Apple is Sex, Google is God, Facebook is Heart, & Amazon is Consumptive Gut, with Scott Galloway
Welcome to the Tai Lopez show I have. One, more interesting books I've read in 2017. Scott. Galloway he flew out here on his way to Vegas to party he's. A professor, at NYU. He's been ranked. As one of the top business professors, and he wrote a book. That. I think is important, it's, not just interesting. But it's important, and some, books are interesting, but not important, and some, books are important, but not interesting so this is kind of both so. I'm gonna lay the groundwork and then I I read. The whole book last night again, I kind of had read it before but I read it from start to finish, I was. Up till 5:00 in the morning all, right sorry about that no no it's worth it so, the, book is about the big four that, pretty much dominate, more than you realize, Amazon, Google. Facebook. And, an. Apple, so. I've, been tweeting about this I don't if you see my Twitter how, would I recognize some seiza yeah yeah I would put it I would put that it's a quote but it gets a lot more. Twitter. If it so I kind of reworded, them but I figured, you've got the stats from somewhere so I got that from you so. Apple, has. More profit, than Amazon's, had eight Apple and one quarter has more than Amazon's had since. Inception. Facebook. You consider, the most successful. Like. Growth I don't know organism. On the planet man most successful, man-made thing in history you say Google's, God yeah, because we used to pray to God when we didn't know something and now we Google it yeah and. You. Say Amazon is, I. Like. How you put Amazon, it's like. Unlimited. Capital raised. Its. Goal is to make it as hard as possible to compete with it so they're like if we can spend billions. Of dollars did you really say floating, warehouses, so. Amazon has applied for patents, on a bunch of things including a warehouse that floats and drones that can reassemble, from small to bigger drones and I think it's a bit of a head-fake just so they can dominate the front page so right now we're all obsessed with their second hard quarters yeah most, companies, most. Companies don't do it they just make a decision in there now but if you look at old media it's basically been co-opted, into being the investor relations PR, department, for a big tax so how many things have you received via drone I don't. Think how we get we get so much I don't think so I think's going tonight right, I think the over on I'll take the over-under on none okay, when Amazon announced that they were gonna start delivering drones five years ago on 60 minutes the press press has been writing about it every. Week for the last five years uber just announced, it in LA they're. Working with NASA to come up with these flying, taxis. So, I don't mean to be cynical cynical, but I don't think when I'm here in two years visiting you I know I saw that twenty twenty years of the company's, traditionally in the past like. To under-promise, and over-deliver. If companies over, promise, and under deliver and, the press seems to put up with it so, you're literally saying kind. Of the world we live in now almost, works, for these companies, in that traditional, media now, is the PR department and you, and I a. Polenta. By investors. That don't care about profits, they're just Amazon I'm sorry Amazon and, Apple. Runs. Pretty. Much every if you sometimes. You'll I'll text somebody and they go it, didn't was an iMessage I feel like you're like, it's something wrong print color sometimes I go to green they're like what the hell let, me read this this is interesting so I was talking a little earlier before we went live about how, I can't, tell if you love them or hate them or maybe it's a little bit of both but, you said. By. The way a good. Job on the book to put things, like this in visuals, I can't tell you how many books. Forget. To do this so, you talked about here. Imagine. A retailer, that refuses, to pay sales tax treats his employees. Poorly. Destroys. Hundreds, of thousands, of jobs and yet, is celebrated, as a paragon of business innovation I'm assuming tell my Amazon yeah then, you say a computer, company that withholds, information about, a domestic act, of terrorism from federal investigators. With. The support of a fan following they've used the firm similar to religion Apple, that's right so, the relay you consider Apple almost religious, state for as we become more educated and affluent church.
