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    • Napoleon's Strategies and TacticsNapoleon's emphasis on speed and surprise influenced future commanders. His strategies and tactics, based on strategic genius and timeless principles, can be applied to modern contexts.

      Napoleon Bonaparte, despite not leaving a written record of his military theories, was considered the greatest European soldier due to his innovative strategies and tactics. His emphasis on speed and surprise attacks influenced future generals, including Stonewall Jackson during the Civil War. The art of war, according to Napoleon, can be divided into two parts: the strategic, which relies on the commander's genius and timeless principles, and the tactical, which is subject to the influence of time, people, and armaments. By recognizing the similarities between great commanders throughout history, we can identify the timeless principles of war and apply them to modern contexts, be it business or military strategy.

    • Anticipating enemy moves and planning aheadUnderstand your market, have a strong team, and be agile to adapt to external factors for a successful strategy.

      Effective strategy, as illustrated in various military classics, involves anticipating the enemy's moves and having a well-thought-out plan that can adapt to changing circumstances. Napoleon, in particular, emphasized the importance of maintaining the offensive and being prepared for unexpected challenges. In business terms, this translates to understanding your market, having a strong founding team, and being agile in response to external factors. A successful strategy requires careful planning and the ability to adapt when necessary. As Napoleon himself said, "A general should say to himself, 'If the hostile army were to make its appearance in front of me, on my right or on my left, what should I do?'" This mindset of constant preparation and readiness is crucial for success in any endeavor.

    • Smart strategies for small teams or companiesPrepare well, be resourceful, and outthink larger opponents by being clever and seizing opportunities.

      Success in business and war requires preparation, resourcefulness, and the ability to outthink larger opponents. Napoleon Bonaparte emphasized the importance of morale, avoiding fields of battle where you have no edge, and being enterprising and vigorous in your actions. He believed that smaller teams or companies must be cleverer than larger ones and that leaving no resources unused can lead to victory. A notable example of this is how Steve Jobs, who only had one speed - go, and Jeff Bezos' Zappos outmaneuvered their competitors by thinking creatively and seizing opportunities. When intending to engage in a decisive battle, Napoleon advised availing yourself of all chances of success and doing everything in your power to win.

    • All great events hang by a single threadPaying attention to small details and maintaining unity, enthusiasm, and determination can lead to great outcomes.

      Great events in history, whether in war or founding a company, often hinge on small details that can be overlooked by the less clever. Napoleon's quote, "All great events hang by a single thread," emphasizes the importance of taking advantage of every opportunity and neglecting nothing. Historically, founders and leaders have drawn inspiration from past greats like Napoleon and Winston Churchill, who emphasized the importance of unity in command and constancy in enduring hardships. Churchill also emphasized the importance of enthusiasm and the desire to contribute to national glory in motivating troops. In Game of Thrones, the character Robert Baratheon illustrates this concept with his realization that a unified army under one leader is stronger than five separate kingdoms. For journalists or anyone facing extraordinary situations, true wisdom requires consistent, energetic determination to overcome challenges.

    • Lessons from Military LeadersStudy the strategies of great military leaders like Napoleon for insights on unity, vulnerability, rapid advance, and seizing opportunities in any field.

      The principles and strategies used by great military leaders throughout history, such as Alexander, Hannibal, Caesar, and Napoleon, can be studied and applied to become a successful leader in any field. These principles include keeping forces united, being vulnerable at no point, bearing down rapidly on important points, and seizing the only favorable moment. Napoleon believed that studying the campaigns and models of great commanders was essential for acquiring experience and genius. He cautioned against being guided by administrators and emphasized that war is composed of nothing but accidents, and a genius is marked by the ability to profit from these accidents. Examination shows that the rules expressed in Napoleon's maxims are the same as those followed by all great generals throughout history. This book, "Napoleon and Modern War," provides valuable context and explanations to Napoleon's maxims.

    • Preparation and Flexibility in Military Strategy and Business SuccessNapoleon's maxim emphasizes the importance of preparation and flexibility in military strategy and business success. Having a clear objective, methodical approach, and a 'fortress of cash' for opportunities can lead to significant gains.

      Flexibility and preparation are key elements in both military strategy and business success, as emphasized by Napoleon's maxim. Napoleon believed that plans should take into account all possible enemy actions while leaving room for adaptation to changing circumstances. He also advocated for having necessary resources readily available, like a "fortress of cash," to seize opportunities when they arise. Furthermore, wars should have a clear objective and be conducted methodically, but with a balance of calculated strategies and room for improvisation. Ultimately, being well-prepared and adaptable can lead to significant gains. As demonstrated by John D. Rockefeller and Warren Buffett, having a substantial cash reserve enables businesses to capitalize on opportunities that may arise unexpectedly. This principle applies not only to military and business contexts but also to our personal lives. Being open-minded and flexible while maintaining a solid foundation of preparation can lead to success in various domains.

    • Effective communication and storytelling paved the way for Napoleon and Sam Insull's successNapoleon's use of propaganda and Sam Insull's persuasive skills highlight the importance of effective communication and storytelling for success. Once a decision is made, maintaining the offense and constant self-assessment are necessary to overcome challenges.

      Effective communication and storytelling are essential for success, as demonstrated by historical figures like Napoleon and Sam insull. Napoleon's use of propaganda to project strength and influence public opinion paved the way for his victories, while Sam Insull's ambitious goal to provide electrical service to every citizen in Chicago required him to persuade the public of its necessity. The power of public opinion, as Napoleon put it, is invisible and mysterious, and it can make or break a venture. Additionally, Napoleon's maxim of maintaining the offense once engaged applies to businesses as well. Once a decision is made, there should be no turning back, and constant self-assessment is necessary to identify and address weaknesses. Effective communication, storytelling, and strategic decision-making are key to overcoming challenges and achieving success.

    • Speed and efficiency in military and businessSpeed, efficiency, and audacity are crucial for military and business success. Napoleon's maxim 'smaller must be faster' applies to businesses as well.

      Speed and efficiency are crucial for both military success and organizational productivity. Napoleon Bonaparte's military strategies, as discussed, emphasized the importance of rapid movement and quick decision-making to boost morale and outmaneuver opponents. This concept can be applied to businesses as well. Jeff Bezos, for instance, is known for his emphasis on fast decision-making and avoiding lengthy, time-consuming processes. Winston Churchill and David Ogilvy also advocated for brevity and compressing thoughts to save time. In the context of smaller organizations or teams, speed is even more crucial to compensate for any numerical disadvantages. Napoleon's maxim, "smaller must be faster," can be applied to businesses as well. Additionally, the audacity and boldness of leaders, as exemplified by Napoleon, Churchill, and Bezos, can lead to significant success. Overall, the key takeaway is that speed, efficiency, and audacity are essential for both military and business success.

    • Learning from the Past to Shape the FutureGreat leaders and innovators draw inspiration and knowledge from history to create something new and innovative. Napoleon, Steve Jobs, and Warren Buffett all learned from past experiences to shape their paths.

      Success often builds upon the ideas and experiences of others. As illustrated by the examples of Steve Jobs, Napoleon Bonaparte, and Warren Buffett, great leaders and innovators have drawn inspiration and knowledge from the past to shape their own paths. Napoleon's military strategies, for instance, were influenced by the campaigns of Frederick the Great, while Steve Jobs' ideas were influenced by innovators like Edwin Land. Warren Buffett's business philosophy includes the concept of moats, which is a metaphor for a company's unique strengths that make it difficult for competitors. Napoleon also emphasized the importance of collecting all available resources and fortifications to increase chances of success. These historical figures demonstrate that there is no formula for success, but rather a continuous process of learning and adapting from the past to create something new and innovative. It's essential to be audacious, learn from the experiences of others, and make the most of the resources available to achieve your goals.

    • Preventing Competitors from Regaining StrengthSuccessful leaders prevent competitors from regaining strength by buying them out and maintaining discipline, rigor, and a singular focus on their mission to avoid complacency and vulnerability to younger competitors.

