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Bunting for a hit is extremely valuable. It’s a weapon. I’ve always believed that players who can consistently bunt for hits can raise their batting average by 50–100 points over the course of a season, get on base more, and score more runs. Here, I share the purpose and...

94,865 views • 5 months ago •via X (Twitter)

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Marc Andreessen: “I’m always urging founders to raise prices, raise prices, raise prices.” “We spend a lot of time working with our companies on pricing,” a16z co-founder Marc Andreessen explains. “It’s really this magical art and science that a lot of companies don’t take seriously enough.” Marc continues: “A core principle of pricing is that you don’t want to price by cost if you can avoid it. You want to price by value. Especially when you’re selling to businesses, you want to price as a percentage of the business value you’re creating.” He gives the example of building an AI that can do the job of a programmer, a lawyer, or a radiologist: “Can you price by value and get a percentage of what otherwise would’ve literally been a person? Or equivalently can you price by marginal productivity? If you can take a human doctor and make them much more productive because you give them AI, can you price as a percentage of the productivity uplift?” Marc argues that high prices are under-appreciated by founders: “The naive view on pricing is the lower the pricing, the better it is for the customer. The more sophisticated way of looking at it is that higher prices are often good for the customer because the higher price means the vendor can make the product better, faster. Companies with higher prices and higher margins can actually invest more in R&D and make the product better. Most people who buy things aren’t just looking for the cheapest price. They want something that’s going to work really well.” Marc also emphasizes this point in an interview in Elad Gil’s High Growth Handbook: “What I hear from companies is, ‘Oh, we have an awesome moat, and we’re still going to price our product cheap, because we think that’s somehow going to maximize our business.’ I’m always urging founders to raise prices, raise prices, raise prices. I’m always urging founders to raise prices, raise prices, raise prices. First of all, raising prices is a great way to flesh out whether you actually do have a moat. If you do have a moat, the customers will still buy, because they have to. The definition of a moat is the ability to charge more. And so number one, it’s just a good way to flesh out that topic and really expose it to sunlight. And then number two, companies that charge more can better fund both their distribution efforts and their ongoing R&D efforts. Charging more is a key lever to be able to grow. And the companies that charge more therefore tend to grow faster. That’s counterintuitive to a lot of engineers. A lot of engineers think there’s a one-dimensional relationship between price and value. They have this mental model of commerce like they’re selling rice or something. It’s like, “My product is magical and nobody can replicate it, and I need to price it like it’s a commodity.” No, you don’t. In fact, quite the opposite. If you price it high, then you can fund a much more expensive sales and marketing effort, which means you’re much more likely to win the market, which means you’re much more likely to be able afford to do all the R&D and acquisitions you’re going to want to do. And so we always try to snap people into a two-dimensional mindset, where higher prices equals faster growth.” Video source: a16z (2026)

Startup Archive

423,269 views • 9 months ago

I want to put a worthy project before you and explain why I’m backing it, and why I may eventually have some personal involvement in it. “Deceived: The Ruin of the Modern Woman: A Christian Exploration and Confrontation of Feminism.” Here’s the Kickstarter: There is a longer trailer on the Kickstarter, but I've also attached the shorter conceptual trailer. First, the project itself: it’s a documentary by a Christian director examining the history and consequences of feminism and offering a biblical alternative. Second, here’s why I’m backing it. I’ve known Les Lanphere, the director, for a while, and I know him to be both a talented filmmaker and a principled Christian man. I trust him to tackle this subject biblically and with intensity, but without unnecessary harshness or shock-jockery. I also believe this is one of the defining issues of our day, and it’s one I’ve worked hard to address for most of my adult life. Feminism has obviously affected men and society as a whole, but now that I’m the father of three daughters and have a daughter-in-law, I’ve become even more concerned about what it has robbed women of: the beauty of their unique, God-given design and purpose in His world. So, for me, this is a trustworthy creator tackling a crucial subject in which I’m personally invested. I’m not yet sure to what extent I’ll eventually be involved in the documentary itself, but I backed the project for $300 today, and I’ll probably increase that once I’ve had a little more time to consider it. In the meantime, I want to challenge 50 of you to back the project for at least $5 each. That may not sound like much, but it helps. And the more people who get behind the project and follow its progress, the more attention it can gain. Even if you can only give a few dollars, you can play a real part by backing it, following it, and helping get the word out.

Michael Foster

157,629 views • 1 month ago

Vinod Khosla on the right way to execute a business plan Vinod Khosla, who founded Sun Microsystems and Khosla Ventures, likes to say: “Be obstinate about your vision, but be really flexible about your tactics.” He explains what he means by this: “It’s important to have a vision of where you’re trying to go, but how you get there is a series of experiments… What entrepreneurs do is effectual reasoning. They have a big vision, but they don’t try and get there in one leap… You take a step in the right direction so you can garner more resources and then try the next experiment… You try and garner resources for the next step, every step — not do the whole thing in one step.” This, Vinod believes, is one of the reasons raising too much money can lead founders astray: “People who raise too much money get too much confidence in their own plan, which is normally BS. The right way to do a business plan is flex-planning: have a vision, but plan the next 3-6 months to test every assumption you have. A business plan is about testing every assumption. Even if you’re sure it’s true, test it if you can in the marketplace by running an experiment.” He gives another analogy for the point he’s trying to make: “You want to shoot for Mount Everest, but nobody ever got to Mount Everest without getting to base camp first. You build a base camp of a stable place where you’ve learned a lot and where you can tread water for a while… Maybe you get to cash flow breakeven at base camp. But you want to set up base camp where it helps you scope out the path to Mount Everest.” Video source: Startup Grind (2015)

Startup Archive

13,930 views • 9 months ago