Posted by HT on January 24th, 2009 in
Biz Topics,
CS3216,
NUS On Wednesday, after helping NOC do a pitch to a lecture with many Sophomores, Juliana (NOC staff) asked me for my opinion on the following topic: “What makes Stanford special?” In summary, my response was that while in the graduate and post-graduate levels, there seem to be more opportunities for cutting edge research, in the undergraduate level, things are not all that different from other (good) universities. However, its alumni base, locality and special programs (such as STVP) provides a slight advantage that compounds over time to make it special. 
A day ago, this was highlighted in a huge way on Techcrunch.
Before I go on, for those who don’t already know, let me explain what Techcrunch is. TechCrunch is a blog (mostly) about Web2.0 products & companies, started by Michael Arrington, who is one of Time’s Top 100 World’s Most Influential people in 2008. With over 1,808,000 web feed subscribers, mostly in the Web2.0 industry, the companies featured in Techcrunch often get a million users overnight just by being mentioned.
So yesterday, I saw a post titled “Stanford Students Release A Cool Batch Of iPhone Apps”, which was also had links to a prior post that I have seen before about the Facebook Apps released by Stanford students. Granted that the course is a year adrift from the posting about the Facebook Apps post, but seriously, the portfolio of the previous CS3216 course seems way way cooler, I mean, just look at it! There’s a collection of applications that might actually help you do something, instead of the super-poke-type applications.
However, here’s my point. The Stanford courses are featured on Techcrunch, which in turn is a guarantee for a instant jump in number of users. Talk about solving Cold Start strategies. (By the way I’ve heard Web2.0 entrepreneurs pitching to VCs with the marketing plan being “Get featured on Techcrunch”.) While head-starts do not necessarily make you more successful, but this, and other introductions and recommendations in the Valley, are the unfair advantages available exclusively to Stanford students. Leveraging on this to achieve greater successes, makes Stanford special.
Now that things are demystified, we can make NUS equally if not more special. Can’t we? 
Side-Note: Facebook might often be mistaken to be “out-of-fashion”, but given that the website is still growing at a stunning 10.8% to 222million uniques in December08, the opportunities are still endless!
Tags: Marketing, News, Social Media
Posted by HT on May 22nd, 2008 in
Biz Topics An excellent brand is more than just a good logo. Use the following terms and definitions when evaluating the brands you find tonight.
Delivery on Promise
A good brand has a well-defined (either implicit or explicit) promise to its customers, and consistently delivers on that promise. For each brand you visit tonight, try and define what their promise is, and how they deliver.
Memorability/Ownability
The brand uses color, typography, logo and other design elements such as layout and dress of retail locations in a consistent manner. Creating distinctive elements and using them consistently not only makes a brand memorable, but keeps other companies from using the same elements.
Superior Offering or Service
The brand’s product or service works more consistently, tastes better, or provides a more satisfying experience than the competition.
Fulfills a Need/Innovates
The brand takes an existing product or service and elevates it to a new level by re-imaging, redesigning, or combining it with a new approach.
Tags: Branding, Business Lessons, Field Trip, Marketing
Posted by HT on May 14th, 2008 in
Lectures/Podcast Growing an Entrepreneur
Lessons:
1. Try, Fail, and Learn, Grow – Try Fry Cry
a. Find Your Passion (What are you good at?)
b. Hang on the edge of your comfort zone
c. Failure Teaches Fast
2. Social Media use to network, build your identity and try out projects
a. Facebook – Launch Tool, Events, Fan Pages, Podclass.com
b. Twitter – Follow people in your field of learning
c. Blogs – i) Start your own blog ii) RSS Feeds of people in your field iii) Find advisors
d. Organize Local events – i) Meetup.com, barcamp.org, mobilemondays, wikiwednesdays, startupdinners ii) Volunteer for events to surround by smarter people where you can learn
3. People, People Technology
a. Find your team
b. Find your team style
c. Find your team, Style your team likes
d. Find your team, Style your team, Likes that breeds success
Info about Sudha
Ignorance to breed success. The first woman to raise venture capital in the New England states. 120 people and met in 40 days to get first million. She didn’t know about it, might have been scared off if she did.
Advices
When you think about what you don’t know, get to know it.
A milestone to live and die by – measurement of success.
Its about the people. An important milestone – find people.