      Successful business leaders, like Rockefeller, Sam Insull, and Napoleon, understood the importance of preventing competitors from regaining strength and threatening their position. This often meant buying out competitors even when they were already outperforming them. The strategic application of this principle is to prevent enemies from rallying and regaining strength. Additionally, excessive luxury and success can make companies complacent and soft, making them vulnerable to younger, hungrier competitors. To avoid this, leaders must maintain discipline, rigor, and a fanatical commitment to their mission. As David Ogilvy noted, even the most successful agencies can become "morbid" and lose their edge when their founders grow complacent and tired. Ultimately, unity of command and a clear, singular purpose are essential for maintaining the power and effectiveness of any organization, whether it's an army or a business.

    • Clear chain of command and unwavering determinationEffective leaders appoint a clear commander, trust their judgment, maintain a cool head, and learn from history to overcome obstacles and change the course of history.

      Effective leadership requires a single, clear chain of command and an unwavering determination to overcome obstacles. Napoleon Bonaparte emphasized the importance of appointing a clear commander and trusting their judgment, as divided authority can lead to confusion and delay. He also emphasized the importance of a cool head and the value of learning from history. Great leaders are rare and possess a unique balance of intelligence, talent, and courage. Napoleon himself is an example of a leader who understood the importance of experience supplemented by study and the value of following the principles of great captains before him. The study of history provides valuable insights and a filter to identify the rare individuals who have changed the course of history.

    • Napoleon's Balance of Traits for SuccessNapoleon believed success requires intelligence, talent, character, and courage, emphasizing balance between them. He valued planning, focus, seizing opportunities, and adaptability.

      Intelligence, talent, character, and courage are all essential for success, whether in war or business. Napoleon emphasized the importance of balance between these traits, warning against being overly courageous without intelligence or overly intelligent without courage. He believed in the power of planning, focus, and seizing opportunities, while also acknowledging the importance of adaptability to unexpected surprises. Napoleon's understanding of human nature and psychological warfare helped him rise to power, and he encouraged the study of history to learn from the great captains of the past. Ultimately, success comes from conforming to the natural principles and rules of one's craft.

    • Invest in continuous learning through Founders NotesFounders Notes enhances personal growth and business success by providing access to compiled book highlights and daily learning. Continuous learning and study, as encouraged by Napoleon, leads to informed decisions and greater success.

      Investing in a subscription to Founders Notes, which provides access to the author's compiled highlights and notes from over 300 books, can greatly enhance personal growth and business success. The author emphasizes the importance of continuous learning and study, as evidenced by Napoleon's own words encouraging the reading of historical campaigns and models. Founders Notes allows users to search and read highlights from various books daily, supplementing personal experience with the wisdom of others. The author uses the platform every day and encourages listeners to sign up and explore its features. By combining the author's insights with the knowledge gained from reading a diverse range of books, individuals can enlighten their own genius and make informed decisions, ultimately leading to greater success.

    • Founders GPT: AI coach for brainstorming business ideasFounders GPT, a new feature from Founders Notes, uses AI to generate ideas and connections based on user's notes and highlights. It's currently in beta testing and available to subscribers, with the price expected to increase as more features are added. Recommended reading: 'The Mind of Napoleon' for insights into Napoleon's thoughts.

      Founders Notes, a platform that uses AI to help users brainstorm business ideas and provide feedback, has introduced a new feature called Founders GPT. This AI coach uses the user's notes and highlights to generate ideas and connections between various historical figures and their thoughts. The user can ask for a list of ideas related to a specific topic, and Founders GPT will pull relevant information from various sources, creating a 200-word summary of the connections. This feature is currently in beta testing and is available to Founders Notes subscribers, with the price expected to increase as more features are added. The user highly recommends the book "The Mind of Napoleon" for those interested in Napoleon's ideas and thoughts. The book, which is a collection of Napoleon's own words, provides a more detailed and personal perspective than other summaries. However, a copy of the book, first published in 1955, is currently available on Amazon for $1500.

    • Replace daily news with continuous learning from entrepreneurial booksInvest in a subscription to a platform like Founders Notes for enduring insights from thought-provoking entrepreneurial books, replacing daily news for a more enriching learning experience.

      Instead of relying on daily news highlights that may not stand the test of time, consider investing in a subscription to a platform like Founders Notes, where you can read and re-read the highlights from thought-provoking books. This practice, inspired by Napoleon's belief in the importance of continuous learning and study, can lead to a deeper understanding of history and the experiences of successful entrepreneurs. By signing up for an annual subscription, you not only gain access to all existing content but also new highlights from upcoming books, creating a continually improving resource. This approach can enrich your life and career by providing valuable insights and perspectives that go beyond current events. As Napoleon himself said, "Read, not read once and then move on. Read over and over and over again." So why not replace your morning news routine with a more enriching and enduring learning experience? Check out Founders Notes at foundersnotes.com.

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    #353 How To Be Rich by J. Paul Getty

    #353 How To Be Rich by J. Paul Getty

    What I learned from reading How To Be Rich by J. Paul Getty. 

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    Build relationships with other founders, investors, and executives at a Founders Event

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    "Learning from history is a form of leverage." — Charlie Munger. 

    Founders Notes gives you the superpower to learn from history's greatest entrepreneurs on demand. You can search all my notes and highlights from every book I've ever read for the podcast. 

    Get access to Founders Notes here

    You can also ask SAGE (the Founders Notes AI assistant) any question and SAGE will read all my notes, highlights, and every transcript from every episode for you.

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    (2:00) My father was a self-made man who had known extreme poverty in his youth and had a practically limitless capacity for hard work.

    (6:00) I acted as my own geologist, legal advisor, drilling superintendent, explosives expert, roughneck and roustabout.

    (8:00) Michael Jordan: The Life by Roland Lazenby. (Founders #212) 

    (12:00) Control as much of your business as possible. You don’t want to have to worry about what is going on in the other guy’s shop.

    (20:00) Optimism is a moral duty. Pessimism aborts opportunity.

    (21:00) I studied the lives of great men and women. And I found that the men and women who got to the top were those who did the jobs they had in hand, with everything they had of energy and enthusiasm and hard work.

    (22:00) 98 percent of our attention was devoted to the task at hand. We are believers in Carlyle's Prescription, that the job a man is to do is the job at hand and not see what lies dimly in the distance. — Charlie Munger

    (27:00) Entrepreneurs want to create their own security.

    (34:00) Example is the best means to instruct or inspire others.

    (37:00) Long orders, which require much time to prepare, to read and to understand are the enemies of speed. Napoleon could issue orders of few sentences which clearly expressed his intentions and required little time to issue and to understand.

    (38:00) A Few Lessons for Investors and Managers From Warren Buffett by Warren Buffett and Peter Bevelin. (Founders #202) 

    (41:00) Two principles he repeats:

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    Get rid of bureaucracy.

    (43:00) Years ago, businessmen automatically kept administrative overhead to an absolute minimum. The present day trend is in exactly the opposite direction. The modern business mania is to build greater and ever greater paper shuffling empires.

    (44:00) Les Schwab Pride In Performance: Keep It Going!by Les Schwab (Founders #330) 

    (46:00) The primary function of management is to obtain results through people.

    (50:00) the truly great leader views reverses, calmly and coolly. He is fully aware that they are bound to occur occasionally and he refuses to be unnerved by them.

    (51:00) There is always something wrong everywhere.

    (51:00) Don't interrupt the compounding. It’s all about the long term. You should keep a fortress of cash, reinvest in your business, and use debt sparingly. Doing so will help you survive to reap the long-term benefits of your business.

    (54:00) You’ll go much farther if you stop trying to look and act and think like everyone else.

    (55:00) The line that divides majority opinion from mass hysteria is often so fine as to be virtually invisible.

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    I have listened to every episode released and look forward to every episode that comes out. The only criticism I would have is that after each podcast I usually want to buy the book because I am interested so my poor wallet suffers. ” — Gareth

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    Founders Notes gives you the superpower to learn from history's greatest entrepreneurs on demand. You can search all my notes and highlights from every book I've ever read for the podcast. 

    Get access to Founders Notes here

    You can also ask SAGE (the Founders Notes AI assistant) any question and SAGE will read all my notes, highlights, and every transcript from every episode for you.

     A few questions I've asked SAGE recently: 

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    (2:00) Vice President Nelson Rockefeller did me the honor of saying that my entrepreneurial success in the oil business put me on a par with his grandfather, John D. Rockefeller Sr. My comment was that comparing me to John D. Sr. was like comparing a sparrow to an eagle. My words were not inspired by modesty, but by facts.

