Experience Curve, Context and American Millionaires
I remembered the expression “If you were not a millionaire before the age of 40, you won’t be a billionaire”. I used to think: 1. this is another rule in the style of Donald Trump (which are generally correct, but useful only when you yourself got to them, but then why do you need Trump?), 2. this is the headline of an exciting, but useless article about how scientists have analyzed the American rich over the past 1000 years and came to this conclusion. In fact, this phrase is indeed true and a certain wisdom can be extracted from it.
As often happens, a stupid expression makes sense when the entire context opens. Recently I read the post of Grigory Gromov, where he writes that the average American millionaire entrepreneur is a man of 56 years who has “burned” three times before in business. That is - he lost everything three times and fell to the very bottom in terms of property of society. He went after that to work for hire, saved up money, again opened his own business and after three or four years lost everything again. Again I spent all my life forces and means even after that for many years, in order to lose everything in the end. And so on up to that very one - as a rule, not earlier than the third or fourth time, when it is another enterprise in a long before that series of failures - finally worked (due to a combination of circumstances: market conditions, life experience accumulated and much more) and finally already then only he began, closer to the age of 60, to reap the harvest of success.
The expression acquires a new meaning: “If by the age of 40 you have not gained experience to create a business worth $ 1 million, you are unlikely to reach the top of the business.” Instead of the image of a bourgeois snicker, who has already decided for everyone, a completely reasonable idea opens up before us, but this is not the point.
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There is a concept according to which the structure of the industry directly depends on the experience curve. Its proponents believe that in many industries, the costs per unit of production are reduced as a particular company gains experience and the total volume of output is growing. Like any concept, it reflects only a part of reality, but it has practical benefits. This change in the worldview of c "in order to be good, you need to work a lot" to "in order to be good, you need to have experience, insider information on a specific business . " Self-development and work efficiency are undoubtedly very important topics, but if you really want success this is not enough.
As often happens, a stupid expression makes sense when the entire context opens. Recently I read the post of Grigory Gromov, where he writes that the average American millionaire entrepreneur is a man of 56 years who has “burned” three times before in business. That is - he lost everything three times and fell to the very bottom in terms of property of society. He went after that to work for hire, saved up money, again opened his own business and after three or four years lost everything again. Again I spent all my life forces and means even after that for many years, in order to lose everything in the end. And so on up to that very one - as a rule, not earlier than the third or fourth time, when it is another enterprise in a long before that series of failures - finally worked (due to a combination of circumstances: market conditions, life experience accumulated and much more) and finally already then only he began, closer to the age of 60, to reap the harvest of success.
The expression acquires a new meaning: “If by the age of 40 you have not gained experience to create a business worth $ 1 million, you are unlikely to reach the top of the business.” Instead of the image of a bourgeois snicker, who has already decided for everyone, a completely reasonable idea opens up before us, but this is not the point.
')
There is a concept according to which the structure of the industry directly depends on the experience curve. Its proponents believe that in many industries, the costs per unit of production are reduced as a particular company gains experience and the total volume of output is growing. Like any concept, it reflects only a part of reality, but it has practical benefits. This change in the worldview of c "in order to be good, you need to work a lot" to "in order to be good, you need to have experience, insider information on a specific business . " Self-development and work efficiency are undoubtedly very important topics, but if you really want success this is not enough.
Source: https://habr.com/ru/post/24924/
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