The more you try, the luckier you get
When you know how to do something, get someone else to do it. Go find something else to do
Practice scaling and “doing business for others” as an exercise
Marketing to Students – Facebook Marketing
Hand around and find or create a group to network with people
Find local meetups to evangelize to people, these people have the local knowledge on the market
If you don’t ask busy people exactly what help you need, they can’t help you.
One Lesson: “Find Great People. Not just people who mean well, but GREAT people who can help”
Always be looking at the people, give a chance to people
Growing an Entrepreneur
Lessons:
1. Try, Fail, and Learn, Grow – Try Fry Cry
a. Find Your Passion (What are you good at?)
b. Hang on the edge of your comfort zone
c. Failure Teaches Fast
2. Social Media use to network, build your identity and try out projects
a. Facebook – Launch Tool, Events, Fan Pages, Podclass.com
b. Twitter – Follow people in your field of learning
c. Blogs – i) Start your own blog ii) RSS Feeds of people in your field iii) Find advisors
d. Organize Local events – i) Meetup.com, barcamp.org, mobilemondays, wikiwednesdays, startupdinners ii) Volunteer for events to surround by smarter people where you can learn
3. People, People Technology
a. Find your team
b. Find your team style
c. Find your team, Style your team likes
d. Find your team, Style your team, Likes that breeds success
Info about Sudha
Ignorance to breed success. The first woman to raise venture capital in the New England states. 120 people and met in 40 days to get first million. She didn’t know about it, might have been scared off if she did.
Advices
When you think about what you don’t know, get to know it.
A milestone to live and die by – measurement of success.
Its about the people. An important milestone – find people.
The more you try, the luckier you get
When you know how to do something, get someone else to do it. Go find something else to do
Practice scaling and “doing business for others” as an exercise
Marketing to Students – Facebook Marketing
Hand around and find or create a group to network with people
Find local meetups to evangelize to people, these people have the local knowledge on the market
If you don’t ask busy people exactly what help you need, they can’t help you.
One Lesson: “Find Great People. Not just people who mean well, but GREAT people who can help”
Always be looking at the people, give a chance to people
Tags: Branding, Business Lessons, Marketing, Mentorship, Social Media
Posted by HT on May 8th, 2008 in
Entrepreneurship Anand
Current: Advising 3 companies in Valley, 1 in India
A love for Ben Franklin: The original ‘renaissance man’. Inventor, Philosopher, Businessman, Diplomat, Politician, Librarian, Scientist, Engineer
Special Meetings: Mohnish Pabrai, MD of Pabrai Funds leading to a new way of thinking driven by values and sound principles, not buzzwords
Ideas are big, but DON’T BE OVERWHELMED. You have a lifetime to learn and apply these principles!!
Munger/Buffett Track Record
Buffett
Berkshire Hathaway: Coca-Cola, Gillette, ABC, Wells Fargo, See’s Candies, Saloman Smith Barney, GEICO, NetJets, Costco, AmEx, Washington Post. WITHOUT scandals, greeds or creative accountings
Early students of Ben Graham,
‘Moat’ Philosophy – Moat for sustainable competitive advantage
‘Cigarette Butt’ Investing and approach to evaluating ideas/business – Just do it and make a bit of $???
Munger
Modern day Ben Frankin
Fair business at a great price vs. great business at a fair price
Buy own, work for and invest in a great business with a fair price than the other way round!!!!
Notion of worldly wisdom to build latticework of mental models and lollapalooza results
Key Themes
- Meet the eminent dead
- Meet the one-legged guy in an ass-kicking contest
- Worldly Wisdom: “man with the hammer” tendency
- Invert, always invert
- Lattice
- Multi-disciplinary approach
- Web of derserved trust
- 6 themes of influence
- Self-serving bias
- Ability to kill your best ideas
- Inventing vs. method of invention
- Bad bridge vs. bad business
- How do you build a 2 trillion $ brand from scratch?
Meet the eminent dead
Instead of explaining concepts in the abstract, it’s a lot more fun to make friends with the eminent dead!!
- Ben Franklin
- Carl Jacobi
- Charles Darwin
- Adam Smith
- Linus Pauling
Worldly Wisdom
The man with the hammer… would want to make everything look like a nail so that he could use the hammer. So go back and add other tools to the hammer so that not all problems look like a nail. If I can’t solve the problem with these skill sets, add more skill sets!