Attendance Goes down but our questions, and anxieties, are bigger and bigger creates a void for religion, apples our religion Steve Jobs is our Jesus Christ and this is the new cross Wow. Not. Controversial, at all, and, you say a social media firm that analyzes, thousands. Of images, of your children, activate. Your phone as a listening device and, sells, the information to Fortune 500, companies what is Facebook. Literally. Recording. Us when we don't know it so they if you have the Facebook app open, there's ambient, listening now to be fair it's just there so it can serve you more relevant ads so if you're at an Adele concert, you might get served her album, they're not having anything and. Sidious with it the scary part though is that Facebook has shown, us they haven't put in place that the safeguards, to ensure that it's not weaponized, by bad actors, right, the scary thing isn't it it isn't that Facebook's listening it's that an Intelligence Unit of the Russian government might be listening right so, they're hacking in somehow Zak one of Zacks, here running, the sound but his, brother Andy, is convinced. I have one of those Alexa. Things and, he's like I don't want to be in the room trust me if listening to us these fools 45 cent 45, seconds, backwards, but it's gonna create all sorts of interesting. Things should. We train, Alexa. That when it hears a gunshot to, call the police automatically. A violation, of privacy versus, crime prevention there's, just gonna be some very interesting things that happen with these new technologies, or somebody yells out fire, or, something loud enough where I've fallen and I can't get up I fucking I can't get up my work I got a 99 year old grandma and then lastly, you, said an ad platform. That commands and some markets, a 90%, share of the. Most lucrative, sector, in media yet avoids anti-competitive, regulation. Through aggressive, litigation lobbyists, assuming. That's Google, 90%. Share more sure than Marbella the railroads, had of a market that by a dollar volume is bigger than the entire advertising. Market at the any country, with the exception of the US and when you add Facebook, into that you talk about that later in the book, Google. And Facebook, AdWords. So Google, controls, AdWords, they control YouTube advertising now, take, and, then you have Facebook controlling, its own and of course Instagram, ads which, are and really when, you think online outside. Of that there's not that much more there's snapchat.
Doing A little bit of advertising Twitter so. Are they aggressive in, terms of lobbying is, go yeah they learned from Microsoft's, failure not to lobby, they have they spent a great deal of money on lobbying you talked about Facebook this, isn't a communications, vehicle I doubt you even take calls on this I don't trust people to call me on this only if they text me eighty, percent of our time on phone is in app and six of the top ten apps are, owned by one company Facebook. Yeah and you talk about digital marketing between Facebook and Google they commanded, last year a hundred and three percent of the growth in digital marketing huh so if you're in digital marketing which we think of as being as great growth sector, and you don't work for Facebook, or Google, you now join newspapers, or television and, that you're working for a business and structural decline yeah. I mean for sure most, of month me and my business partner, has spent 600. Million dollars combined. On marketing. Our companies, that we own and almost. All of that is with Facebook he spent more on Facebook I've spent more on Google yeah but I mean it's it's nine, it's exactly what you put in the book 90, percent all right let me skip ahead I've got various things that I at. 5:00 in the morning I. Kind. Of put right here. You. Already talked about this kind of the head-fake kind of things that they do where is this one that I thought was so fascinating, so. Let's. Talk about, driving. Prices, down, so. We traditionally, think that. The. Reason you don't want a monopoly, Rockefeller, was the richest man in history, if you adjust for today's dollars about six hundred billion dollars, he. Had in, today's dollars and it's because he had a monopoly, he ran the thing so. Now Google comes in and you're talking about how their ad revenues gone up but they've been able to deliver, a lower. Price. To advertising so, is that a good thing that they so, may be monopolies, are good in this case because they're offering, us cheap, the fact that Amazon, is almost a monopoly, on online they're, able to buy in bulk and ship so it can monopolies, be good or are they evil, so the, term natural monopolies, is that in some sectors that require enormous capital investment, might make, sense to have let, someone have monopolies like power so, certain cable companies are