Exponential Growth
topic on 5 shows · 5 statements across 5 episodes
Acquired
the Y Combinator Startup Podcast
the Knowledge Project
Capital Allocators
20VC
5 statements about Exponential Growth, every show
Thompson: Word-of-mouth businesses face linear growth limits as referral networks exhaust
“The problem with a word of mouth business and exponential growth is people run out of people to talk to. And so that's the limiting factor.”
Grinda: Investors underestimate marketplace network effects due to linear thinking
“The network effects are so powerful that it leads to exponential growth, and humans don't really think very effectively in terms of exponential terms, and they don't realize that when you have 50% compounding year over year, it ends up to lead to very big numb…”
Fry: Exponential growth specifically means changing by fixed fractions over time
“The word exponential just gets thrown around. Like, you know, people say, oh, this project's exponentially more difficult, or, you know, exponentially more dangerous. And it's like, well, no, it's not. That's not what the word means. And it is really counterin…”
Altman: Humans lack evolutionary intuition for exponential startup growth
“Human intuitions about exponential growth are terrible. We clearly had no evolutionary need for this. We can, like, visualize linear growth very well. We can, like, you know, visualize the trajectory of an arrow very well. We, very few people that I have met, …”