The one-legged guy in an ass-kicking contest. You can never win. Build other tools so that the problem is varied and not with that one tool that you have.
Evolutionary Biologist would come out with hypothesis then change. Darwin proposed it.
Don’t make the decision then justify. Go and observe and come out of comfort zone.
How to acquire Worldly Wisdom??
- Making friends with eminent dead across fields
- 6 themes of influence (tbi)
- Self-serving bias: Appealing to bias, not to rationality
- Causality vs consequence
How do acquire and retain WW?
Always invert. Ask the opposite question. “If I know where I’m gonna die, I will never go there.” If you know one thing you’re not going to do, that eliminates a lot of possibilities.
Pavlovian Models (See ‘Building a $1 trillion brand’)
Borrow from one subject to improve another like Linus Pauling
Look at reading list from SFI http://www.santafe.edu/
Multi-Disciplinary Approach
Arrive at a checklist of tools that you have. Ways to think of a problem. What not to do. Etc.
Tools to evaluate marketing and business problems
Avoid man with hammer tendency
Costco: Optimize on a single variable (to the extreme) à What is really interest is that they are doing everything Walmart is doing, but they can negotiate with all suppliers, hence get HUGE discounts, and provide for a fee (membership). Paying for value
Gillette: commitment and consistency
Nebraska Furniture Mart: Customer service, low prices
Knowing when to apply the “extraordinary routine” like when you need to fly a plane
Case Study: The 6 themes of INFLUENCE
From “Psychology of human misjudgement”, Charlie Munger speech at Harvard Law School, 1995
Look for reinforcing effects in marketing situations (for Lollapalooza results)
RECIPROCITY
- LinkedIn recommendations: Help people to help yourself
- Chain Letters: cascading effect of reciprocity to reach a million people
COMMITMENT AND CONSISTENCY
- Only one sperm can get in then it shuts off. One idea is in, your head shuts off.
- Physics: people resist change when they like the old idea and they won’t look like an idiot
- Phil Zimbardo: Stanford prison experiment
o People who play prison guard played the role as humans will commit and be consistent
o The power of thought, commitment and being consistent with it
SOCIAL ACCEPTANCE
- Tupperware Parties. If everyone has it, I have to have it too. And when your friend is at your place, you’re more likely to make the purchase
LIKING, AUTHORITY AND SCARCITY
- Work for somebody because you like him
- Nobody cares who created it. I like the iPod I’ll buy it
- #1 brand always has the highest market share
- Brand loyalty
- Scarcity by Steve Jobs. Show it once, and everyone wants it. Then make people give Apple discounts to sell it.
Real Estate and Car Dealers: Scarcity and Authority to sell you something
Coke & New Coke: Commitment and Consistency. Something you are familiar with.
Darwin vs. the rest: That’s why people don’t like his theory
“Limited Edition” items: Scarcity
Case Study: Incentive caused bias
Apple employees can’t be convinced that Apple sucks
TRUE MEANING OF AGENCY COSTS – never try to work against what people are paid to believe
Fedex shift/hour compensation example: Each employee was paid by shift. So instead of that, they would be paid by the hour and track performance each hour. Incentive caused bias
Commission driven with CRM updating system to drive Salespeople to work
A return to values…
Are you comfortable with this appearing in the front pay of the NY Times tomorrow morning? Use this as a guide to make decisions.
WWJD?
If you build a bad bridge it will collapse. There is no consequence of building bad business. Everyone has to put in their part.
Web of deserved trust: best way to succeed is to deserve what you get
The ability to kill your best ideas – do it before others can do it so that anything that you allow to get out of your lab is going to cater to the highest standard
Makes financial sense to gain others trust
Can you build a $2 trillion brand from first principles?
“Practical thought about practical thought” – Charlie Munger
Lessons:
1. Trademark your name, protect it strongly to build scarcity
2. Have a product with UNIVERSAL appeal
3. Leverage on classical conditioning and operant conditioning (conditioned reflexes)
4. Liking, Scarcity, Social proof
5. Always invert and turn it around – what should we NOT do?
6. Exclusive product that people can’t get ANYWHERE
7. Don’t get bad effect of successes (like Microsoft, etc.) Use principles to build company up
Tags: Corporate Culture, Marketing