offered, limited. Competition, and aren't subject to the same antitrust. What. You have with Google and the other technology, companies that you reference, it so powerful, is they have a different, Gestalt most consumer, companies think if we have a good year for Chanel, or a product and Gamble we raise price, price inflation tech. Comes at things with a different viewpoint Google. Last year grew, its revenues, 20%. While lowering, its price is 21% so, if you're selling TV ads or print ads you, have to compete with a Google that has better products, this year and lowered its prices 21%. So every, year technology. Eats more and more of the economy, yeah because it's view point is let's massively, improve our product, but let's also lower the prices yes there's most consumer, companies go if we're killing. It let's, raise prices yeah, so, in a way it can be good but maybe it's one of those monsters, that. Can get out of control conceivably. And eventually, if Google, just started. Doing. Things that we didn't like we wouldn't have much control because we're running like me I'm running all my head Z and you see it with Facebook if Facebook doesn't like a product you're trying to advertise for those of you entrepreneurs listening. In. You. Almost have to switch businesses, mm-hmm, if, it's if I know people that sell supplements. Let's, say Facebook. Couldn't really like supplements. And. So, I know. People that get out of that whole business once, they realize Facebook, won't approve, their ads yeah. It's so for, example, with Google, there's. A lot of concerns one there's now something called Google Answers where, people are now asking Google because they trusted more than their treat their priest their rabbi the scholar questions, and Google is, answering, them for us yeah and the question is do we want to outsource, truth, my, kid no longer looks to me for answers he asks, Alexa, right, so are we comfortable with.
A New source of information and we comfort with this company controlling, ninety percent share. It's also. That. You you kind of honed, in on the crux of the issue and that is what. Is we're, gonna wrestle with is what is always good for the consumer, always, good for society right because it'd be hard to deny these companies aren't good for the consumer, but, if Amazon, is putting every retailer out of business Facebook. And Google will grow their business 22 billion dollars this year they need an additional, 12,000. Employees to. Handle that additional revenue traditional. Media companies ad, agencies, TV, stations, need a hundred and fifty thousand, people so, well roughly, so, basically, you're gonna have two and a half Yankee stadium's, of copywriters, creatives. Showrunners. Production. Teams get their pink slips every January 1 because. Of Google and Facebook's, growth and efficiency yeah, so we've had that in the past we replaced by robots we've had job destruction we've just never had companies this good at it yeah, I mean, there's all these books now about living wages and, and an, automatic, sad, kind, of or they've got Universal, don't come yet which, is basically saying daring. Enough jobs we're, gonna save so much money with, efficiencies, like with technology, that we're gonna have to literally just pay people for not working you already see that in Scandinavia, I mean it's a no-name if you get if you lose a job, they. Pay you for two years almost your full salary so. One interesting thing let's switch subjects for a second, here, really. Good part four but for those you chiming in late, Willis we're with. The. For the hidden DNA of Amazon Apple Facebook, and Google. Professor. Scott Galloway flew out here was kind enough to come out you, got great people recommending. You read the book good ol Seth Godin. Jonah. Berger a me if I know Jonah, he, wrote a great book contagious. But, you're. A professor, you teach it NYU, Business School Stern. You. Talk about and. I thought this was interesting because I was like I see an active professor saying this but you, kind of criticized, the structure, about, electives. And people going to two-year business school and it sounded almost like I don't put words in your mouth are, you saying that one. Whole year, you think the structure is almost wastes, people time and it makes money for the colleges but doesn't serve them best yeah. I think if you look at the cost of education, its outpaced. Healthcare. At outpace cable TV it has become a social. Ill, I think our university, system has effectively become a caste system where, you're a few largely, unfortunately. Dictated, by, the college you go to at the level of education and education, has become unattainable, it's become so expensive for kids like me right, who was raised by a single mother who was a secretary just three miles down the road here the, thing driving the costs is this, Union.
