This week’s book summary is The Four by Scott Galloway.
Although I may not completely agree with Galloway’s perspective in this book, he provides a combination of solid research and cynical humor to paint a picture of how a few companies are reinventing the world as we know it. His detailed study of Amazon, Apple, Facebook, and Google show how these massive companies were formed, the market spaces they created, and the incredible societal and business impacts they have made and are making.
My takeaway from this book is Galloway’s “T Algorithm” which is his definition of the factors needed for a business to rise up and compete against The Four. The eight factors are:
Microsoft, Amazon, Apple and Facebook get much of their value through the use of Multisided Platforms (MSPs).
MIT Sloan define a multisided platform as “technologies, products or services that create value primarily by enabling direct interactions between two or more customer or participant groups.” For example:
- Apple connects app developers with iPhone users who have a need for the functionality that the app provides.
- LinkedIn connects professionals, recruiters, and advertisers.
- Microsoft uses Windows to connect users, third party app developers, and third party hardware manufacturers
- Amazon and Alibaba connect sellers of products with a vast set of users that want to buy products.
- AirBnB connects building owners with people needing to rent space.
- Uber and Lyft connect drivers and passengers.
- American Express, Visa, Paypal, and Square connect merchants to consumers.
MSPs are a very valuable and viable business model that creates value by reducing search or transaction costs for all participants.
Is your business leaving money on the table by not leveraging an MSP approach? Or, worse yet, are you leaving your business vulnerable to competition who have determined a unique MSP offering that threatens your existence?
What can you do to leverage the MSP strategy and how can you implement it in your business?
I have had quite a few people ask me what iPad apps I use for business and personal purposes. I am always trying out apps that are useful and boost my productivity. The following are currently my favorite iPad apps.
- Microsoft OneNote 2013 (1PC/1User) [Download] – this is perhaps the best and most powerful productivity app that I use. OneNote started off as a PC based program that Microsoft sold that allowed the user to take notes and organize them in any way they desired. This includes graphics, pictures, sound bytes, emails, webpages, screen captures, etc.) The goal of OneNote is to replace your handwritten notebooks. It was turned into an app a number of years ago and I have the app installed on my iPad and my iPhone. The data is synched through the cloud so each device is always up to date. I have not used a paper based notebook since I installed the OneNote program on my laptop back in about 2005. OneNote allows you to take and file all your notes electronically so you can search on keywords and find all the notes you ever took on that subject. Comparing paper based notebooks to OneNote is like comparing a rubber raft to a nuclear powered aircraft carrier! Watch for a future post on how I organize my OneNote.