TIME Careers & Workplace

Top 10 Qualities of Extremely Successful People

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Martin Barraud—Getty Images/OJO Images RF

This post is in partnership with Inc., which offers useful advice, resources and insights to entrepreneurs and business owners. The article below was originally published at Inc.com.

By Lolly Daskal

If you really want to bring success into your life, you should cultivate yourself just as you’d cultivate a garden for the best yield.

The attributes here are shared by successful people everywhere, but they didn’t happen by accident or luck. They originate in habits, built a day at a time.

Remember: If you live your life as most people do, you will get what most people get. If you settle, you will get a settled life. If you give yourself your best, every day, your best will give back to you.

Here are the traits that the highly successful cultivate. How many do you have?

1. Drive

You have the determination to work harder than most and make sure things get done. You pride yourself on seeing things getting completed and you can take charge when necessary. You drive yourself with purpose and align yourself with excellence.

2. Self-reliance

You can shoulder responsibilities and be accountable. You make hard decisions and stand by them. To think for yourself is to know yourself.

3. Willpower

You have the strength to see things through–rather than vacillate or procrastinate. When you want it, you make it happen. The world’s greatest achievers are those who have stayed focused on their goals and been consistent in their efforts.

4. Patience

You are willing to be patient, and you understand that, in everything, there are failures and frustrations. To take them personally would be a detriment.

5. Integrity

This should not have to be said, but it’s seriously one of the most important attributes you can cultivate. Honesty is the best policy for everything you do; integrity creates character and defines who you are.

6. Passion

If you want to succeed, if you want to live, it’s not politeness but rather passion that will get you there. Life is 10 percent what you experience and 90 percent how you respond to it.

7. Connection

You can relate with others, which in turns makes everything reach further and deepen in importance.

8. Optimism

You know there is much to achieve and much good in this world, and you know what’s worth fighting for. Optimism is a strategy for making a better future–unless you believe that the future can be better, you’re unlikely to step up and take responsibility for making it so.

9. Self-confidence

You trust yourself. It’s as simple as that. And when you have that unshakeable trust in yourself, you’re already one step closer to succeeding.

10. Communication

You work to communicate and pay attention to the communicators around you. Most important, you hear what isn’t being said. When communication is present, trust and respect follow.

No one plans on being mediocre; mediocrity happens when you don’t plan. If you want to succeed, learn the traits that will make you successful and plan on living them out every day.

Be humble and great. Courageous and determined. Faithful and fearless. That is who you are, and who you have always been.

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TIME gratuity

And America’s Best Tippers Live In…

Dollars and cents
Finnbarr Webster / Alamy

Data from the mobile payments company Square reveal some huge regional differences in the generosity of customers

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This post is in partnership with Fortune, which offers the latest business and finance news. Read the article below originally published at Fortune.com.

By Miguel Helft

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New Yorkers are stingy with their cabbies (though not quite as stingy as their neighbors in New Jersey). Indeed, New Yorkers are among the worst tippers in the country in a number of categories — but not when it comes to personal hygiene. For some reason, a visit to the barber or stylist inspires generosity in the Empire State. Folks in Seattle and Portland reserve that same kind of giving spirit, no surprise, for their baristas, and Floridians and Texas extend it to their bartenders.

The observations derive from tipping data collected for FORTUNE by Square, the San Francisco-based mobile payments company, whose smartphone and tablet credit card readers have become a feature of thousands of small businesses across the country.

Interestingly, some tipping trends are fairly uniform across the country. Beauty and personal care professionals tend to receive the biggest tips — on average closer to 20% than to 15%. Taxis and limousines skew lower, with average tips below 16% in many states. Tips at restaurant bars show the most variability, with New York fast-food joints receiving an average of 14.77% and bars and lounges in Texas getting 19.66%.

For the full list, please go to Fortune.com.

TIME Apple

The Apple Ad That Will Probably Make You Cry

It just won an Emmy

+ READ ARTICLE

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This post is in partnership with Fortune, which offers the latest business and finance news. Read the article below originally published at Fortune.com.

By Philip Elmer-DeWitt

I never understood the Internet’s hostility to “Misunderstood,” the holiday TV ad from Apple that took home the 2014 Emmy Award for best commercial at the Creative Arts Emmys on Saturday.

“Of course, we’re talking about Apple here,” wrote Ken Segall, the former creative director at TBWA\Chiat\Day, shortly after the spot aired.

