Reffkin: Traditional brokerages pocketed profits instead of investing in R&D
Robert Reffkin · Robert Reffkin: Compass · Jul 26, 2021 · at 1:02:44
Robert Reffkin, co-founder and CEO of Compass, contrasts traditional real estate brokerage models with tech industry reinvestment practices.
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“This has been a model for over a hundred years where brokerage firms had taken the profits from the agents, split it between the manager, the manager's manager, and the owner, and on balance that owner put in their pocket and then they went on vacation. But what they didn't do is what Apple did. What Microsoft did, what Google did, they didn't invest it back in research and development to create a better company for their customer.”
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