November 2012 Summaries

The text discusses the role of advertising in building a business, highlighting its limitations and potential pitfalls. It emphasizes that advertising alone cannot guarantee success, as it often relies on self-affecting systems and high-volume channels that are competitive and expensive. The article also explores five reasons why companies advertise their products, including familiarizing users with the product, reminding them of its value, spreading news about the company, overcoming inertia, and adding a unique value proposition. It provides examples of effective advertising strategies, such as introducing a product through trusted networks like The Deck or Fusion Ads, re-targetting to keep products fresh in people's minds, and generating interesting and beneficial company news that resonates with the public. Ultimately, the article concludes that advertising should be viewed as an advertising budget of its own, where every piece of news is spent wisely to attract and retain customers.

This article focuses on the importance of asking questions rather than giving advice to new software companies. The author emphasizes that advising companies can be challenging due to their volatility and unpredictability, and the need for a viable, feasible, and desirable idea. To execute an idea, a company needs talent, creativity, and technology in all three areas. The author also highlights the significance of business models, pricing, customer experience, and technology in start-ups. Key questions include "Is this viable, feasible, and desirable?", "Can you execute on this idea?", "Where will you make a profit?", "How can you increase it?", and "What's in the moat?". The author stresses that asking good questions helps create new ideas for companies to consider and new places for answers to fit.