    (8:00) On his dad sending him to military school: The strict, regimented environment was good for me.

    (20:00) Entrepreneurs are people whose mind and energies are constantly being used at peak capacity.

    (28:00) Advice for fellow entrepreneurs: Don’t be like William Randolph Hearst. Reinvest in your business. Keep a fortress of cash. Use debt sparingly.

    (30:00) The great entrepreneurs I know have these traits:

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    -They concentrated on expanding

    -They concentrated on making their companies more efficient 

    -They reinvest heavily in to their business (which can help efficiency and expansion )

    -Always personally involved in their business

    -They know their business down to the ground

    -They have an innate capacity to think on a large scale

    (34:00) Five wives can't all be wrong. As one of them told me after our divorce: "You're a great friend, Paul—but as a husband, you're impossible.”

    (36:00) My business interests created problems [in my marriages]. I was drilling several wells and it was by no means uncommon for me to stay on the sites overnight or even for two days or more.

    (38:00) A hatred of failure has always been part of my nature and one of the more pronounced motivating forces in my life.  Once I have committed myself to any undertaking, a powerful inner drive cuts in and I become intent on seeing it through to a satisfactory conclusion.

    (38:00) My own nature is such that I am able to concentrate on whatever is before me and am not easily distracted from it.

    (42:00) There are times when certain cards sit unclaimed in the common pile, when certain properties become available that will never be available again. A good businessman feels these moments like a fall in the barometric pressure. A great businessman is dumb enough to act on them even when he cannot afford to. — The Fish That Ate the Whale: The Life and Times of America's Banana King by Rich Cohen. (Founders #255)

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    I have listened to every episode released and look forward to every episode that comes out. The only criticism I would have is that after each podcast I usually want to buy the book because I am interested so my poor wallet suffers. ” — Gareth

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    Build relationships at the Founders Conference on July 29th-July 31st in Scotts Valley, California

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    "Learning from history is a form of leverage." — Charlie Munger. Founders Notes gives you the superpower to learn from history's greatest entrepreneurs on demand.

    Get access to Founders Notes here

    You can search all my notes and highlights from every book I've ever read for the podcast. 

    You can also ask SAGE any question and SAGE will read all my notes, highlights, and every transcript from every episode for you.

     A few questions I've asked SAGE recently: 

    What are the most important leadership lessons from history's greatest entrepreneurs?

    Can you give me a summary of Warren Buffett's best ideas? (Substitute any founder covered on the podcast and you'll get a comprehensive and easy to read summary of their ideas) 

    How did Edwin Land find new employees to hire? Any unusual sources to find talent?

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    (0:01) At the age of twelve I was an orphan.

    (1:00) My uncles made me become self-reliant very early in life. Looking back, I believe that it is to this, that much of my success is due.

    (9:00) The idea of wearing a watch on one's wrist was thought to be contrary to the conception of masculinity.

    (10:00) Prior to World War 1 wristwatches for men did not exist.

    (11:00) Business is problems. The best companies are just effective problem solving machines.

    (12:00) My personal opinion is that pocket watches will almost completely disappear and that wrist watches will replace them definitively! I am not mistaken in this opinion and you will see that I am right." —Hans Wilsdorf, 1914

    (14:00) The highest order bit is belief: I had very early realized the manifold possibilities of the wristlet watch and, feeling sure that they would materialize in time, I resolutely went on my way. Rolex was thus able to get several years ahead of other watch manufacturers who persisted in clinging to the pocket watch as their chief product.

    (16:00) Clearly, the companies for whom the economics of twenty-four-hour news would have made the most sense were the Big Three broadcasters. They already had most of what was needed— studios, bureaus, reporters, anchors almost everything but a belief in cable.   —  Ted Turner's Autobiography (Founders #327)

    (20:00) Business Breakdowns #65 Rolex: Timeless Excellence

    (27:00)   Rolex was effectively the first watch brand to have real marketing dollars put behind a watch. Rolex did this in a concentrated way and they've continued to do it in a way that is simply just unmatched by others in their industry.

    (28:00) It's tempting during recession to cut back on consumer advertising. At the start of each of the last three recessions, the growth of spending on such advertising had slowed by an average of 27 percent. But consumer studies of those recessions had showed that companies that didn't cut their ads had, in the recovery, captured the most market share. So we didn't cut our ad budget. In fact, we raised it to gain brand recognition, which continued advertising sustains. — Four Seasons: The Story of a Business Philosophy by Isadore Sharp. (Founders #184)

    (32:00) Social proof is a form of leverage. — Poor Charlie's Almanack: The Wit and Wisdom of Charlie Munger. (Founders #329)

    (34:00) What really matters is Hans understood the opportunity better than anybody else, and invested heavily in developing the technology to bring his ideas to fruition.

    (35:00) On keeping the main thing the main thing for decades: In developing and extending my business, I have always had certain aims in mind, a course from which I never deviated.

    (41:00) Rolex wanted to only be associated with the best. They ran an ad with the headline: Men who guide the destinies of the world, where Rolex watches.

    (43:00) Opportunity creates more opportunites. The Oyster unlocked the opportunity for the Perpetual.

    (44:00) The easier you make something for the customer, the larger the market gets: “My vision was to create the first fully packaged computer. We were no longer aiming for the handful of hobbyists who liked to assemble their own computers, who knew how to buy transformers and keyboards. For every one of them there were a thousand people who would want the machine to be ready to run.” — Steve Jobs

    (48:00) More sources:

    Rolex Jubilee: Vade Mecum by Hans Wilsdorf

    Rolex Magazine: The Hans Wilsdorf Years

    Hodinkee: Inside the Manufacture. Going Where Few Have Gone Before -- Inside All Four Rolex Manufacturing Facilities 

    Vintage Watchstraps Blog: Hans Wilsdorf and Rolex

    Business Breakdowns #65 Rolex: Timeless Excellence

    Luxury Strategy: Break the Rules of Marketing to Build Luxury Brands by Jean Noel Kapferer and Vincent Bastien 

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    I have listened to every episode released and look forward to every episode that comes out. The only criticism I would have is that after each podcast I usually want to buy the book because I am interested so my poor wallet suffers. ” — Gareth

    Be like Gareth. Buy a book: All the books featured on Founders Podcast

    #350 How To Sell Like Steve Jobs

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    Come build relationships at the Founders Conference on July 29th-July 31st in Scotts Valley, California

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    Learning from history is a form of leverage. —Charlie Munger. Founders Notes gives you the super power to learn from history's greatest entrepreneurs on demand.

    Get access to the World’s Most Valuable Notebook for Founders

    You can search all my notes and highlights from every book I've ever read for the podcast. 

    You can also ask SAGE any question and SAGE will read all my notes, highlights, and every transcript from every episode for you.

     A few questions I've asked SAGE recently: 

    What are the most important leadership lessons from history's greatest entrepreneurs?

    Can you give me a summary of Warren Buffett's best ideas? (Substitute any founder covered on the podcast and you'll get a comprehensive and easy to read summary of their ideas) 

    How did Edwin Land find new employees to hire? Any unusual sources to find talent?

    What are some strategies that Cornelius Vanderbilt used against his competitors?

    Get access to Founders Notes here

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    If you want me to speak at your company go here

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    (1:00) You've got to start with the customer experience and work back toward the technology—not the other way around.  —Steve Jobs in 1997

    (6:00) Why should I care = What does this do for me?

    (6:00) The Match King: Ivar Kreuger, The Financial Genius Behind a Century of Wall Street Scandals by Frank Partnoy.  (Founders #348)

    (7:00) Easy to understand, easy to spread.

    (8:00) An American Saga: Juan Trippe and His Pan Am Empire by Robert Daley 

    (8:00) The Fish That Ate the Whale: The Life and Times of America's Banana King by Rich Cohen. (Founders #255)

    (9:00)  love how crystal clear this value proposition is. Instead of 3 days driving on dangerous road, it’s 1.5 hours by air. That’s a 48x improvement in time savings. This allows the company to work so much faster. The best B2B companies save businesses time.

