Thinks 536

NYTimes on a study of rich people in the US: “First, rich people own. Among members of the top 0.1 percent, the researchers found, about three times as many make the majority of their income from owning a business as from being paid a wage. Salaries don’t make people rich nearly as often as equity does. Second, rich people tend to own unsexy businesses…These include auto repair shops, gas stations and business equipment contractors. The third important factor in gaining wealth is some way to avoid ruthless price competition, to build a local monopoly. The prevalence of owners of auto dealerships among the top 0.1 percent gives a clue to what it takes to get rich.”

HBR on DAOs: “A DAO is a new type of digital-first entity that shares similarities with a traditional company structure but has some additional features, such as the automatic enforcement of operating rules via smart contracts (we’ll explain more about these and why they are so interesting). DAOs come in many structures, but all operate as collectives in which members make decisions democratically. No single person exerts control in the way a conventional CEO or senior management team would…DAOs attract interest not because of their current scale but because of the novel activities they’re undertaking: making investments, establishing new kinds of communities, acquiring items of historical or cultural importance, and engaging in philanthropy.”

Ajay Mehta on Every on launching a physical product: “Brilliant product ideas don’t fall from the sky fully-formed. The best ideas start with a ripe audience and a unique observation, and take it from there. The easiest audience to understand is an audience of one: yourself. What is something you yourself want to buy? Is there a useful tool or object you’ve previously made for yourself? If a product idea is legitimately something you’d be interested in buying, there are almost certainly others like you who would be interested in it too.”

Published by

Rajesh Jain

An Entrepreneur based in Mumbai, India.

Leave a Reply