Called Tenure, we have social, services food stamps and welfare for the undereducated. We, have welfare for the overeducated called, tenure, and in Business School the way of manifests itself is we have a second, year we, really only need one year the first year of management, operations, marketing and finance takes the kid making 60 K a year turns, them into a kid making 110, kg which is the average start coming at NYU great, return on capital right, the, second year is largely a waste so we can charge 120 thousand and tuition instead, of 60 and fulfill, the teaching requirements of a bunch of tenured faculty that, should have been put on an ice floe 30, years ago we. Could do an MBA in one year are you popular Eddie yeah as you can imagine with, the professor's, you can imagine I don't get invited to lunch a lot on my college you're, like you. Iceberg. Time you're pissing me off I said that I'm going to be serious NYU loves free thought and pre thinking even if you offend people the, second, year should have four pillars too and the four pillars should be Amazon Apple Facebook and Google huh to understand, these companies how they create value the instinct, they tap into how, they've been able to aggregate the GDP, of India across, the population. Of the Lower East Side of Manhattan is to, understand, the intersection between technology innovation. In media and information, services in retail so the four pillars of business in my view post, management, operations, finance and marketing are these four companies huh so for those of you listening that, are entrepreneurs, or considering, being entrepreneurs what, you're really saying is what. You talked about in this book is the ultimate, case study if you dissect. Reverse engineer these four companies you. Almost have a micro, model for, anything that you want to do you're gonna need to know these skills so you're gonna need to know the. Design, in, creativity, and marketing, abilities, I this is how I think about it correct me if I'm wrong to, me when I think of Apple it embodies, the, ability, to have, sleek, designs. Urgency. Marketing, scarcity, marketing, it's this beautiful it's, kind of beautiful when, I think of Google like you like you said I, a lot. Of, its. Information, technology, is ultimately, that so they have PhDs, in library, science if you get a PhD in library science you're, probably, gonna go work at somewhere like Google, when I think of, Amazon. I think of aggressive. Business. I was just at a talk here.
In LA Jeff Bezos stopped, in and you. Know the man was aggressively. Taking. Diapers.com, was. A company and he went to the owner of diapers.com and, he said listen to me if. Sell. Me your company and the guy said no and he said you better sell me your company or, I'll just make my own diapers version I'll drop the price and put you out of business and, he dropped the price and one, of his executives. Said to Jeff if, we. Lower the price of diapers this much we'll lose a hundred million dollars, a quarter, and he goes I don't care and so, when I think about those of you watching the need to be somewhat aggressive and competitive at, home that's what I think about with, Amazon. And then Facebook I when. I what I think about Facebook is really. Tapping into almost. Internet. 2.0. You know Internet 1.0, was kind of just selling, things online and Internet, 2.0. Was, connecting. People and using, that information to sell to them mm-hmm is that kind of a fair so, I'll. Take a swag at that as well so Google, I think as a modern man's God we, used to turn to a superbeing for answers now. As when we're educated, more affluent we don't depend as much on a super being but we still have modern-day anxieties, and questions well Mike it'd be all right a prayer is that you send, a query into the universe hoping there's divine intervention, it sends you back an answer now. It's symptoms, and treatment, of croup into the Google dialog box yeah it was our modern man's got all of these tap into a specific instinct. Facebook. Taps into our need to love, one of the wonderful things about our species is we not only need to be loved kids. With poor nutrition, but high levels of fact of affection, have greater outcomes than. Kids with good nutrition and poor levels, of affection, but we need to love others the number one indicator or signal of your making, it to a hundred years or not is how many people in your life do your love I met, your cousin working, here that's a signal that you're a care taker people. Who let their parents move with them and decided to take care of them - life expectancy, goes up two to three years new, mothers do not die it's, an instinct, to want to take care of others and when you the physical and mental nuance of taking care of others, releases, a hormone that clears out the bad cholesterol and you get to stick around on this earth a little bit longer, Facebook, taps into our need to love others and is creating first and second degree relationships. Catalyzing. Them reinforcing. Them mostly through images, that create a lot of empathy right, and kind of second order love moving further down the gut our, instincts, since we emerge from caves is always more we always want more because the penalty for too little is the, worst death in the world starvation. Yeah so