    (10:00) Great Advertising Founders Episodes:

    Albert Lasker (Founders #206)

    Claude Hopkins (Founders #170 and #207)

    David Ogilvy (Founders #82, 89, 169, 189, 306, 343) 

    (12:00) Advertising which promises no benefit to the consumer does not sell, yet the majority of campaigns contain no promise whatever. (That is the most important sentence in this book. Read it again.) — Ogilvy on Advertising 

    (13:00) Repeat, repeat, repeat. Human nature has a flaw. We forget that we forget.

    (19:00) Start with the problem. Do not start talking about your product before you describe the problem your product solves.

    (23:00) The Invisible Billionaire: Daniel Ludwig by Jerry Shields. (Founders #292)

    (27:00) Being so well known has advantages of scale—what you might call an informational advantage.

    Psychologists use the term social proof. We are all influenced-subconsciously and, to some extent, consciously-by what we see others do and approve.

    Therefore, if everybody's buying something, we think it's better.

    We don't like to be the one guy who's out of step.

    The social proof phenomenon, which comes right out of psychology, gives huge advantages to scale.

    —  the NEW Poor Charlie's Almanack: The Wit and Wisdom of Charlie Munger (Founders #329)

    (29:00) Marketing is theatre.

    (32:00) Belief is irresistible. — Shoe Dog: A Memoir by the Creator of Nike by Phil Knight.  (Founders #186)

    (35:00) I think one of the things that really separates us from the high primates is that we’re tool builders. I read a study that measured the efficiency of locomotion for various species on the planet. The condor used the least energy to move a kilometer. And, humans came in with a rather unimpressive showing, about a third of the way down the list. It was not too proud a showing for the crown of creation. So, that didn’t look so good. But, then somebody at Scientific American had the insight to test the efficiency of locomotion for a man on a bicycle. And, a man on a bicycle, a human on a bicycle, blew the condor away, completely off the top of the charts.

    And that’s what a computer is to me. What a computer is to me is it’s the most remarkable tool that we’ve ever come up with, it’s the equivalent of a bicycle for our minds.

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    If you want me to speak at your company go here

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    I have listened to every episode released and look forward to every episode that comes out. The only criticism I would have is that after each podcast I usually want to buy the book because I am interested so my poor wallet suffers. ” — Gareth

    Be like Gareth. Buy a book: All the books featured on Founders Podcast

    #349 How Steve Jobs Kept Things Simple

    #349 How Steve Jobs Kept Things Simple

    What I learned from reading Insanely Simple: The Obsession That Drives Apple's Success by Ken Segall. 

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    Come build relationships at the Founders Conference on July 29th-July 31st in Scotts Valley, California 

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    Learning from history is a form of leverage. —Charlie Munger. Founders Notes gives you the super power to learn from history's greatest entrepreneurs on demand.

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    (1:30) Steve wanted Apple to make a product that was simply amazing and amazingly simple.

    (3:00) If you don’t zero in on your bureaucracy every so often, you will naturally build in layers. You never set out to add bureaucracy. You just get it. Period. Without even knowing it. So you always have to be looking to eliminate it.  — Sam Walton: Made In America by Sam Walton. (Founders #234)

    (5:00) Steve was always easy to understand. He would either approve a demo, or he would request to see something different next time. Whenever Steve reviewed a demo, he would say, often with highly detailed specificity, what he wanted to happen next.  — Creative Selection: Inside Apple's Design Process During the Golden Age of Steve Jobs by Ken Kocienda. (Founders #281)

    (7:00) Watch this video. Andy Miller tells GREAT Steve Jobs stories

    (10:00) Many are familiar with the re-emergence of Apple. They may not be as familiar with the fact that it has few, if any parallels.
    When did a founder ever return to the company from which he had been rudely rejected to engineer a turnaround as complete and spectacular as Apple's? While turnarounds are difficult in any circumstances they are doubly difficult in a technology company. It is not too much of a stretch to say that Steve founded Apple not once but twice. And the second time he was alone. 

    —  Return to the Little Kingdom: Steve Jobs and the Creation of Appleby Michael Moritz.

    (15:00) If the ultimate decision maker is involved every step of the way the quality of the work increases.

    (20:00) "You asked the question, What was your process like?' I kind of laugh because process is an organized way of doing things. I have to remind you, during the 'Walt Period' of designing Disneyland, we didn't have processes. We just did the work. Processes came later. All of these things had never been done before. Walt had gathered up all these people who had never designed a theme park, a Disneyland. So we're in the same boat at one time, and we figure out what to do and how to do it on the fly as we go along with it and not even discuss plans, timing, or anything. We just worked and Walt just walked around and had suggestions." — Disney's Land: Walt Disney and the Invention of the Amusement Park That Changed the World by Richard Snow. (Founders #347)

    (23:00) The further you get away from 1 the more complexity you invite in.

    (25:00) Your goal: A single idea expressed clearly.

    (26:00) Jony Ive: Steve was the most focused person I’ve met in my life

    (28:00) Editing your thinking is an act of service.

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    Michael Jordan In His Own Words

    Michael Jordan In His Own Words

    What I learned from reading Driven From Within by Michael Jordan and Mark Vancil. 

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    Episode Outline: 

    Players who practice hard when no one is paying attention play well when everyone is watching.

    It's hard, but it's fair. I live by those words. 

    To this day, I don't enjoy working. I enjoy playing, and figuring out how to connect playing with business. To me, that's my niche. People talk about my work ethic as a player, but they don't understand. What appeared to be hard work to others was simply playing for me.

    You have to be uncompromised in your level of commitment to whatever you are doing, or it can disappear as fast as it appeared. 

    Look around, just about any person or entity achieving at a high level has the same focus. The morning after Tiger Woods rallied to beat Phil Mickelson at the Ford Championship in 2005, he was in the gym by 6:30 to work out. No lights. No cameras. No glitz or glamour. Uncompromised. 

    I knew going against the grain was just part of the process.

    The mind will play tricks on you. The mind was telling you that you couldn't go any further. The mind was telling you how much it hurt. The mind was telling you these things to keep you from reaching your goal. But you have to see past that, turn it all off if you are going to get where you want to be.

    I would wake up in the morning thinking: How am I going to attack today?

    I’m not so dominant that I can’t listen to creative ideas coming from other people. Successful people listen. Those who don’t listen, don’t survive long.

    In all honesty, I don't know what's ahead. If you ask me what I'm going to do in five years, I can't tell you. This moment? Now that's a different story. I know what I'm doing moment to moment, but I have no idea what's ahead. I'm so connected to this moment that I don't make assumptions about what might come next, because I don't want to lose touch with the present. Once you make assumptions about something that might happen, or might not happen, you start limiting the potential outcomes. 

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    Founders
    en-usMay 12, 2024

    #348 The Financial Genius Behind A Century of Wall Street Scandals: Ivar Kreuger

    #348 The Financial Genius Behind A Century of Wall Street Scandals: Ivar Kreuger

    What I learned from reading The Match King: Ivar Kreuger, The Financial Genius Behind a Century of Wall Street Scandals by Frank Partnoy. 

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    1. Ivar was charismatic. His charisma was not natural. Ivar spent hours every day just preparing to talk. He practiced his lines for hours like great actors do.

    2. Ivar’s first pitch was simple, easy to understand, and legitimate: By investing in Swedish Match, Americans could earn profits from a monopoly abroad.

    3. Joseph Duveen noticed that Europe had plenty of art and America had plenty of money, and his entire astonishing career was the product of that simple observation. — The Days of Duveen by S.N. Behrman.  (Founders #339 Joseph Duveen: Robber Baron Art Dealer)

    4. Ivar studied Rockefeller and Carnegie: Ivar's plan was to limit competition and increase profits by securing a monopoly on match sales throughout the world, mimicking the nineteenth century oil, sugar, and steel trusts.

    5. When investors were manic, they would purchase just about anything. But during the panic that inevitably followed mania, the opposite was true. No one would buy.

    6. The problem isn’t getting rich. The problem is staying sane. — Charlie Munger

    7. Ivar understood human psychology. If something is limited and hard to get to that increases desire. This works for both products (like a Ferrari) and people (celebrities). Ivar was becoming a business celebrity.

    8.  I’ve never believed in risking what my family and friends have and need in order to pursue what they don't have and don't need. — The Essays of Warren Buffett by Warren Buffett and Lawrence Cunningham. (Founders #227)

    9. Great ideas are simple ideas: Ivar hooked Durant with his simple, brilliant idea: government loans in exchange for match monopolies.

