In this episode, the host of "The Game" podcast reflects on his journey of building acquisition.com and shares valuable thinking frameworks for entrepreneurs. He discusses the importance of distinguishing between dichotomies to be managed, such as the balance between delegation and micromanagement, and actual problems to be solved. The host emphasizes the necessity of asking the right questions to accurately identify issues, using examples like the inherent conflict between fairness and equality in tax codes, and the mistake of binary thinking in situations that are actually continuums, such as diet adherence. By adopting these mental models, he aims to help entrepreneurs avoid "mental hamster wheels" and make more precise decisions to effectively grow their businesses.
"That's fair. This is equal. Both are ideals, and yet somehow they're not the same thing, and yet both are right."
The quote suggests that fairness and equality, while both positive goals, are not synonymous and can lead to conflicts when trying to achieve both simultaneously.
"It's the same thing between justice and mercy. Both of them are ideals, both of them are right, and yet somehow they're conflicting."
This quote draws a parallel between the concepts of justice and mercy, emphasizing their individual righteousness but inherent conflict when applied together.
"The wealthiest people in the world see business as a game. This podcast, the game, is my attempt at documenting the lessons I've learn on my way to building acquisition.com into a billion dollar portfolio."
The quote conveys the speaker's perspective on business as a strategic endeavor and introduces the podcast as a medium to share valuable experiences and insights.
"When I was in the beginning of my entrepreneurial career, I would read a book on delegation, right? And as soon as I read the book, I was like, okay, this is how you delegate."
This quote introduces the speaker's initial approach to delegation, influenced by their reading and the subsequent actions they took with their team.
"And then I read a bunch of books on management, et cetera, and then I dive super far in and start micromanaging everyone, trying to control everything."
The quote illustrates the speaker's overcorrection from delegation to micromanagement, revealing the negative impact it had on their team's autonomy and efficiency.
"And so I say that to illustrate one of the thinking frameworks that has served me well. And I'm actually really excited to talk about this because when I talk to people, I think a lot of people think that. I'm told that sometimes I communicate some ideas well."
This quote sets the stage for discussing thinking frameworks that have been beneficial to the speaker and indicates their enthusiasm about sharing these methods with others.
"And so what's interesting about this is that there are a lot of different things that come up in the business world where I will see people conflate or mistake what thing they are solving, right? And most times when I'm talking to a newer entrepreneur or someone who's trying to solve a problem, they're actually not trying to solve a problem, they're trying to manage a dichotomy."
The quote emphasizes the importance of recognizing when a situation requires managing a balance between two extremes rather than seeking a definitive solution, using the example of management versus delegation.
"what problem are we solving? It usually gets them to stop, right?"
This quote emphasizes the importance of pausing to clearly define the problem that needs to be addressed, which can help focus the conversation and lead to better problem-solving.
"Is this something that we believe that we can reasonably eliminate? Is this something that is catastrophic to the business, or is this something that we can kind of try and improve over time through systems and process, right?"
This quote highlights the need to assess the severity and solvability of a problem, and to determine whether it's an existential threat or something that can be incrementally improved.
"most people think in terms of like, I have a problem to solve, rather than a dichotomy to be managed"
The speaker suggests that many people approach problems with a one-dimensional mindset of solving them, without recognizing that some issues are ongoing dichotomies that require continuous management.
"The reason we will probably never have people who are all happy about a tax code is because you cannot have both fairness and equality."
Using the tax code as an example, the speaker illustrates a dichotomy where two equally valid ideals cannot be fully achieved simultaneously, demonstrating that some problems are inherently unsolvable and must be managed.
"It's like, oh, you guys are spending all this effort trying to solve a problem that is unsolvable. This is a dichotomy that must be managed and will never be eliminated."
This quote reinforces the concept that some problems are perpetual dichotomies that cannot be eliminated but must be managed, and the futility of trying to solve what is inherently unsolvable.
"if I can help you get out of these little mental hamster wheels"
The speaker's goal is to help listeners break free from the unproductive cycle of trying to solve unsolvable problems and instead focus on recognizing and managing dichotomies effectively.
"That's the dichotomy. That's, like, one of the things that people will mistake. They'll mistake a dichotomy for a problem that needs to be solved."
This quote emphasizes the common misunderstanding surrounding dichotomies, where they are wrongly perceived as problems rather than just contrasting elements.
"Hey, mozanation, quick break. Just to let you know that we've been starting to post on LinkedIn and want to connect with you. [...] There's anyone you think that we should be connected with, tag them in one of my or Layla's posts, and I will give you all the love in the world."
The quote is a call to action for listeners to connect with the host on LinkedIn, fostering a community and expanding their professional network.
"Another framework that I find immensely valuable is the concept of a continuum versus a binary. [...] And so that is one of the biggest mistakes that I see all the time in thinking in entrepreneurs and really in anything in general, because we like to have that shorthand."
The quote introduces the concept of continuum versus binary thinking and highlights the common mistake of oversimplifying complex situations into binary choices.
"It's easier to say I fell off my diet or I am diabetic, when the reality is it's not whether you are diabetic, it's how diabetic are you?"
This quote explains that conditions like diabetes exist on a spectrum, and it's more accurate to consider the degree of the condition rather than a binary state.
"So if we have a binary where people are saying yes or no, which is, let's say Facebook doesn't work, marketing doesn't work. [...] It is not that it doesn't work. It is just, we only got it to work this percent right now."
The quote challenges the binary perspective of marketing strategies either working or not, advocating for a nuanced understanding of the degree to which a strategy may be effective.
The first mental lapse I'll say that I see all the time, is mistaking a dichotomy that needs to be managed for a problem that needs to be solved.
The quote highlights the common mistake of treating a dichotomy as a simple problem to be solved, when it should be managed over time.
The second framework between two things that I see as a problem that most people make is that they use a psychological binary to make a judgment and say, yes, this works. No, this doesn't work, or, yes, this is this way, or, no, this, not this way, so that I can apply this arbitrary label that was made up when instead it is to what extent, right, it is a continuum.
The quote explains the flaw in black-and-white thinking and emphasizes the importance of recognizing the extent or degree of an issue rather than labeling it as simply good or bad.
If we can be precise with our language, we can be precise with our thinking. If we can ask the right questions, we will get the right answers.
This quote emphasizes the connection between the precision of language and the clarity of thought, suggesting that better questions will lead to better outcomes.
These are the things that Charlie Munger talks about having a Latice work of mental models, and he checks through decisions with mental models.
The quote introduces the idea of using a system of mental models as a tool for better decision-making, as advocated by Charlie Munger.