Nugget #2

1. Relative Advantages: Imagine a caveman named Felix inventing the wheel. His buddy Thor, still dragging mammoth bones, scoffed. But Felix wheel? Oh, it rolled like a tipsy armadillo at a disco. Suddenly, Thor also wanted one, for easy movement of the heavy bones. Example of “Zero to 1” by Peter Thiel.

2. Compatibility: Picture this: You're a medieval blacksmith, hammering away at swords. Suddenly, someone hands you an iPhone and a Fax Machine. Confusion reigns. Compatibility matters! Innovations should slide into our lives like butter on a warm scone. Infrastructure like electricity generation and distribution is not ready yet. And very many users are a pre-requisite. Like infrastructure for the first motorcars and teaching buyers to drive!

3. Observability: If a piano fell from the sky in a remote part of a forest and no one Instagrams it, did it really happen? Innovations need an audience. Like that guy who invented the 3D perspective during the Renaissance. His name? Leonardo. True story. A more recent guy let’s rockets land backwards.....

4. Experimentation and verification: Ever tried to fit a square peg into a round hole? An innovative product should be like pizza slices—easy to sample. Try our new AI enhanced technology. It requires a new paradigm but will also disruptively change the industry.

5. Complexity: Anyone remember Betamax? Or mechanical computers like the CURTA? No? Exactly. Innovations shouldn't require a PhD in quantum mechanics. Keep it simple, like a toddler's explanation of gravity: "Things fall down. Except balloons—they go up. Magic!"

Disclaimer: No financial traders, humming birds, or PowerPoint slides were harmed in the making of this blog