“So there’s no shortage of critics eager to tell us why the commercial fails. Take your pick: it says little about the product, any smartphone can make a movie, or the spot is a depressing statement about human values.

“Good grief.

“Most of these people mistake their personal opinion, instinct, values and/or taste for actual marketing talent. There are tens of millions of people who will stop in their tracks at this commercial and wipe a tear from their eye. As a result, they will feel slightly more attached to Apple, which is the marketing purpose of this spot.

“Far from depressing, this ad is wonderfully optimistic. In the most human terms, it says that the right technology can bring people closer together. It’s a perfect thought for the holidays.

“If you want to get a read on the ad’s effectiveness, just Google around a bit. The reactions have been almost universally glowing. In the best of times, that would be impressive enough. But these positive reviews come at the end of a year in which the buzz has not been kind to Apple.

“This ad is a holiday card from Cupertino. It lines up perfectly with the values Apple has communicated for years. It’s not about technology — it’s about quality of life.” (From Apple thinks different for Christmas.)

For the rest of the story, please go to Fortune.com.

TIME Saving & Spending

This 1 Mistake Could Cost You Hundreds of Dollars

istock

Read the fine print—or pay

Everybody hates bank fees, but what’s even more worse is not knowing when or why you’re getting dinged with those charges.

In a new study, the website WalletHub.com finds the average checking account has 30 different fees that can ding you, and banks aren’t always transparent about the details. “Some banks disclose their fees only after a customer has opened an account,” the site warns. “Others disclose their fees in inconspicuous sections of their websites.”

In particular, those $35 overdraft fees that can be triggered by buying something as small as a cup of coffee can really pack a wallop, yet many of us don’t bother paying attention to the fine print that spells out the details of how financial institutions process transactions. We should, though — a new interactive tool from the Pew Charitable Trusts shows how seemingly insignificant differences in transaction-processing practices can make the difference between having enough money in your account to tide you over until your next payday or getting socked with more than $100 in fees.

Pew looks at three different variables: Letting people overdraw their balances when they make purchases or ATM withdrawals versus declining these attempts, processing transactions in the order they happen versus in order of highest-to-lowest dollar amount and offering a $5 “grace period” threshold before an overdraft fee kicks in versus no threshold.

In a trio of scenarios, Pew follows three hypothetical customers in a scenario many Americans are all too familiar with: navigating the demands of daily expenses with less than $200 until the next paycheck comes. In each case, everything is identical for the variable under scrutiny.

The differences are huge. For instance, a customer whose bank processes transactions in the order they happen winds up getting hit with a single $35 fee — while her alter ego who banks with an institution that practices high-to-low transaction ordering gets nailed for FOUR $35 fees when conducting the exact same transactions.

The other two examples show a similar disparity. For many of us, the difference between ending the month 10 bucks in the black versus more than $80 in the red is huge, especially if our spending habits are such that this happens frequently.

Consumer advocates criticize banks for their overdraft practices, pointing out that the customers who pay the bulk of these charges tend to be younger, minority customers who are poorer to begin with and often don’t have the financial education to know a raw deal when they see one. Fewer than 10 percent of bank customers are responsible for three-quarters of overdraft charges, according to the Consumer Financial Protection Bureau. “[This] is especially pertinent as the CFPB continues to study overdraft and will release new rules based on these studies in 2015,” Pew says.

The CFPB says it’s still looking at how these fees impact bank customers. “We need to determine whether current overdraft practices are causing the kind of consumer harm that the federal consumer protection laws are designed to prevent,” CFPB director Richard Cordray said in a statement last month, saying the agency’s most recent research “compound[s] our concerns” about whether overdraft practices leave vulnerable customers at risk.

Until the CFPB acts, it’s buyer-beware out there, so don’t forget to read the fine print.

TIME Money

Bank of America To Pay Record $16.65 Billion Fine

Bank Of America Reports Loss Due 6 Billion Dollar Legal Charge
Spencer Platt—Getty Images

$7 billion of it will go to consumers faced with financial hardship

Updated: 10:14 a.m.

The Justice Department announced Thursday that Bank of America will pay a record $16.65 billion fine to settle allegations that it knowingly sold toxic mortgages to investors.

The sum represents the largest settlement between the government and a private corporation in the United States’ history, coming at the end of a long controversy surrounding the bank’s role in the recent financial crisis. In issuing bad subprime loans, some observers say, the bank helped fuel a housing bubble that would ultimately burst in late 2007, devastating the national and global economy.

