nothing. And the fifth type is those who dream big, realize their dreams and dream even bigger. You will be encouraged to be of the fifth type in network marketing.

A business in which women stand out

Network marketing is a good business for women because its based on communication and relationships. And, historically, women have been trained to be better at these two areas.

Choose with wisdom

Choose your company, not for profit policy, but for that company's business education proposal, that is, choose a company that cares about business skill as well as profit. Meet the leaders of this company, see if they are examples of inspiration to you and, of course, know the products.

What's needed

It takes a five-year plan. That is, knowing that you may have income from today, but that you will succeed after approximately five years. In the first five years, 90% of businesses fail. You will need approximately 10,000 hours of work to achieve success. It was about this time that it took Robert and Kim Kiyosaki to stop being homeless to be millionaires.

Live life

What will make you rich are not the assets, the real estate or the hard work but your knowledge about assets, real estate, and hard work? Knowledge is what makes you rich, not academic knowledge, but financial knowledge. There are four parameters for you to measure your financial intelligence:

  • Knowing how to make more money: The more money you make, the greater the hint that you have high financial intelligence.
  • Know how to protect your money: If you and another person have the same monthly income, but you pay 20% tax and that person pays 40% tax, this is a sign that you have more financial intelligence.
  • Knowing how to budget is a great indicator of your financial intelligence: if you don't know how to budget no matter how much you make, you can get in trouble.
  • Lastly, know how to leverage your money: the more you make your money yield, the greater your financial intelligence.

Remember: The goal of network marketing is not for you to have more money, nor to have more freedom. The real goal is for you to live a magnificent life. There are three types of people: those who live in fear, those who live in anger and those who live in frustration. The goal of network marketing is to have an abundant life with joy, peace, and contentment.

Final Notes

Network marketing, in addition to all that has been said, is also a more just form of wealth acquisition than the previous ones. It's a democratic model in which everyone can participate, without excluding prerequisites. Social inequality is one of the main causes of violence. By enabling the financial well-being of humanity, network marketing contributes to world peace. This is the business of the future.

12min Tip

At no pressure, we invite you to know at least three network marketing companies in the next three months. Sounds good? Welcome to the 21st century!

Sign up and read for free!

By signing up, you will get a free 3-day Trial to enjoy everything that 12min has to offer.

or via form:

Who wrote the book?

Robert Toru Kiyosaki is an American investor and entrepreneur. He is best known as the author of the perennial bestseller, “Rich Dad Poor Dad,” which turned his name into a brand, spawned a series of over 20 books, s... (Read more)