    10. Ivar wrote to his parents, "I cannot believe that I am intended to spend my life making money for second-rate people. I shall bring American methods back home. Wait and see - I shall do great things. I'm bursting with ideas. I am only wondering which to carry out first."

    11. Ivar’s network of companies was far too complex for anyone to understand: It was like a corporate family tree from hell, and it extended into obscurity.

    12. “Victory in our industry is spelled survival.”   —Steve Jobs

    13. Ivar's financial statements were sloppy and incomplete. Yet investors nevertheless clamored to buy his securities.

    14. As more cash flowed in the questions went away. This is why Ponzi like schemes can last so long. People don’t want to believe. They don’t want the cash to stop.

    15. A Man for All Markets: From Las Vegas to Wall Street, How I Beat the Dealer and the Market by Ed Thorp. (Founders #222)

    16.  A summary of Charlie Munger on incentives:

    1. We all underestimate the power of incentives.
    2. Never, ever think about anything else before the power of incentives.
    3. The most important rule: get the incentives right.

    17. This is nuts! Fake phones and hired actors!

    Next to the desk was a table with three telephones. The middle phone was a dummy, a non-working phone that Ivar could cause to ring by stepping on a button under the desk. That button was a way to speed the exit of talkative visitors who were staying too long. Ivar also used the middle phone to impress his supporters. When Percy Rockefeller visited Ivar pretended to receive calls from various European government officials, including Mussolini and Stalin. That evening, Ivar threw a lavish party and introduced Rockefeller to numerous "ambassadors" from various countries, who actually were movie extras he had hired for the night.

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    #347 How Walt Disney Built His Greatest Creation: Disneyland

    #347 How Walt Disney Built His Greatest Creation: Disneyland

    What I learned from reading Disney's Land: Walt Disney and the Invention of the Amusement Park That Changed the World by Richard Snow. 

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    (8:00) When in 1955 we heard that Disney had opened an amusement park under his own name, it appeared certain that we could not look forward to anything new from Mr. Disney.

    We were quite wrong.

    He had, instead, created his masterpiece.

    (13:00) This may be the greatest product launch of all time: He had run eight months of his television program. He hadn't named his new show Walt Disney Presents or The Wonderful World of Walt Disney.

    It was called simply Disneyland, and every weekly episode was an advertisement for the still unborn park.

    (15:00) Disneyland is the extension of the powerful personality of one man.

    (15:00) The creation of Disneyland was Walt Disney’s personal taste in physical form.

    (24:00) How strange that the boss would just drop it. Walt doesn’t give up. So he must have something else in mind.

    (26:00) Their mediocrity is my opportunity. It is an opportunity because there is so much room for improvement.

    (36:00) Roy Disney never lost his calm understanding that the company's prosperity rested not on the rock of conventional business practices, but on the churning, extravagant, perfectionist imagination of his younger brother.

    (41:00) Walt Disney’s decision to not relinquish his TV rights to United Artists was made in 1936. This decision paid dividends 20 years later. Hold on. Technology -- developed by other people -- constantly benefited Disney's business. Many such cases in the history of entrepreneurship.

    (43:00) Walt Disney did not look around. He looked in. He looked in to his personal taste and built a business that was authentic to himself.

    (54:00) "You asked the question, What was your process like?' I kind of laugh because process is an organized way of doing things. I have to remind you, during the 'Walt Period' of designing Disneyland, we didn't have processes.

    We just did the work. Processes came later. All of these things had never been done before.

    Walt had gathered up all these people who had never designed a theme park, a Disneyland.

    So we're in the same boat at one time, and we figure out what to do and how to do it on the fly as we go along with it and not even discuss plans, timing, or anything.

    We just worked and Walt just walked around and had suggestions."

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    #346 How Walt Disney Built Himself

    #346 How Walt Disney Built Himself

    What I learned from rereading Walt Disney: The Triumph of the American Imagination by Neal Gabler. 

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    (2:00) Disney’s key traits were raw ingenuity combined with sadistic determination.

    (3:00) I had spent a lifetime with a frustrated, and often unemployed man, who hated anybody who was successful. 

    Francis Ford Coppola: A Filmmaker's Life by Michael Schumacher. (Founders #242)

    (6:00) Disney put excelence before any other consideration.

    (11:00) Maybe the most important thing anyone ever said to him: You’re crazy to be a professor she told Ted. What you really want to do is draw. Ted’s notebooks were always filled with these fabulous animals. So I set to work diverting him. Here was a man who could draw such pictures. He should earn a living doing that. 

    Becoming Dr. Seuss: Theodor Geisel and the Making of an American Imagination by Brian Jay Jones. (Founders #161)

    (14:00) A quote about Edwin Land that would apply to Walt Disney too:

    Land had learned early on that total engrossment was the best way for him to work. He strongly believed that this kind of concentrated focus could also produce extraordinary results for others. Late in his career, Land recalled that his “whole life has been spent trying to teach people that intense concentration for hour after hour can bring out in people resources they didn’t know they had.”  A Triumph of Genius: Edwin Land, Polaroid, and the Kodak Patent War by Ronald Fierstein. (Founders #134)

    (15:00) My parents objected strenuously, but I finally talked them into letting me join up as a Red Cross ambulance driver. I had to lie about my age, of course. 

    In my company was another fellow who had lied about his age to get in. He was regarded as a strange duck, because whenever we had time off and went out on the town to chase girls, he stayed in camp drawing pictures.

    His name was Walt Disney.

    Grinding It Out: The Making of McDonald's by Ray Kroc. (Founders #293)

    (20:00) Walt Disney had big dreams. He had outsized aspirations.

    (22:00) A quote from Edwin Land that would apply to Walt Disney too: My motto is very personal and may not fit anyone else or any other company. It is: Don't do anything that someone else can do.

    (24:00) Walt Disney seldom dabbled. Everyone who knew him remarked on his intensity; when something intrigued him, he focused himself entirely as if it were the only thing that mattered.

    (29:00) He had the drive and ambition of 10 million men.

    (29:00) I'm going to sit tight. I have the greatest opportunity I've ever had, and I'm in it for everything.

    (31:00) He seemed confident beyond any logical reason for him to be so. It appeared that nothing discouraged him.

    (31:00) You have to take the hard knocks with the good breaks in life.

    (32:00) Nothing wrong with my aim, just gotta change the target. — Jay Z

    (35:00) He sincerely wanted to be counted among the best in his craft.

    (43:00) He didn't want to just be another animation producer. He wanted to be the king of animation. Disney believed that quality was his only real advantage.

    (47:00) Walt Disney wanted domination. Domination that would make his position unassailable.

    (49:00) Disney was always trying to make something he could be proud of.

    (50:00) We have a habit of divine discontent with our performance. It is an antidote to smugness.

    Eternal Pursuit of Unhappiness: Being Very Good Is No Good,You Have to Be Very, Very, Very, Very, Very Good by David Ogilvy and Ogivly & Mather.  (Founders #343)

    (53:00) While it is easy, of course, for me to celebrate my doggedness now and say that it is all you need to succeed, the truth is that it demoralized me terribly. I would crawl into the house every night covered in dust after a long day, exhausted and depressed because that day's cyclone had not worked. There were times when I thought it would never work, that I would keep on making cyclone after cyclone, never going forwards, never going backwards, until I died.

    Against the Odds: An Autobiography by James Dyson (Founders #300)

    (56:00) He doesn't place a premium on collecting friends or socializing: "I don't believe in 50 friends. I believe in a smaller number. Nor do I care about society events. It's the most senseless use of time. When I do go out, from time to time, it's just to convince myself again that I'm not missing a lot."

    The Red Bull Story by Wolfgang Fürweger (Founders #333)

    (1:02:00) Steve was at the center of all the circles.

    He made all the important product decisions.

    From my standpoint, as an individual programmer, demoing to Steve was like visiting the Oracle of Delphi.

    The demo was my question. Steve's response was the answer.

    While the pronouncements from the Greek Oracle often came in the form of confusing riddles, that wasn't true with Steve.

    He was always easy to understand.

    He would either approve a demo, or he would request to see something different next time.

    Whenever Steve reviewed a demo, he would say, often with highly detailed specificity, what he wanted to happen next.

    He was always trying to ensure the products were as intuitive and straightforward as possible, and he was willing to invest his own time, effort, and influence to see that they were.

