The 7 Powers Of Business

I'll give you guys a little, a little fun book that you can read. There's a book called seven powers, and it's from this guy, Hamilton Helmer. And the whole book is this concept of these seven powers, these seven strategies. Okay? These these motes that you can have. One is branding. Two is process power. Okay. Three is switching costs, and I'm gonna explain each of these. Four is scale economies. Five is corner resources. And six, network economies. Seven is counter positioning. So I'm gonna start from the bottom. So counter positioning might be, like a performance based, pricing versus retainer. So that's that's different than most agencies as an example. Okay? Network effects would be like a meta, for example. The more people that use the network, the more valuable it becomes, like a Facebook or Instagram, for example, or even a YouTube. Okay? So I would corner resources would be an example of, let's say, you you own, like, a a copper mine or you own all the chips. Like, for example, I think, 97% of the, like, making these really small chips are actually you can only do that in Taiwan, for example, like these nanometer based chips or whatever. And then switching costs, agencies so we can talk about this for a second. But switching costs, when when you have when you do a lot of things like, like, in an agency and they sign a long term contract with you and you're just kinda locked it, it's okay if you do everything at, like, a b. You don't have to do everything at a a plus. Right? You do everything at a b. Ideally, you're doing everything at a a, but it it's hard. And then you have process power like a Toyota, for example. They were everyone every car manufacturer tried to look at Toyota back in the day. Like, how do they do it? How do they pro how are they so efficient? Right? I would say Tesla kinda has that with their cars. Like, that's the thing that Elon's actually most proud of, the manufacturing piece. And then finally, you have branding like a Coca Cola. Right? Now when we look at agencies, where what do we have? We might have branding. Okay. You might have, like, with WPP or an Omnicom. There might be branding, but I think that's kinda slowly eroding. Not yet, but it's slowly over time. I think there's there might be process power, but I think they're switching costs for sure, which is why they can hang on to these deals for a long time, or potentially counter positioning, but that's pretty rare in agency world, like a like a center field, for example. What do you think about this? No. I I I'm I'm with you, but it's it's hard to create that. Yeah. It is. Very hard. Really hard. That's the hardest part about it. Yep. Yep. But, you know, sometimes the hard …