“We are here to announce a historic step forward in our ongoing effort to protect the American people from financial fraud – and to hold accountable those whose actions threatened the integrity of our financial markets and undermined the stability of our economy,” Attorney General Eric Holder said at a news conference announcing the settlement.

Since the end of the financial crisis, the bank has incurred more than $60 billion in losses and legal settlements. Of the latest settlement, $7 billion will go to consumers faced with financial hardship. In turn, the bank largely exonerates itself from further federal scrutiny.

However, not all is forgotten. The New York Times reports that federal prosecutors are preparing a new case against Angelo Mozilo, the former chairman and chief executive officer of Countrywide Financial, which Bank of America acquired in mid-2008. As the country’s largest lender of mortgages, Countrywide Financial purportedly played a large role in distributing toxic loans. Mozilo has already paid the Securities and Exchange Commission a record $67.5 million settlement.

TIME Opinion

The Secret to a Viral Ad? Just Make It Really, Really Terrible On Purpose

Latest culprit: A so-bad-it's-good ad for a mall

+ READ ARTICLE

Unless your wifi has been down, chances are high that you’ve already seen a truly awful ad for Missouri’s East Hills Shopping Center — complete with off-pitch singing, singsong chanting about “boots and pants,” fluorescent green words and clothing so synthetic that it’s one lit match away from bursting into flames.

It’s so bad, it’s good. But… is it too good to be true?

“Please don’t debunk this for me, I need to have faith in something during these trying times,” my friend Jordan wrote on Facebook, voicing the collective prayer of the snark-loving people of the internet as they click the video’s play button over and over and over again. (Actually titled “Terrible Mall Commercial,” the spot has been viewed on YouTube more than 1.5 million times in less than three days.)

While the commercial is, in fact, a real back to school ad for the Missouri mall, the man who made it knew exactly what he was doing.

“The whole time we pitched this idea we said, ‘maybe it will go viral.’ And it did,” Suddenlink Media’s Chris Fleck told a local FOX affiliate. Mr. Fleck said. “If you can entertain and get your message in, you’ve accomplished your goal. I just love that it’s getting this much response. That’s what commercials do, they get response.”

And this isn’t Fleck’s first rodeo. Here’s a spot in which Cecil Myers of Cecil Myers Mitsubishi raps his way into your heart:

“If you talk to [Meyers], he’ll tell you that I made him famous,” Fleck said.

This begs the question, is something that is terrible on purpose still terrible? Has this ad, sparkling as the bedazzled jeans it promotes, lost its luster?

“It makes me feel like throwing my computer out a window, or inventing a time machine and destroying ARPANET,” my friend Jordan said upon finding out.

The Mad Men of the digital era have been creating intentionally bizarre ads, made to go viral, for years. Rhett and Link, the ad duo behind the 2011 hit for Ojai Valley Taxidermy, even got a TV show on IFC entirely about creating strange local commercials for small businesses.

But while ad producers might be calculating, the local businesspeople who actually star in this particular breed of ads maintain a sweet sincerity.

Real East Hill Mall tenants starred in the back-to-school spot, and they don’t appear to be in on the irony when they’re touting their purchases by chanting “backpacks, backpacks, come get your backpacks.”

“It’s insane — the fact that it was even on YouTube is crazy to me,” Tyson “boots and pants” Huff-Garza told FOX 26. “It’s super funny, very cheesy and gets the point across.”

And that sincerity is just what differentiates the “so bad it’s good enough to Gchat to all of my friends” ads, from the “so bad it’s boring enough to close the YouTube tab after ten seconds” ads.

We might all be pawns, but you have to appreciate that craft.

TIME energy

Germans Happily Pay More for Renewable Energy. But Would Others?

Germany solar power
Germany has become a world leader in solar power Photo by Sean Gallup/Getty Images

Germany has embraced subsidies for renewable energy, but not every country is willing to bear the economic burden

This article originally appeared on OilPrice

While Germany is breaking world records for the amount of sustainable energy it uses every year, German energy customers are breaking European records for the amount they pay in monthly bills. Surprisingly, they don’t seem to mind.

In the first half of 2014, Germany drew 28 percent of its power generation from renewable energy sources. Wind and solar capacity were hugely boosted, now combining to generate 45 terawatt hours (TWh), or 17 percent of national demand, with another 11 percent coming from biomass and hydropower plants.

This proves that Germany’s controversial Energiewendepolicy is on target to meet highly ambitious goals by 2050 — as much as a 95 percent reduction in greenhouse gases, 60 percent of power generation from renewables, and a 50 percent increase in energy efficiency over 2010.