    Through looking at demos, asking for specific changes, then reviewing the changed work again later on and giving a final approval before we could ship, Steve could make a product turn out like he wanted.

    Much like the Greek Oracle, Steve foretold the future.

    Creative Selection: Inside Apple's Design Process During the Golden Age of Steve Jobs by Ken Kocienda. (Founders #281)

    (1:07:00) He griped that when he hired veteran animators he had to “put up with their Goddamn poor working habits from doing cheap pictures.” He believed it was easier to start from scratch with young art students and indoctrinate them in the Disney system.

    (1:15:00) I don’t want to be relagated to the cartoon medium. We have worlds to conquer here.

    (1:17:00) Advice Henry Ford gave Walt Disney about selling his company: If you sell any of it you should sell all of it.

    (1:23:00) He kept a slogan pasted inside of his hat: You can’t top pigs with pigs. (A reminder that we have to keep blazing new trails.)

    (1:25:00) Disney’s Land: Walt Disney and the Invention of the Amusement Park That Changed the World by Richard Snow.

    (1:33:00) It is the detail. If we lose the detail, we lose it all.

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    #196 Winston Churchill (Leadership during WW2)

    #196 Winston Churchill (Leadership during WW2)

    What I learned from reading The Splendid and the Vile: A Saga of Churchill, Family, and Defiance During the Blitz by Erik Larson. 

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    I  wondered how on earth anyone could have endured it: fifty-seven consecutive nights of bombing, followed by an intensifying series of nighttime raids over the next six months. In particular I thought about Winston Churchill: How did he withstand it? 

    It is one to say "Carry on," quite another to do it.

    History is a lively abode, full of surprises.

    The only effective defense lay in offense.

    The king harbored a general distrust of Churchill's independence.

    He had lived his entire life for this moment. That it had come at such a dark time did not matter. If anything, it made his appointment all the more exquisite.

    At last I had the authority to give directions over the whole scene. I felt as if I were walking with destiny, and that all my past life had been but a preparation for this hour and for this trial.

    Churchill brought a naked confidence that under his leadership Britain would win the war, even though any objective appraisal would have said he did not have a chance. 

    Churchill knew that his challenge now was to make everyone else believe it too.

    He considered Churchill to be inclined toward dynamic action in every direction at once.

    "If I had to spend my whole life with a man," she wrote, "I'd choose Chamberlain, but I think I would sooner have Mr Churchill if there was a storm and I was shipwrecked.”

    Churchill was flamboyant, electric, and wholly unpredictable.

    Churchill issued directives in brief memoranda.

    No detail was too small to draw his attention.

    Churchill was particularly insistent that ministers compose memoranda with brevity and limit their length to one page or less. "It is slothful not to compress your thoughts," he said.

    Anything that was not of immediate importance and a concern to him was of no value.

    Churchill wanted Germans to "bleed and burn."

    I have nothing to offer but blood, toil, tears and sweat.

    In the Churchill household defeatist talk inspired only rage.

    "It would be foolish to disguise the gravity of the hour," Churchill said. "It would be still more foolish to lose heart and courage.”

    Churchill said, "We shall not hesitate to take every step-even the most drastic-to call forth from our people the last ounce and inch of effort of which they are capable.”

    Recognizing that confidence and fearlessness were attitudes that could be adopted and taught by example, Churchill issued a directive to all ministers to put on a strong, positive front.
     

    If this long island story of ours is to end at last, let it end only when each of us lies choking in his own blood upon the ground.

    Churchill demonstrated a striking trait: his knack for making people feel loftier, stronger, and, above all, more courageous. 

    We shall fight on the beaches, we shall fight on the landing grounds, we shall fight in the fields and in the streets, we shall fight in the hills; we shall never surrender.

    Let us therefore brace ourselves to our duty and so bear ourselves that if the British Commonwealth and Empire lasts for a thousand years, men will still say, This was their finest hour.

    He had been fond of quoting a French maxim: "One leads by calm."

    “Your idle & lazy life is very offensive to me," Churchill wrote. "You appear to be leading a perfectly useless existence." 

    So confident was Hitler that England would negotiate, he demobilized 25 percent of his army. But Churchill was not behaving like a sane man.

    Churchill’s message was clear. “We shall not stop fighting until freedom, for ourselves and others, is secure.”

    Nothing must now be said which would disturb morale or lead people to think that we should not fight it out here."

    It typified the uniquely unpredictable magic that was Churchill—his ability to transform the despondent misery of disaster into a grimly certain stepping stone to ultimate victory.

    There was still no sign that Churchill was beginning to waver.

    When raids occurred, he dispatched his staff to the shelter below but did not himself follow, returning instead to his desk to continue working.

    Churchill did many things well, but waiting was not one of them.

    Churchill’s resilience continued to perplex German leaders. "When will that creature Churchill finally surrender?" 

    Brush aside despondency and alarm and push on irresistibly towards the final goal.

    Goebbels confessed in his diary to feeling a new respect for Churchill. "This man is a strange mixture of heroism and cunning. If he had come to power in 1933, we would not be where we are today. And I believe that he will give us a few more problems yet. He is not to be taken as lightly as we usually take him.

    To be stupid about one's life is a crime.

    She told Churchill that the best thing he had done was to give people courage. He did not agree. "I never gave them courage," he said. "I was able to focus theirs.”

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    #336 How To Lose A Few Billion Dollars: Samuel Insull

    #336 How To Lose A Few Billion Dollars: Samuel Insull

    What I learned from reading Insull: The Rise and Fall of A Billionaire Utility Tycoon by Forrest McDonald. 

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    (0:01) Insull had been in the electric business as long as there had been an electric business.

    (4:00) He awoke early, abruptly, completely, bursting with energy; yet he gained momentum as the day wore on, and long into the night. Sam had near-demonic energy.

    (5:00) Sam's most obvious attribute was a capacity for racing through large quantities of reading material, effortlessly perceiving its important assumptions and generalizations, and thoroughly assimilating its salient details.

    (7:00) He eagerly embraced platitudes:

    • Idle hands are the devil's workshop

    • Time is money

    • Things are simply "done" or "not done"

    • One reveres one's family

    • Only that which is useful is good

    • Survival of the fittest

    (8:00) Opportunity handled well leads to more opportunity.

    (12:00) He developed an ability to concentrate on a single subject and to completely shut out everything else, no matter how pressing.

    (13:00) A theme from the robber baron era: How do we turn a luxury product into a necessity?

    (18:00) If you do everything you will win.  — Working by Robert Caro. (Founders #305) and The Mind of Napoleon: A Selection of His Written and Spoken Words edited by J. Christopher Herold. (Founders #302)

    (19:00) Insull reread every one of Edison's European contracts, and he took it upon himself to write weekly letters to Johnson, summarizing the fluctuations in the telephone situation and outlining Edison's shifting interests in connection with it. These letters proved to be the best selling points Johnson could have in recommending Insull to Edison.

    (20:00) One of his most deep-rooted traits was that he was absolutely unable to imagine the possibility of his own failure; he entirely lacked the sense of caution of those who doubt themselves.

    (21:00) Caution, like relaxation, was unnatural to him.

    (21:00) We will make electric lights so cheap that only the rich will be able to burn candles.

    (27:00) Edison had an almost pathological hostility to any form of system, order, or discipline imposed from without.

    (33:00) Warren Buffett on leverage:

    Unquestionably, some people have become very rich through the use of borrowed money. However, that's also been a way to get very poor. When leverage works, it magnifies your gains. Your spouse thinks you're clever, and your neighbors get envious. But leverage is addictive. Once having profited from its wonders, very few people retreat to more conservative practices.

    And [to repeat] as we all learned in third grade-and some relearned in 2008–any series of positive numbers, however impressive the numbers may be, evaporates when multiplied by a single zero. History tells us that leverage all too often produces zeroes, even when it is employed by very smart people.

    Leverage, of course, can be lethal to businesses as well. Companies with large debts often assume that these obligations can be refinanced as they mature. That assumption is usually valid. Occasionally, though, either because of company-specific problems or a worldwide shortage of credit, maturities must actually be met by payment. For that, only cash will do the job.