open your cupboards open your closets, look at this fat pad and you think I don't need anymore and then the moment after you think that I think I'd like a bigger pad or I'd like a penthouse in Manhattan or I would like more clothes so. The, more, for less business strategy, is usually, the company that is the most valuable in the world it's the strategy of Walmart it's the strategy of China as a society, to offer the world more for less and now, it's the big winner there is Amazon, moving further down the tour so your, strongest instinct, is survival, most of us get up in the morning we know we've checked that box you were not worried about making it to the end of the day today you were confident, you were gonna survive so, you go to your second instinct which is procreation, this. Is the new signal that you have good genes this means having an apple iOS means, that you are educated, affluent appreciate. Artisanship have disposable, income and that you have good genes this is saying I am a good, card game a little bit this is the feathers, the new luxury item and as a result, has, been able to pull off the impossible the. Low-cost, provider meaning Apple can go into the supply chain and secure components. For the lowest price but, it charges the pre weight price so, that's the equivalent I saw these fad cars out there imagine, imagine, the, margins, of a Lamborghini or a Ferrari with, the production volumes of a Toyota. That's what Apple, yeah has done and as a result, is the most profitable company, in history more profitable, than, IBM, Oracle Unilever. Walmart, and PNG combined, we have never seen a profit, generator because, it taps into a very, irrational organ, and that's our reproductive organs, you want to you want as a company, figure out what instinct, you tap into and ideally you want to tap into the Arash, one's love you said they're three in the book you said there's the rational the emotional, and the genitals, I like that like. It's like something sexy. Doctor. Interrupt you but that the, one, of the parts, later in the book by. The way I highly recommend you guys grab, this book the four.
By. Here professor Galloway you talked about how. These. Companies. Are. About wealth on the Forbes 400 when, you subtract people who've inherited their money and what, a large percentage, of, them were either and reached our luxury, goods yeah so, there's there's money and that's that procreation, side of where, we have luxury. We're signaling, to the world if you study you, know classic. Evolutionary, theory that was one of the things that. Darwin struggled, with why does a peak male peacock, have all these extra feathers because they take energy and they seem to serve no purpose but, the purpose, was to show I have, so much energy then, I don't care and so when, a man buys, you. Know I, have. A lot of cars. Charles. Are gonna be like you're trying to signal that's women that not only gonna have one Lamborghini. But I forgot that I happen to like that kind of mentality so you're saying Apple, because I that's an interesting, tape that's, what you think apples your. Ferrari in, iOS signal the same thing it says you're stronger smarter and faster, than. The other guy and that if a woman mates with you her kids are more likely to survive than if she mates with someone who drives a Hyundai and has, Android, at. The end of the day that's what you're signaling and you will pay a lot of money to. Feel I'm wearing a cashmere sweater that, costs about ten times more than I need to stay warm right but I'm trying to communicate to people that I have an Italian sense of design and Sensibility, and they're not attractive me and even, if you're in a monogamous relationship and. Not looking to procreate, actively, these. Things have been pounded, into you from millions of years so you still want that canary yellow Ferrari in, your in your garage even if you're happily married even, if you love, your husband and have no plans of procreating, with anybody else you will still buy $600. Ergonomically, impossible. Shoes, right so you, want to tap into these irrational margins, because a rational, in the consumer, world is Latin, for huge, margins, wealthiest man in Europe Bernard, Arnault Vuitton. And who blow signaling. Wealthiest, family, in New, York Estee Lauder making, your cheekbones look higher, you're a better mate yeah the axiom, of DNA. Trying to get everywhere and then trying to select the smartest fastest, and strongest. DNA. Is the, algorithm creating, more shareholder, value the last 30 years of, any category more than tech huh almost, as much as finance depending on when you're looking at it how finance is it big, one but take. Out take, out inherited wealth and finance more people on the Forbes 400 list, from. Retail. And fashion than any other category thus are a guy number, two exactly, and number three is hmm, yeah so you, either want to peel they're the number one source of wealth creation and consumer companies up until the in the. Introduction. Of Google from World War two was, appealing to the heart yeah here's a hi Clark pace for your kids that's, appealing to the brain that'll keep him alive its nutritious, no, it's not here's a high caloric paste that, signals, that you love your kids more rain, your neighbors why because choosing moms choose, Jeff so, we took all these powders these solvents these soaps and we placed American. Patriotic, European. Elegance maternal. Feelings of love around these things let me turn 30 or 50 cents of powder into, something worth three to five bucks and P&G, and Unilever created, hundreds of billions of dollars in, value, you want to appeal to the irrational, instead yeah yeah, always say yesterday. On. The show I had Jordan Belfort wolf of Wall Street and he's a great, salesman obviously. And he said, he. Said ultimately. 