Instead of creating a product then finding customers, Amazon asks "What does the customer need?" and works toward the product.
✅Customer need --> Create product
❌Create product --> Find customer
1/ Amazon is famous for its writing culture:
• "Mock press releases / FAQs" for new product pitches
• "6-page memos" instead of Powerpoint
Two former Amazon execs wrote a book called "Working Backwards" detailing the philosophy.
Here are some insights 🧵
Instead of creating a product then finding customers, Amazon asks "What does the customer need?" and works toward the product.
✅Customer need --> Create product
❌Create product --> Find customer
To determine if the customer need makes biz sense, employees write a press release:
• What problem is the new product solving
• Why it's better than existing options
To persuade a customer, the document has to be jargon-free and tell a story.
You don't write a press release for an incremental improvements.
Creating a product worthy of a press release means really solving a customer problem and going after markets with large TAMs.
Addressing every potential customer question can help identify hurdles to getting something to market...and also uncover opportunities.
Amazon famously has execs write 6-page narrative-driven memos instead of Powerpoint decks.
The practice began in 2004 when Jeff Bezos noticed nothing was being decided after 60-minute long meetings with his inner circle (AKA S-Team).
People read faster than people can talk meaning that -- for a 60 minute meeting -- reading a memo before discussing an issue conveys much more information (10x more per one of the book's authors).
Narratives are also more memorable.
In Powerpoint presentations, a great presenter can sell a bad idea. Conversely, a poor presenter may be unable to sell a great idea.
In a memo, the idea wins.
Powerpoint's hierarchical (and sequential) structure is not ideal to address complex issues.
Narrative-driven memos can be multi-causal and provide a 360-degree view on a topic.
If every meeting participant spends the first 1/3rd of a 60-minute meeting reading, there is a huge transfer of information.
It's a forcing function to get everyone on the same page and makes the remaining 40-minutes high quality.
Whether or not one agrees with everything in a memo, focussed reading of a document provides a shared knowledge base with which to begin discussions.
Further, someone can quickly "get up to speed" by reading past memos.
Powerpoint and Excel are great at communicating data.
However, at the executive level, you are making complex decisions and leading. This requires a mastery of narrative (AKA memo writing) to persuade stakeholders.
At 20 employees, Bezos could be in every meeting. At 1k+ employees, he needed a way to “inject his lens of thinking” into the organization.
An archive of writing helps encode the thinking across the company (e.g. Annual letters)
For more on the book, check this a16z podcast:
https://t.co/Gz876YZs1b
Here's the book:
https://t.co/qTzLMrCCYw
https://t.co/TnEdX81mCo
(1/10) Lots of coverage on Netflix's culture.
— \U0001d683\U0001d69b\U0001d69e\U0001d697\U0001d690 \U0001d67f\U0001d691\U0001d68a\U0001d697 \U0001f1e8\U0001f1e6 (@TrungTPhan) September 8, 2020
The company has a cutthroat reputation and willingness to pay top dollar for superstar talent (AKA "100x engineers").
The reason why is explained in these 6 slides.
And it has to do with creativity and complexity. \U0001f447\U0001f447 pic.twitter.com/Htt5PtsLhW
More from 𝚃𝚛𝚞𝚗𝚐 𝙿𝚑𝚊𝚗 🇨🇦
The Wall Street Bets due diligence on Wendy’s is gold.
The catalysts are:
◻️ The release of a new summer salad
◻️ The @Wendys Twitter account, which has mastered “meta pragmatic roasting” (which is effective with younger people)
◻️ The fact it literally sells chicken tendies
OP:
Here’s a more fundamentals-driven analysis of Wendy’s
https://t.co/A2k19S9M7J
😂😂😂
Further Wendy’s analysis from @CliffordAsness !!
The catalysts are:
◻️ The release of a new summer salad
◻️ The @Wendys Twitter account, which has mastered “meta pragmatic roasting” (which is effective with younger people)
◻️ The fact it literally sells chicken tendies
OP:
Here’s a more fundamentals-driven analysis of Wendy’s
https://t.co/A2k19S9M7J
😂😂😂
\u201cThe name of the company is Wendy\u2019s International $WEN. It is a cutting edge high tech firm out of rural Ohio that is awaiting imminent patent approval on the next generation of summer salads that have both huge military and civilian applications.\u201d pic.twitter.com/qmk4hkKL3N
— u/1ronyman (@1ronyman1) June 8, 2021
Further Wendy’s analysis from @CliffordAsness !!
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Once upon a time there was a Raja named Uttānapāda born of Svayambhuva Manu,1st man on earth.He had 2 beautiful wives - Suniti & Suruchi & two sons were born of them Dhruva & Uttama respectively.
#talesofkrishna https://t.co/E85MTPkF9W
Now Suniti was the daughter of a tribal chief while Suruchi was the daughter of a rich king. Hence Suruchi was always favored the most by Raja while Suniti was ignored. But while Suniti was gentle & kind hearted by nature Suruchi was venomous inside.
#KrishnaLeela
The story is of a time when ideally the eldest son of the king becomes the heir to the throne. Hence the sinhasan of the Raja belonged to Dhruva.This is why Suruchi who was the 2nd wife nourished poison in her heart for Dhruva as she knew her son will never get the throne.
One day when Dhruva was just 5 years old he went on to sit on his father's lap. Suruchi, the jealous queen, got enraged and shoved him away from Raja as she never wanted Raja to shower Dhruva with his fatherly affection.
Dhruva protested questioning his step mother "why can't i sit on my own father's lap?" A furious Suruchi berated him saying "only God can allow him that privilege. Go ask him"
Once upon a time there was a Raja named Uttānapāda born of Svayambhuva Manu,1st man on earth.He had 2 beautiful wives - Suniti & Suruchi & two sons were born of them Dhruva & Uttama respectively.
#talesofkrishna https://t.co/E85MTPkF9W
Prabhu says i reside in the heart of my bhakt.
— Right Singh (@rightwingchora) December 21, 2020
Guess the event. pic.twitter.com/yFUmbfe5KL
Now Suniti was the daughter of a tribal chief while Suruchi was the daughter of a rich king. Hence Suruchi was always favored the most by Raja while Suniti was ignored. But while Suniti was gentle & kind hearted by nature Suruchi was venomous inside.
#KrishnaLeela
The story is of a time when ideally the eldest son of the king becomes the heir to the throne. Hence the sinhasan of the Raja belonged to Dhruva.This is why Suruchi who was the 2nd wife nourished poison in her heart for Dhruva as she knew her son will never get the throne.
One day when Dhruva was just 5 years old he went on to sit on his father's lap. Suruchi, the jealous queen, got enraged and shoved him away from Raja as she never wanted Raja to shower Dhruva with his fatherly affection.
Dhruva protested questioning his step mother "why can't i sit on my own father's lap?" A furious Suruchi berated him saying "only God can allow him that privilege. Go ask him"
