Can you pay up for the standard model?

It’s usually a mistake to purchase an irregular version of a product because it fits your needs and is cheaper.

The future is more variable than it seems and there’s a reason why the nonstandard model is not standard.
For example:

- “I’m going to buy this one green car because the color doesn’t bother me and I just need to get to work.” This backfires when you need to sell the car because the family needs a minivan or when you forget that you’ll be using that car to pick up dates.
- “I’m going to buy this nice house at a great price in this poor school district because I won’t have kids in the foreseeable future.”

In my own life I made this mistake when I was purchasing pallet racking. I was offered standard heavy duty beams and lightweight ones. I chose
the lightweight because our business was mostly light stuffed animals and I wanted to save money. I didn’t anticipate our business shifting towards heavier goods and I didn’t appreciate the headache ensuring that we not put heavy pallets on lightweight beams!
The resale value, for the reasons I explained, sucks.

Typically it’s not much more expensive to go for the standard mode. It probably fits your needs and it fits everyone else’s too.

Pay up for it.

/thread

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More from @Molson_Hart

23 Nov
Twitter's product management team has no courage.

Why did they develop fleets, something that has already been done instead of developing a nicer way to view twitter conversations?

All threads have to be viewed linearly, but all conversations are actually trees on twitter.
Branch 1
Branch 2
Read 6 tweets
23 Nov
This is anathema in the United States but, absent a Soviet Union like collapse in China, the US and the world at large might just be better off accepting likely Chinese ascendancy to hegemonic power.
The next cold war between China and the US is pretty scary.

China claims to not be imperialist, but I think that's bullshit. Imperialism is just what happens when you get power.

Hopefully they stop at their claims of South China Sea and Taiwan, but the way they've made their
younger population rabid nationalists does not bode well for that.

The other optimistic hopes (besides collapse of China) are that trading codependencies or mutually assured nuclear destruction will avert any major conflict.

We shall see!
Read 4 tweets
21 Nov
Inflation, what I’m seeing in my business:

1. Cost of delivering a container from Asia has gone from $3-4k to $7-8k
2. Cost of shipping to our customers has gone up about 10% (before accounting discounts caused by increased volume)
3. CNY/USD has fallen about 10% making what we buy more expensive
4. Despite running our factory suppliers nonstop since May, we cannot stay in stock. We are raising prices (after turning off advertising) to stay in stock.
There will be yearly price increases early next year and I expect them to be much higher than usual but who knows. If UPS, FedEx, and USPS had to raise prices before the holiday I imagine they’ll do so even more afterwards. They always raise more than CPI.
Read 4 tweets
23 Oct
Almost 3 years ago my family and I decided to leave our beloved Astoria Queens in NYC for a better place to live.

2 days ago we closed on a house in Austin, TX

I’ll tell you why we chose to live here as well as some reasons not to.
1. Texas has tons of economic optimism. It feels like “Texas’ time to shine” and it’s nice to be in a place like that as an entrepreneur when the rest of the USA seemingly has lost its mojo.
2. Austin is packed full of smart ambitious entrepreneurial people. It’s not just people
starting companies, too. The UPS guy is smart. The person working the cash register is smart. Everyone here is smart. I like that a lot.

3. Austin is beautiful (unlike Houston and Dallas). It’s hilly, full of trees, and has some nice bodies of water.
Read 18 tweets
3 Oct
Highly recommended.

Autobiographical life story of an ethnically Chinese Indonesian banking and real estate billionaire, written at 87.
What did I learn?

1. Let's start with the controversial. If you think Jews run business in America, boy oh boy, do you gotta see how Chinese people run Indonesia. The entire book is about how every bank, business, real estate firm, etc. are run by Chinese immigrants from Fujian
2. While he never explicitly says it, Indonesia definitely seems like a crony capitalist country. Mochtar Riady, real name Li Wenzheng (all Chinese adopt Indonesian names there), at many times had the relatives of the rulers of Indonesia as shareholders and stuff like that.
Read 19 tweets
3 Oct
I am more and more skeptical of the idea that hiring remote allows you unlimited access to talent, which you will need to solve your business problems.

Provided you're not in Wyoming or something, the talent is there. It just might need some training up.
If you're building for the long-term the best way to hire definitely seems like the Costco way.

Current CEO of Costco started as a warehouse manager.

Many of their top execs are former cashiers and floor workers.
Hire young and train them up. Then when a new opportunity appears within your business give someone you already employ the shot. They already know your business and culture and it will do wonders for company-wide morale to see someone get promoted from within.
Read 5 tweets

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