All well and good, but the economics of renewable energy don’t usually allow for such a smooth transition. As part of the Energiewende, the costs of associated subsidies have been passed on to German customers, who pay the highest power bills in Europe.

Fifty-two percent of the power bill for retail businesses in July 2014 is now made up of taxes and fees. The average bill for a household has reached 85 euros a month, 18 euros of which is the renewable energy levy. The reaction to such fees should have been furious.

It hasn’t been. A 2013 survey revealed that 84 percent of Germans would be happy to pay even more if the country could find a way to go 100 percent renewable.

So how can this model of high targets, high fees and high public support find traction in other countries? The answer is, with difficulty.

Germany’s national engagement toward renewable energy came after a period of prolonged public education, opening up to locally owned wind and solar infrastructure, and investment support. To be sure, other major countries are finding success in the renewable sphere, but not in quite the same way.

While renewable installations in the U.S. may account for 24 percent of the world’s total, they only accounted for 13 percent of the country’s power generation. This compares to Germany, which has more than 12 percent of global installed renewable capacity, but takes 28 percent of its power from it. Spain, China and Brazil trail behind, with 7.8 percent, 7.5 percent and 5 percent of global capacity respectively.

Brazil’s model has similarities to Germany’s, with the government carrying out public auctions for contracts and putting out favorable investment terms for foreign companies looking to set up renewable energy projects. Spain was doing well as wind became its largest source of power generation in April 2013, but economic woes have seen Madrid begin to double back on its commitments.

Political gridlock in Washington, D.C. means renewable energy in the U.S. has been boosted by state and private efforts. Arizona now has the biggest solar power plant in the world, while California has the largest geothermal plant in the country.

In Mexico, the country’s solar potential and the improving cost-effectiveness of PV technology has seen projects like the 30MW Aura Solar I crop up. But the national electricity regulator, CFE, has been slammed for taking up to six months to connect residential PV installations to the grid.

Perhaps the most ambitious plans come from China, which is busy working to transform its reputation from an energy pariah to a respected renewable leader. However, these are being mandated at a central level, with little to no attention being paid to the opinions of the Chinese public.

And there’s the rub. The German public is a willing participant in the government’s efforts, happy to face higher bills in exchange for a cleaner and more energy-efficient future, paying an average of 90 euros a month in 2013. It is true that Germans’ power bills are the highest in Europe, but the trade-off is known, increases are announced and negotiated months in advance, and surprises are few.

In the UK, which was proud of having among the lowest electricity rates in the EU, the government has been hard-pressed to explain to customers just why Scottish Power, Southern Electric, and British Gas have all raised prices, while the Labour Party has promised a 20-month price freeze if it wins 2015 elections.

The UK has left its coal and nuclear infrastructure to stagnate, reversed Blair-era commitments to renewable sources and opened vast swathes of the country to fracking exploration.

Ask them, and Germans might tell you that a pricey electricity bill might actually save everyone from a few headaches down the line.

Read more from OilPrice

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TIME Earnings

Target Profits Tumble by 62% in Second Quarter

Shoppers At Target Corp. Ahead Of Earnings Report
A young girl pushes a Target Corp. shopping cart inside a Target Store in Torrance, California, U.S., on Tuesday, August 20, 2013. Patrick T. Fallon—Bloomberg / Getty Images

The retailer cut its year end earnings forecast amid slack sales and losses from last year's data breach

Target Corporation lowered its year end earnings forecast on Wednesday as the ailing retailer posted a 62% drop in second quarter profits.

Underwhelming sales and the continuing fallout from last year’s data breach have lowered the company’s year-long earnings forecast to between $3.10 to $3.30 per share from between $3.60 to $3.90. Same-store sales in the U.S. remained flat, despite an aggressive promotional campaign to lure in customers with steep price discounts. Sales in Canada, where the company has launched an ambitious expansion of stores, declined 11.4% in what the company attributed to a drop off from strong grand opening sales.

“While results from the quarter didn’t meet our expectations, we are seeing some early signs of progress as we work to improve results in the U.S. and Canada,” said John Mulligan, executive vice president and chief financial officer of Target Corporation.

Target also incurred losses of $111 million related to last year’s data breach, which compromised the account information of some 40 million customers. The company expects total losses from the breach to climb to $148 million as it continues to work through a backlog of faulty payment claims.

