A BOOK REVIEW ON “ZERO TO ONE” BY PETER THIEL

 

Top lessons from the book:


* Innovation requires looking at the present unconventionally and creating your own future.
The sign of a truly innovative product is the monopoly that evolves as a result.


* Don’t reinvent the wheel.

* Your start-up will only be as successful as the quality of people and the culture within it

* Marketing is just as important as the product themselves

*Building something that lasts

Peter describes a company that brings in large cash in their future as sharing the following features:

-Proprietary technology

-Network effects

-Economies of scale
Branding

To achieve growth and create a monopoly:


-Start small and monopolize

-Scale up

-Don’t disrupt


Factors to consider in building monopoly


-Discovering a secret

-Expanding your market

-Disrupting

-Being a last mover

-Understanding the power law

Three decisions for effective alignment


-Ownership: Who will own the company’s equity


-Possession: Who will run the company day-to-day.


-Control: Who will govern the company


Checklist for success
If you have a solid answer for each, then you will have a great business:


-Engineering: is your technology a significant advance or only incremental improvement?

-Timing: is this the right time to sell this technology?


-Monopoly: Are you targeting a big share of a small market?


-People: Do you have the right people on your team?


-Distribution: Do you have a plan to sell your product?


-Durability: Will you dominate your market in the next 10 to 20 years?


-Secret: Have you identified a unique opportunity overlooked by everyone else?