90%. Of its emotional, sales mmm-hmm humans, struggle I mean even if you look at our brain one, of my business, partners is a molecular. Neurobiology. Ient. It and he basically says you know the, part of your brain that's rational like your neocortex your. Medium prefrontal, all, this kind of part he said it. First. Goes through your brainstem and your medulla to all this primitive. Stuff and then maybe, your. Thoughts get up here mmm-hmm you know we can sense Beauty a man, or a woman can tell if somebody is beautiful, from almost any angle from, 50, paces away you, could if Angelina, Jolie walked in air. You. Would be able to know she's beautiful even if she wasn't standing in front you could see from far end same with you, know whatever Anna. What guy do you like. Matthew. You should like Matthew, McConaughey. The. Wolf of Wall Street is do it you know that chest-thumping part that's a great movie that's only Matt McConaughey, they added that in he's like I never did that all right let's keep going through the book few more things, that I wanted to talk about so, let's, talk about so, we talked about the four massive, companies.
Okay. Let's talk about the fifth, potential. Horseman. So. We, had potential, for Alibaba. Uber. I. Think. You mentioned what, was the other one Tesla, Tesla and, now you yeah you've made a good prediction. You said he's gonna expand, out of cars yesterday. Elon, Musk. Announces. Semi-trucks. Cool a boring, company like it so, if. You had to bet. Who's. Gonna be the fifth big, one you talk about the problems with ollie Bob on the problems that I thought, was interesting what you said constrains, Tesla, is, they're not as international. Even though they are big in Europe Scandinavia. But that's a small market you. Talked about the, constraints, on Alibaba, was capital, I thought that was interesting, compared to Amazon they don't have access to cheap capital also Alibaba, suffers, a little bit from what Tesla suffers. From and that Chinese companies traditionally haven't, been good at going global yes aren't that many global Chinese, and China hasn't been good at going global there's. I think as Jared Diamond's book Guns Germs and Steel talked. Talks. About how China has never traditionally. Been a conquering, country, in terms of going so, if you had a wager right, now yep, knowing, you could be wrong who's. Gonna be is it Ober who's gonna be the fifth Horseman so two years ago I would have bet on Hoover because I thought ooh Burr was not, a ride-hailing, service, but a back end fulfillment, infrastructure. To rival Amazon's, okay, we were it's like uber eats was the beginning, of it that's right I was wrong the, fifth right, now the good money in my view is the. Operating, system of the second, most important, screen in our lives this is number one number two is TV and that's not flicks ah girls. Millennials, spend more time watching Netflix, and the rest of cable television combined. Yes if they continue, to command, that sort of custody, of the wealthiest, consumers. In the world you. Can see them getting into all sorts of different businesses, where would you go so if you're Reed Hastings you're. Running Netflix, where do you go next, oh I, would probably introduce, voice what about music why. Not take out Spotify. Spotify, yeah that's a fair point there's, a lot of different ways they give you if you controlled it no what about legislation. Yeah. Educate, no don't do that that's industry, I'm interested, in yeah free day see the race is from that knowledge okay I, think. That uh they. Have. If. You think about the best money, people, sup probably say they spend dollar for dollar the. Average person under forty I bet, you it's Netflix right there ten bucks, and you, can sit, there and people binge, or, walk what's the most you. Guys anybody, here is ever washed on Amazon, in one day, I mean Netflix in one day. Yeah. That's open three hours Adrienne's, a newbie he was only watching three hours a day three, are that clear that means you clearly don't they, if you're only a three hours of stranger things well, I remember when, they were still delivering, DVDs, I Zack, here got me into into, The Sopranos, and, I. Almost lost my mind I had to switch to that package where you get like 12 DVDs, I was like having here so, it. Was one of the greatest pivots, in business history think, about it a mail order DVD, company, takes. Huge, risk, extraordinary. Capital, stock dough and, went into streaming TV, I mean one of the greatest Reed Hastings, has arguably the most underrated CEO in the world you think so well he's not mentioned in the same breath as B's dose and cook and he's right out there yeah that's not the one revenue levels I mean right now they just passed a hundred million, customers.