MONEY

Why Nobody Calls Target ‘Tarjhay’ Anymore

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Getty

After another disappointing earnings report this week for Target, it's time to take stock of what has happened to the cheap-chic retail industry darling that everybody used to call "Tarjhay."

Target cut its profit outlook on Wednesday, while reporting poor earnings and continued sluggish sales in the latest quarter. While the news was more or less expected—Target recently hired a new CEO to address its well-known struggles in the marketplace—things look as grim as ever for the all-purpose retailer that few shoppers refer to as the fancier-sounding “Tarjhay” anymore.

“Target has given investors ZERO reason to be encouraged that a global turnaround is secretly emerging,” Brian Sozzi of Belus Capital Advisors wrote, responding to Target’s latest earnings report—and rating Target stock as a sell. “At the domestic store level, merchandising issues persist, including weak assortments in apparel (notably the hot category of athletic apparel) and the over-buying of seasonal categories in light of persistent negative traffic.”

“You have seen a brand that has lost its way,” Steve Beck, founder of the management consulting firm cg42, said of Target in early August, after it was revealed Target had lost $148 million as a result of last year’s holiday season credit card data breach, according to MarketWatch. “And the end result is poor performance.”

So how exactly did Target lose its way? Why don’t shoppers flock to Target for cheap chic fashion in the numbers they used to? Target itself deserves much of the blame, but the economy and big shifts in the retail landscape also factor in.

Part of the explanation is that one-stop shopping, which not long ago was perhaps the best sales pitch in retail, is not the draw it used to be. The concept of one-stop shopping made sense for retailers on several levels. All-purpose stores like Walmart and Target expanded grocery sections in order to offer more convenience and efficiency to harried, time-crunched consumers. Many dollar store chains followed the same playbook, pumping up selections of groceries and other household staples to give shoppers reason to pop in multiple times a week, rather than every so often when they needed cheap party favors or random craft supplies.

The idea is that shoppers will come in specifically for low prices on certain items, and perhaps—in the case of Target, especially—for exclusive designer goods that can’t be found elsewhere, and that while they’re in the store, they’d also pile up impulse buys and needed household products alike into their shopping carts. This is all possible when almost everything under the sun, from spicy mustard to designer end tables, fishing poles to kids’ winter coats, is available under one store roof.

Yet at Walmart supercenters, which represent the ultimate in one-stop shopping in America, foot traffic and sales are on the decline. Sales and customer visits have likewise been falling at Target, and even smaller, nimbler dollar stores have seen growth go flat, prompting the need for a dollar store merger that’s yet to be determined.

Many factors have affected sales recently at these outlets, notably the decrease in food stamps to America’s poor, who therefore have less money to spend at Walmart and dollar stores, as well as the monumental data breach at Target, which damaged the company’s reputation among shoppers. Stagnant wages among American workers, and general uncertainty in the economy have hurt sales too. But part of the equation is that, in the age of Amazon Prime, one-click buying, and a range of online grocery shopping services that eliminate the need to browse store aisles, the appeal of one-stop shopping has diminished substantially. If saving time is a primary concern for consumers, there are far better, far quicker ways to run errands and gather essentials than hitting a gargantuan Target or Walmart location out at the mall or by the side of the highway.

When Target was the media and shopper darling nicknamed “Tarjhay” for its chic fashions and dependable household staples, the perception was that it truly delivered on its slogan “Expect more, pay less.” Target’s big problem is that the motto has rung hollow for quite some time. “The dimension of ‘expect more’ is gone,” said Amy Koo, a senior analyst at Kantar Retail. “As for ‘pay less,” well, pay less than what? Folks are savvier today. They’ll order at Amazon. It’s easy to find products that are much cheaper online, and it’s much more convenient to a shopper’s needs.”

Similarly, Walmart’s slogan (“Save money, live better”) is less resonant with shoppers today because if they were truly living better, they wouldn’t be shopping at Walmart—at least not in the physical stores themselves. Today’s consumers expect more than ever, and they want to live better by burdening themselves as infrequently as possible with chores such as shopping for groceries and other boring basics. Essentially, they expect more than even the biggest supercenter can provide—which will inevitably pale in comparison to what shoppers can find in terms of pricing and selection online.

