Eg: From Labourer to Entrepreneur

An ideal business model has network effects, low marginal costs, and scale economies.

Scale economies: the more you produce, the cheaper it gets. This builds up an automatic barrier to entry against competition and getting commoditized.

Technology products especially, and m...

No one is going to value you more than you value yourself. Set a high personal hourly rate, and stick to it.

Say you value your time at $100 an hour. If you decide to spend an hour driving across town to get something, you’re effectively throwing away $100. if you want to get rich, it has t...

It’s the nature of code and media output that the same product is accessible to everybody. Status goods are limited to a few people.

The best products tend to be at the center, at the sweet spot, the middle class, rather than being targeted at the upper class.

If you care about eth...

Bob Metcalfe, coined Metcalfe’s Law: the value of a network is proportional to the square of the number of nodes in the network.

If a network of size 10 would have a value of 100, a network of a size 100 would have a value of 10,000. It’s not just 10 times more, it’s 100 times more, because...

The oldest form of leverage is labor, which is people working for you. It is the worst form of leverage that you could possibly use.

You want the minimum amount of labor that allows you to use the other forms of leverage.

Capital is a powerful form of leverage. It can be converted to ...

In an age of infinite leverage, judgment becomes the most important skill

Everything else that you do is actually setting you up to apply your judgment. That's why CEOs get paid more. If you’re steering Google or Apple, and your judgment is 10 percent better than the next person’s, society...