Let's Say paying roughly ten so they're doing a billion a month in, revenue. Not. Certainly, not at the level I mean I think Amazon, if I'm correct I did, the math there grossing like three hundred million dollars a day or something it sounds, right I think they're about 120. Billion but what Amazon, and Netflix have been able to do is that they. Taken a stopping, and starting business, like retail where on January 1 you have to reinvent the business yep and get new customers every day yes and that's exhausting, that's like playing basketball and, in, the 90s software, it came up with this amazing business model so we're gonna cut the price but we're gonna integrate it into your daily workflow and, you're gonna pay us every year and we're gonna show the market, that you renew recurring, revenue like a gym versus a personal, trainer yeah and the markets value. Recurring, revenue companies at a multiple of revenues. Versus a multiple of profit, yes so another gangster pivot, was when Amazon took a non-recurring revenue business, retail yeah, and took it to a recurring, revenue business try me with Franz yeah which is now in 62%. Of households, more, households, have a recurring, revenue relationship, with, front with Amazon, called primed and voted in the, 2016. Presidential election or have a landline phone. There's. A lot there's a lot of interesting stats in this book I like the one that Apple, has more cash than the economy of jerk of Denmark. You. Know you've got a lot of money Zack when, you're like oh that country, I have more money than that country not, that that region not, that state that, country, yeah. That nation, so, as we wrap up here I wanted. To talk about, especially. For people listening our launch of business let's talk about the losers, mm-hmm, because, my. I I had, a lunch. A dinner with Steve Ballmer this year fascinating. Guy very smart, very thirty, two billion dollars owns a Clippers, but. Microsoft has definitely, been a loser, in, the game, what. Do, you think they did wrong that, a lot because arguably. They, could have been in the big four now had. They gone earlier than foray into the internet and all these things so what's the lesson the cautionary, tale for everybody listening then, no matter how good you think you are there's somebody ready to take you out and what. Do you have to watch for. So. That's that's a complicated, question but just first off Microsoft, has actually had an, incredible, Renaissance the last years yes a three-syllable, company in the world right now so arguably, they, are the fifth Horseman but I didn't write about them because they're b2b you. Know I think having the courage, to rien. And, constantly, reinvent yourself staying hungry always being paranoid as Andrew Grove said figuring. Out a way there's some things changing, so, for example moving to an urban center now being yes within a bike ride I can't think of a company that's created more than ten billion dollars in value in any given year that is now not a bike ride from a world-class engineering. University mmm technology, really really is eating the world you, need to be perceived as an accelerant, for people's careers, since they show up you have to show extraordinary financial success, because I believe and some, people think this is crass but I plea people, for the most part go to work to, provide Economic Security for them and their families, and will always be fond of the economic, winner you, have to be seen as a good citizen you have to be seen as going global so, there's a lot of features you see you, see companies moving away from these suburban campuses, into urban centers yeah there's all kinds of I go through something called the T algorithm, where I think there's eight features, of companies, that have a shot of getting to a trillion dollars that all these companies mostly, have their vertical they control the experience yep Apple controls the experience, with their stores yeah so I work with Nike Samsung, Rolex, PNG I think they're all gonna have to gonna.