While Walmart has mostly competed on price to keep sales from drifting away to its online and brick-and-mortar rivals, and it’s been extremely difficult to fend off dollar stores, Amazon, and the rest, Target became a phenomenon back in the day by having a pretty good track record at picking styles and designs that suited shoppers’ tastes at the time. Then the Great Recession destroyed household disposable income streams, and even cheap chic wasn’t cheap enough. There were some big mistakes—developing an online presence very late in the game, the epic debacle that was the high-price Target-Neiman Marcus partnership, a largely unsuccessful expansion into Canada—but none has been bigger or more destructive for sales in the post-recession era than Target’s concentrated appeal to a core group of wealthier free-spending shoppers, said Kantar’s Koo.

“Target is saying: We don’t care about the low-income shopper, we’re going to focus on the people who can spend more money,” said Koo. As a result, the styles and prices at Target were “suddenly not in line with many shoppers. It’s no longer tailored to meet the mass audience.”

Lately, Target has been undergoing some soul searching. One Target location in Minnesota was turned into a test store for trying out new products and services to get the reactions of customers. A new CEO, Brian Cornell, was hired, and his first promise was to listen and learn rather than make any sudden dramatic moves. This week, the company announced some stores would stay open until midnight on a trial basis through the holiday season to woo night owls and people working odd hours.

Extending store hours will help Target make the case that it’s more convenient, and more in tune with what shoppers need today. It just appears unlikely that any of Target’s tweaks will prove to be game changers and turn things around quickly for the struggling retailer. It also appears pretty much an impossibility that the “Tarjhay” nickname will resurface anytime soon.

TIME Tablets

This Enormous Tablet Could Replace Your Kid’s TV

Fuhu's Big Tab tablet boasts a screen as large as 24 inches. Fuhu

The Big Tab is aiming to replace video game consoles and TVs for kids' entertainment

Family game night is going digital — a new super-sized tablet for kids is aiming to replace the classic board game, the Xbox and maybe even the television.

The Big Tab, developed by fast-growing startup Fuhu, boasts a massive screen of either 20 or 24 inches, depending on the model. That’s a big jump from the company’s popular Nabi 2 tablet, which has a seven-inch screen. But Fuhu founder Robb Fujioka says the big screen size will encourage children to collaborate and socialize when they use their device, rather than tuning out the rest of the world.

To make the tablet into a social hub, Fuhu has developed a large suite of multiplayer games, from classics like checkers and Candyland to internally developed titles. A feature called “Story Time” offers 35 interactive e-books that utilize animated illustrations. Kids can also utilize video editing software, a Pandora-like radio service and educational software.

There are also tools for adults on the Android-powered device. A separate Parent Mode allows adults to download apps from the Google Play or Amazon stores. Parents can also set limits on which apps their children can access and for how long they can use them. Like Fuhu’s other devices, the Big Tab also boasts a virtual currency system that lets parents pay their kids when they complete chores or use educational apps for a certain amount of time.

The device, which also lets parents track their kids’ usage patterns, could appeal to adults looking to guide their children toward more productive forms of entertainment. Fujioka says he replaced the television in one of his children’s rooms with the Big Tab and uses it to keep track of whether his kid is playing educational games or watching Netflix. “It’s not just a boob tube,” he says. “It’s an interactive device.”

Though the tablet market is only a few years old, the devices have been embraced by parents in a big way. Tablet usage among children between ages two and 12 increased from 38% to 48% over the last year, according to research firm NPD. Juli Lennett, head of the toys division at NPD, said it’s a combination of safety, durability and kid appeal that has led to the quick popularity of children’s tablets. “When the price point is $99, on top of being a real functional tablet, these additional features are tough to beat,” Lennett told TIME via email.

The challenge for Fujioka and Fuhu will be convincing parents to pony up for a high-end tablet. The Big Tab will cost $449 for the 20-inch model and $549 for the 24-inch when it launches this fall, far more than the $180 the Nabi 2 goes for. And while the larger size means the Big Tab can be used by multiple people at once, it also makes the device less portable than its smaller cousins, eliminating one of the original selling points of the tablet form factor. “The beauty of these tablets is you throw them in your bag and you go,” says Gerrick Johnson, an equity research analyst at BMO Capital Markets who follows the toy industry. “A [24-inch] tablet becomes a little more difficult.”

Still, Fuhu is well positioned to prove skeptics wrong. The company sold 1.5 million of its normal-sized kids’ tablets in 2013, says Fujioka. This year, Fuhu is leading the children’s tablet market in the U.S., according to NPD, beating out competitors like Samsung and KD interactive. The question now is whether others will follow their lead in developing kids’ devices that cost as much as an iPad or a video game console.

“We think there’s a big market out there,” Fujioka says. “We believe we’re defining a new category of tablet products for the family.”

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