    The Essays of Warren Buffett by Warren Buffett and Lawrence Cunningham. (Founders #227)

    (35:00) Smart men go broke three ways: liquor, ladies and leverage. — Charlie Munger

    (42:00) To make electricity as cheap as possible we need the largest base of customers. The way to get the largest base of customers is through monopoly.

    (45:00) He understood the potential of his industry in a way others did not.

    (45:00) We are only going to do things that other people can not do.

    (47:00) While money may not buy friends it will keep many a man from becoming an enemy.

    (50:00) The moment of applause was the moment for action.

    (1:00:00) You need to tell your customers what goes into making your product. It may be normal to you because it is your everyday thing. It is not normal to them. And if you explain and you educate your customers they will find it fascinating. And as a result it will make the service and the product you provide more valuable in their eyes.

    (1:00:00) Sam Insull made electric power so abundant and cheap in the United States that people who had never expected to use it, found it as natural and as necessary as breathing.

    (1:06:00) He took his leverage too high and the structure of the leverage was a problem. —  Ted Turner's Autobiography.(Founders #327)

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    #81 Henry Royce (Founder of Rolls-Royce)

    #81 Henry Royce (Founder of Rolls-Royce)

    What I learned from reading Rolls-Royce: The First Forty Years of Britain's Most Prestigious Company by Peter Pugh.

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    #193 Arnold Schwarzenegger (Arnold's first autobiography)

    #193 Arnold Schwarzenegger (Arnold's first autobiography)

    What I learned from reading Arnold: The Education of a Bodybuilder by Arnold Schwarzenegger.

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    I knew I was going to be a bodybuilder. It wasn't simply that either. I would be the best bodybuilder in the world, the greatest.

    I'm not exactly sure why I chose bodybuilding, except that I loved it. I loved it from the first moment my fingers closed around a barbell and I felt the challenge and exhilaration of hoisting the heavy steel plates above my head.

    The only time I really felt rewarded was when I was singled out as being best.

    I had it tougher than a lot of my companions because I wanted more, I demanded more of myself.

    I was literally addicted.

    I learned that this pain meant progress. Each time my muscles were sore from a workout, I knew they were growing.

    I could not have chosen a less popular sport. My school friends thought I was crazy. But I didn't care. My only thoughts were of  going ahead, building muscles and more muscles.

    I remember certain people trying to put negative thoughts into my mind, trying to persuade me to slow down. But I had found the thing to which I wanted to devote my total energies and there was no stopping me.

    My drive was unusual, I talked differently than my friends; I was hungrier for success than anyone I knew.

    Reg Park looked so magnificent in the role of Hercules I was transfixed. And, sitting there in the theater, I knew that was going to be me. I would look like Reg Park. I studied every move he made. From that point on, my life was utterly dominated by Reg Park. His image was my ideal. It was fixed indelibly in my mind.

    I had this insatiable drive to get there sooner. Whereas most people were satisfied to train two or three times a week, I quickly escalated my program to six workouts a week.

    With my desire and my drive, I definitely wasn't normal. Normal people can be happy with a regular life. I was different. I felt there was more to life than just plodding through an average existence. 

    I'd always been impressed by stories of greatness and power. Caesar, Charlemagne, Napoleon were names I knew and remembered. I wanted to do something special, to be recognized as the best.

    My dreams went beyond a spectacular body. Once I had that, I knew what it would do for me. I'd get into the movies and build gymnasiums all over the world. I'd create an empire.

    This inspired me to work even harder. When I felt my lungs burning as though they would burst and my veins bulging with blood, I loved it. I knew then that I was growing, making one more step toward becoming like Reg Park. I wanted that body and I didn't care what I had to go through to get it.

    My weight room was not heated, so naturally in cold weather it was freezing. I didn't care. I trained without heat, even on days when the temperature went below zero.

    From the beginning, I was a believer in the basic movements.

    Most of the people I knew didn't really understand what I was doing at all.

    My mind was totally locked into working out, and I was annoyed if anything took me away from it.

    I started this practice early in my career and continued it for as long as it served to help me maintain a clear focus and drive myself toward a fixed point.

    In two or three years I had actually been able to change my body entirely. That told me something. If I had been able to change my body that much, I could also, through the same discipline and determination, change anything else I wanted.

    I know that if you can change your diet and exercise program to give yourself a different body, you can apply the same principles to anything else.

    Every day I hear someone say, "I'm too fat. I need to lose twenty-five pounds, but I can't. I never seem to improve." I'd hate myself if I had that kind of attitude, if I were that weak.

    By observing the principles of strict discipline that bodybuilding taught me, I can prepare myself for anything.

    My desire to build my body and be Mr. Universe was totally beyond their comprehension. 

    I listened only to my inner voice, my instincts.

    Even people's ideas were small. There was too much contentment, too much acceptance of things as they'd always been.

    I felt I was already one of the best in the world. Obviously, I wasn't even in the top 5,000; but in my mind I was the best.

    At that point my own thinking was tuned in to only one thing: becoming Mr. Universe. In my own mind, I was Mr. Universe; I had this absolutely clear vision of myself up on the dais with the trophy. It was only a matter of time before the whole world would be able to see it too. And it made no difference to me how much I had to struggle to get there.

    They paid and came to the gym. But it was a disgusting, superficial effort on their part. They merely went through the motions, doing sissy workouts, pampering themselves.

    I went right down the line, trying to figure out who I might beat. I got to eighth or ninth place and figured I might have a chance if I tried hard enough. It was a loser's way of looking at it. I defeated myself before I even entered, before I'd even completed the year's training. But I was young. I hadn't yet pulled together my ideas about positive thinking and the powers of the mind over the muscles.

    Once I was over the initial disappointment of losing, I began trying to understand exactly why I had lost. I tried to be honest, to analyze it fairly. I still had some serious weaknesses. For me, that was a real turning point.

    I was relying on one thing. What I had more than anyone else was drive. I was hungrier than anybody. I wanted it so badly it hurt. I knew there could be no one else in the world who wanted this title as much as I did.

    I had thought perhaps he had some special exercises, but that wasn’t true. He concentrated on the standard exercises. That was his "secret" —concentration.

    Being around Yorton [the winner] backstage for a few minutes made me painfully aware of my own shortcomings.

    They asked when I was going to get a real job, when I was going to become stable. "Is this what we raised," they asked, "a bum?"

    I continued doing precisely what I knew I needed to do. In my mind, there was only one possibility for me and that was to go to the top, to be the best. Everything else was just a means to that end.

    If I expected to make it big in the field, I had to become a showman.

    I had a photographer take pictures at least once a month. I studied each shot with a magnifying glass.

    I started training in an area where there were no distractions. That gave me enough time to concentrate and find out what bodybuilding was really all about.

    I was determined and constant. I never wanted to pause or stop training.

    I sacrificed a lot of things most bodybuilders didn’t want to give up. I just didn't care, I wanted to win more than anything. And whatever it took to do it, I did.

    You are a winner, Arnold. I wrote this down and put it where I would see it. I repeated it a dozen times a day.

    I had lists and charts of the things I needed to concentrate on pasted all over. I looked at them every day before I began working out. It became a twenty-four-hour-a-day job; I had to think about it all the time.

    We made it a regular thing. We brought girls out there to cook. We made a fire outdoors and turned the whole thing into a little contest. We worked hard but we had a good time. After the muscle-shocking sessions we drank wine and beer and got drunk and carried on like the old-time weight lifters back in the 1800s or early 1900s. Sometimes it became pure insanity.

    It was a great time. We cooked shish kebab, sat around the fire, and made love. We got into this trip that we were gladiators, male animals. We swam naked out in nature, had all this food, wine and women; we ate like animals and acted like animals. We got off on it so much it became a weekly routine-eating fresh meat and drinking wine and exercising.

    It's important that you like what you do, and we loved it.

    They weren't mentally prepared for intensive championship training; they weren't thinking about it. I knew the secret: Concentrate while you're training. Do not allow other thoughts to enter your mind.

    When I went to the gym I got rid of every alien thought in my mind.

    I knew that if I went in there concerned about bills or girls and let myself think about those things I'd make only marginal progress.

    It was then I started seriously analyzing what happens to the body when the mind is tuned in, how important a positive attitude is.

