Arthur Hanson
Well-known member
Just like compound interest, knowledge can compound with the right management teams and the right people. Fall behind in either area, and a company as a whole will fall behind. Both success and failure can compound in both directions, up and down. Imbuing this is a company culture is critical to long term success as we have seen in companies from TSM, Toyota, Nvidia and Costco. All in different fields, but compounding is the most powerful force in almost any area or endeavor. Mastering compounding in finance, culture and actions is the most critical element is success or just about any endeavor. Compounding can work in both directions as many companies have shown with TSM and Intel being examples of compounding moving in both directions. Andrew Grove and Morris Chang both understood this and applied it. Sadly, Intel didn't have a successor groomed with this ethos. Nvidia has applied this and has a rise unmatched in tech history. Compounding is the greatest force there is in just about everything and learning to use and apply it should be the first skills taught early both in families and companies, for it is the fastest path to success, both financially and in relationships. I wish I learned the later earlier.