Need To open stores to maintain their irrational margins, if they want to be Microsoft, try they didn't do so well, execution. Means everything I was aboard a gateway computer, we tried and it didn't work yeah but Samson's not catch an apple with those gorgeous temples, to the brand called Apple Store yeah so, you know I like that you call them temples, to the brand, yeah. That's it that yeah this is as, we wrap up let me just read this go. Through this last last part there was one more thing the, books interesting, because at the very end you. Have this chapter, called the four and you which. Me it's almost like a template, for, success, based, off and, I'm not gonna read off time to go through all of this but, these. Are the personal success factors, that you need and I a couple. Of them caught my eyes caught. My eye get. To a city, hands. Down you were talking about how important, it is we're. Here in Los Angeles you're. In New York talk about pimping, your career. You. Talked about serial. Monogamy. In the context, of get. A job. You're. Probably not gonna stay there forever mm-hmm. But, when you're there focus, on it you don't really like tinder dating, and thinking, oh there's always a better job and stay there as long as it makes sense be exceptionally, loyal until you aren't yeah, and but going back to the city two-thirds of economic, growth over the next 20 years are gonna take place in cities when you're in a city have you ever played, tennis and rallied with someone who's better than you and your game immediately goes out right when, you're in a city you're with you're on the court with a bunch of players that are better than you and you're just gonna raise your game, what are you cities make you less happy but they make you more money so buy a decent that's actually a decent I have, some couple farms I bought in Virginia so what I do is try to rotate around yep, so if you can pull it off have, a house in the mountains a house of the beach and then, go, back I go back to LA it's almost like going back into war yeah, back into the Thunderdome back to the Thunder so. Yeah. I like, this professor Galloway, career, advice. This. Is a sexy. Job factor, what we just talked about once yeah you. Want to open a restaurant you, want to produce movies, you want to go to work for Vogue you better get a lot of psychic income because on a risk-adjusted basis. Your, returns gonna be awful you, want to start a software as a SAS platform, for healthcare maintenance workers something that sounds like you want to put a gun in your mouth bull no I smell money the. More boring the the industry, the higher the ROI because, the sexy, industries are over invested, and they're like any asset, class when everyone's buying Florida.
Real Estate watch, out there's a crash and then when no one wanted to buy Florida, real estate in 2009. Go in and buy yeah find, industries, that, other people find boring yeah if you can't help it and you have to work for Vogue okay then go do it but, if you're looking to do something in terms of just sheer ROI on your human and financial capital, boring. Is sexy, yeah and he's talking it's. Interesting cuz it's, two things if you're starting a business you may want to start a sexy one going off the Zara and the retail, and the amount of billionaires, great if you're an employee you're saying those. Jobs, they're, like everybody. Wants to work for us interns, here you get you know to get much doughnuts, and that's it so, wayne, Huizenga, was a billionaire, before. She started blockbuster. But he was already wealthy and before that he had wait. Waste management, which is a trash biz, and I, actually had a, older. Mentor of mine and, him and a buddy had invested, in I camera for his waste management one of these and they, were they, got paid a million. Dollars a month as a dividend, for investing, in it years ago they owned a small I mean trash. Generated. Made. Them 50 million dollars or something like that as a small investor, in it so, that goes to your point well. This has been amazing for those of you, listening. Go. To Tai Lopez calm. The. For just, the words. The4. I'm, gonna put a special page up for, this book Tai Lopez comm slash the. Four I'll, put links to Professor. Galloway's, stuff he's got a TED, talk he just did he's, got some great, consulting, companies for those of you listening who have enterprise. Needs. And so, thanks. For you don't party too hard of Vegas now I'm gonna do a second interview I get to slip and break a hip. We're. Two days later. It. Would pimp the video view is the last interview, I did or the last interview, look we're gotta fuck, yeah yeah that professor got like well thank you for being thanks and. All your success know on yours this is a great book check out the book. Don't. Get left behind by the for. You.