RAW TRANSCRIPT: (Speaking about Peter Thiel, PayPal/Venture capitalist)

FLETCHER: It was the second part of his answer that was interesting. It gave an insight into how this guy thinks. So he goes on to say, “A second answer that comes to me on the business side that I think is quite contrary and worst, most people believe that capitalism and competition are synonyms, I think they’re antonyms. A capitalist is someone who is in business of accumulating capital. In a world of perfect competition, all the capital is competed away.”

For example, he talks about the restaurant industry in San Francisco and he’s saying that this is an incredibly competitive but not a very capitalistic environment, because nobody ever makes any money at it, whereas Google and a very capitalistic company which has made enormous profits for the last dozen years but has no real competition, ever since it’s definitively distant itself from Yahoo and Microsoft around 2002.

What are you saying here is that he hates competition. He likes capitalism but he hates competition. He doesn’t want to invest in a company that has competition because there are too many players all competing for the same piece of the pie, and I started thinking about Steve Jobs. This is a guy who hates competition, iPod, iPad, iPhone, all products that were first of their kind.

If you think about Bill Gates hates competition. So you remember this, year 2001, Supreme Court versus Microsoft Court for having created a monopoly. Now here was the interesting thing, every time the judge said “monopoly”, Bill Gates he got this little sparkle in his eyes like “F*** you. I did that.”

He took this great pride and just cutting the knees off of his competitors, building the biggest company to eliminate all competition. If you think about Wal-Mart, they’re the exact same way. They move in to a new town and everybody fears them, because of course they eliminate the competition. Jeff Bezoz, same thing, he’s destroying virtually every competitor within the retail space, both publishers gone.

The one thing that I took away from Peter Thiel in this answer is that either A, enter into a category where you are the individual loan product in that category and or B, have a strategy, do bankrupt and or cut your competitors off their knees so that you can acquire them to eliminate competition. This is fascinating to me.

Now the bigger question becomes, ‘Is how many real estate agents approach their business with the same ideology?’ How many agents are out there saying “Ah, I’m just going to do a little bit better than George. I’m going out to compete him for that listing.” Not…. how can I cut him off at the knees and totally discredit and disprove him like a Bill Gates might, like a Jeff Bezos might. Not how can I win hands down, but “Huh, how can I be just a little bit better?”

LINKS AND RESOURCES FROM THIS POST:

THANKS FOR LISTENING!

Thanks again for listening to the show! If it has helped you in any way, please share it using the social media buttons you see on the page.

t-shirt_design_AMSAdditionally, reviews for the podcast on iTunes are extremely helpful and greatly appreciated! They do matter in the rankings of the show and I read each one. Every one. You could even win a FREE Agent Marketing Syndicate® T-Shirt. Just head over to iTunes, leave us a review. Then send me an email with your review, attached. Every 5th review is placed into a drawing to win. That’s a 20% chance of winning, about 7.9 millions times better than winning the lottery.  

And lastly, if you have any questions (or would like your comment or feedback to be aired on the podcast), head on over to AskFletcher.com – to record and send your message to Ryan!

Don’t forget to subscribe to the show on iTunes to get automatic updates.

Thanks again for the conversation. I look forward to our next, on the next episode of the Agent Marketing Syndicate® Podcast! 

Talk soon… Speak up! 🙂