Schlep Blindness Framework
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A concept from Paul Graham about how people overlook major problems and opportunities because they seem too difficult or mundane to tackle.
Core Concept of Schlep Blindness
- People are psychologically blind to the biggest problems in the world
- These problems often appear too difficult or tedious to solve
- The tendency to ignore these problems creates opportunity for entrepreneurs
Paul Graham's Investment Philosophy
- Focuses solely on maximum potential outcomes
- Ignores all possible negative outcomes
- Evaluates companies based on their potential impact if everything works
- This approach works well for seed investing
- Must somewhat "delude yourself" to maintain this mindset since most startups fail
How This Applies to Flexport
- Paul Graham saw the massive potential in logistics/freight
- Recognized the industry size and importance created huge opportunity
- Helped sell this vision to:
- Other investors
- Potential employees
- Press and media
- Engineering talent
Value of Early Believers
- Early supporters provide "conviction loans" to entrepreneurs
- They believe in founders more than founders believe in themselves
- This conviction helps entrepreneurs push through difficult periods
- Successful entrepreneurs can then pay it forward by providing similar support to others
Framework for Evaluating Companies
- Must create wins for 6 key stakeholders:
- Customers
- Vendors
- Employees
- Investors
- Regulators
- Communities
- Companies should aim for high scores across all stakeholders
- Poor performance with any stakeholder creates long-term risk
- Sustainable success requires maintaining positive relationships with all groups
04:56 - 05:08
Full video: 57:34SP
Shaan Puri
Host of MFM
Shaan Puri is the Chairman and Co-Founder of The Milk Road. He previously worked at Twitch as a Senior Director of Product, Mobile Gaming, and Emerging Markets. He also attended Duke University.