    53. I began looking at the difference between me and other bodybuilders. The biggest difference was that most bodybuilders did not think I'm going to be a winner. They never allowed themselves to think in those terms. I would hear them complaining while they were training, “Oh, no, not another set!" Most of the people I observed couldn't make astonishing advances because they never had faith in themselves.

    They had a hazy picture of what they wanted to look like someday, but they doubted they could realize it. That destroyed them. It's always been my belief that if you're training for nothing, you're wasting your effort. Ultimately, they didn't put out the kind of effort I did because they didn't feel they had a chance to make it, And of course, starting with that premise, they didn't.

    You talk yourself into it. You tell yourself you are going to be the hero.

    I came in second. That did a little number on my mind. I went away from the auditorium overwhelmed, crushed. I remember the words that kept going through my head: "I'm away from home, in this strange city, in America, and I'm a loser." I cried all night because of it. I had disappointed all my friends, everybody, especially myself. It was awful. I felt it was the end of the world.

    Business fascinates me. I get caught up in the whole idea that it's a game to make money and to make money make more money.

    Now I had to reach out to the general public, to people who knew nothing about bodybuilding, and educate them to the benefits of weight training.

    Working in the same way I had to build my body, I wanted to create an empire. I felt I was equipped to go ahead with my own enterprises.

    I've come to realize that almost anything difficult, any challenge, takes time, patience and hard work, like building up for a 300-pound bench press. Learning that gave me plenty of positive energy to use later on. I taught myself discipline. I could apply that discipline to everyday life.

    Gradually a conflict grew up in our relationship. She was a well-balanced woman who wanted an ordinary, solid life, and I was not a well-balanced man and hated the very idea of ordinary life. She had thought I would settle down, that I would reach the top in my field and level off. But that's a concept that has no place in my thinking. For me, life is continuously being hungry. The meaning of life is not simply to exist, to survive, but to move ahead, to go up, to achieve, to conquer.

    The same with business. I'm so determined to make millions of dollars that I cannot fail. In my mind I've already made the millions; now it's just a matter of going through the motions.

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    I have listened to every episode released and look forward to every episode that comes out. The only criticism I would have is that after each podcast I usually want to buy the book because I am interested so my poor wallet suffers. ” — Gareth

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    #266 Henry Ford's Autobiography

    #266 Henry Ford's Autobiography

    What I learned from rereading My Life and Work by Henry Ford.

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    [7:45] True education is gained through the discipline of life.

    [8:00] Land's Polaroid: A Company and the Man Who Invented It by Peter C. Wensberg. (Founders #263)

    [9:40] Reading this book is like having a one-sided conversation with one of the greatest entrepreneurs to ever live who just speaks directly to you and tells you, “Hey this is my philosophy on company building.”

    [12:40] His main idea is that business exists for one reason and one reason only —to provide service for other people.

    [12:50] Everything I do is serving my true end — which is to make a product that makes other people's lives better.

    [13:47] A sale is proof of utility.

    [15:00] The sense of accomplishment from overcoming difficulty is satisfying in a way that a life of leisure and ease will never be.

    [16:00] I think Amazon's culture is largely based on one thing. It's not based on 14. It's based on customer obsession. That is what Bezos would die on the hill for.  —Invest Like The Best: Ravi Gupta

    [20:04] Later Bezos recalled speaking at an all-hands meeting called to address the assault by Barnes & Noble. “Look, you should wake up worried, terrified every morning,” he told his employees. “But don’t be worried about our competitors because they`re never going to send us any money anyway. Let’s be worried about our customers and stay heads-down focused.” — The Everything Store: Jeff Bezos and the Age of Amazon by Brad Stone (Founders #179)

    [20:40] Henry Fords philosophy: Get rid of waste, increase efficiency through thinking and technology, drop your prices and make more money with less profit per car, watch your costs religiously, when needed bring that business process in house, and always focus on service.

    [21:15] Money comes naturally as the result of service.  —Henry Ford

    [21:56] Churchill by Paul Johnson. (Founders #225)

    [22:10] Churchill tells his son “Your idle and lazy life is very offensive to me. You appear to be leading a perfectly useless existence.”

    [23:45] 3 part series on the founder of General Motors Billy Durant and Alfred Sloan:

    Billy Durant Creator of General Motors: The Story of the Flamboyant Genius Who Helped Lead America into the Automobile Age by Lawrence Gustin. (Founders #120)

    Billy, Alfred, and General Motors: The Story of Two Unique Men, A Legendary Company, and a Remarkable Time in American History by William Pelfrey. (Founders #121)

    My Years with General Motors by Alfred Sloan. (Founders #122)

    [24:16] Henry Ford's ONE idea that was different from every other automobile manufacturer:

    He was determined to concentrate on the low end of the market, where he believed that high volume would drive costs down and at the same time feed even more demand for the product. It was a fundamental difference in philosophy.  — Billy, Alfred, and General Motors: The Story of Two Unique Men, A Legendary Company, and a Remarkable Time in American History by William Pelfrey. (Founders #121)

    [25:50] There must be a better way of doing that. And so through a thousand processes.

    [27:59] The only way to truly understand what you're doing is to do it for a long time and focus on it.

    [28:30] It's unbelievable how much you don't know about the game that you've been playing all your life. — Mickey Mantle

    [32:25] One idea at a time is about as much as anyone can handle.

    [35:45] Picking up horse shit used to be a job.

    [37:30] That is the way with wise people — they are so wise and practical that they always know to a dot just why something cannot be done; they always know the limitations. That is why I never employ an expert in full bloom. If ever I wanted to kill opposition by unfair means I would endow the opposition with experts. They would have so much good advice that I could be sure they would do little work.

    [38:20] I cannot say that it was hard work. No work with interest is ever hard.

    [40:45] None of this works unless you bet on yourself. And usually you are not in the best position when you have to make this decision.

    [49:59] The most beautiful things in the world are those from which all excess weight has been eliminated.

    [50:15] Rick Rubin: In the Studio by Jake Brown. (Founders #245)

    [54:10] I can entirely sympathize with the desire to quit a life of activity and retire to a life of ease. I have never felt the urge myself.

    [55:30] I don't wanna make a low quality cheap product. I wanna make a high quality cheap product. To do that he's literally got to invent the ability to mass produce cars —which did not exist before Henry Ford.

    [56:00] A principle rather than an individual is at work. And that the principle is so simple that it seems mysterious.

    [56:25] He says if we can save 10 steps a day for each of the 12,000 employees that I have, you will save 50 miles of wasted motion and misspent energy every day. The way Ford’s brain works is very similar to the way Rockefeller's brain works. — Titan: The Life of John D. Rockefeller by Ron Chernow. (Founders #248)

    [58:25] What a line! : No one ever considers himself expert if he really knows his job. A man who knows a job sees so much more to be done than he has done, that he is always pressing forward and never gives up an instant of thought to how good and how efficient he is. Thinking always ahead, thinking always of trying to do more, brings a state of mind in which nothing is impossible.

    [59:10] I refuse to recognize that there are impossibilities. I cannot discover that any one knows enough about anything on this earth definitely to say what is and what is not possible.

    [59:30] Not a single operation is ever considered as being done in the best or cheapest way in our company.

    [1:01:05] Continuous improvement makes your business likely to survive economic downturns.

    [1:05:27] “The definition of business is problems." His philosophy came down to a simple fact of business life: success lies not in the elimination of problems but in the art of creative, profitable problem solving. The best companies are those that distinguish themselves by solving problems most effectively. — Setting the Table: The Transforming Power of Hospitality in Business by Danny Meyer. (Founders #20)

    [1:06:38] The best companies are those that distinguish themselves by solving problems most effectively.

    [1:06:53] That is the point that Henry Ford is making. You should thank your stars for the problem that you're having because once you solve it, you will now have better problem solving abilities. And therefore it's likely over time, that your company becomes more successful as a result of you being forced into this very difficult position to actually grow and acquire these new skills, because business is problems.

    [1:08:45] Lucas unapologetically invested in what he believed in the most: himself. —George Lucas: A Life by Brian Jay Jones. (Founders #35)

    [1:12:35] Henry Ford distilled down to five words: maximum service at minimum cost.

    [1:18:52] Every advance begins in a small way and with the individual.

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    I have listened to every episode released and look forward to every episode that comes out. The only criticism I would have is that after each podcast I usually want to buy the book because I am interested so my poor wallet suffers. ” — Gareth

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