Table of contents
Broad Cola Product checklist
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simplify problems by deciding big “no-brainer” questions first
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have numerical fluency
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think through the problem in backwards fashion too (inversion)
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tipping point occurs by stacking up elementary ideas from multiple disciplines
Cola problem
Scenario
- Investor offers 2 million 1884.
- Stick with beverege business only
- Use the name Coca Cola
- Half equity to the person who increases the business value to 2 trillion in the next 150 years
Pitch decoded
No brainer
- We are never going to create a prouct that generates a vaule of 2 trillion alone by itself
- Therefore we need to make the name of “Coca Cola” into a strong legally protected trademark.
- we need to scale gradually from atlanta, to US and then to the rest of the world.
Numerical fluency
- we need to ascertain our target by 2050.
- there will be 20 billion beverage customers
- each consumer drinks 1.9 litres of water
- of that if 300 ml is consumed by per customer in all flavoured drinks
- of that 150 ml goes into drinking our beverage
- we can then occupy half the market and reach the 2 trillion ounce servings
- if we net 4 cents persaving
- we can earn 117 billion, if our business grows steadily
- factors why business will surely go steadily
- 150 years is a long time
- each customer has more money buying power than the ones present
- technology improvements will reduce production costs
- thinking what happens in 2050 (inversion)
- factors why business will surely go steadily
Inventing universal appeal
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Two challenges of large scale
- In about 150 years, we need to create a market to drink $\frac{1}{4}\th$ of world’s water ingestion.
- Dominate the new market by monopoly effects.
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Strong trademark
- going into the business of creating conditioned reflexes
- Coca cola trade name will act as a stimuli
- The purchase and ingestion of beverage will be the desired response.
- How do we achieve the above response.
- by operant conditioning
- by classical conditioning
- How do we achieve the above response.