6 ms·

I think it's important to look at costs as investments in the business. And if that investment will not yield a good return, why make it? Buffett famously did

by jakarta 17y ago

I think it's important to look at costs as investments in the business. And if that investment will not yield a good return, why make it? Buffett famously did this over at Berkshire, where he realized that there would be no future for domestic textile mills. He took the cash flow the company was throwing off and invested it in other companies. So I think that Godin makes a huge overgeneralization, especially when he mentions newspapers. The economics of that business have drastically changed and allocating capital to keep things the way they are is probably a recipe for failure. They'd be better off using the newspaper's cash flow by cutting current costs and allocating that cash elsewhere (new lines of business)

mrbgty 17y ago
"I think it's important to look at costs as investments in the business. And if that investment will not yield a good return, why make it?" Can't agree more. This was my point. Look at those costs as investments and not just something you can get rid of to save money. More than likely, it's there for a reason, so please evaluate this expense as something that is likely producing revenue in some form or another. In other words, you should expect your revenue to fall if you're getting rid of some expense unless you are able to successfully reinvest that expense into something with a higher return.
brk 17y ago
So I think that Godin makes a huge overgeneralization You have basically just summed up Seth's entire blogging history.
- rjurney 17y ago
  Its actually impossible to make a good point on the internet without giving someone, somewhere the ability to call it an over generalization. It turns out though, that pointing out exceptions to generalizations is the lamest comment one can make on the internet, because of course, any statement to a wide audience will have exceptions that someone, somewhere on the internet can point out. Pointing out over generalizations is like pointing out spelling errors, albeit less constructive. You can't get any traffic to your blog if you don't make generalizations, because you won't appeal to a broad, general audience. Of course, thats all just a generalization ;)
  - qu1j0t3 17y ago
    Try irc. :)
  - brk 17y ago
    Its actually impossible to make a good point on the internet without giving someone, somewhere the ability to call it an over generalization. No, it's really not. The Internet gives you the ability to publish as much data and detail as you choose. It allows you to target a selected audience and provide information and discussion topics that relate to a specific audience that would not have been cost effective to reach in the past. However, if you're more trying to promote yourself or your own "brand" vs. trying to provide actionable valuable data, then yes, you must generalize heavily.
    - rjurney 17y ago
      Every writer wants to reach more than 5 people in the tiniest sub-segment of any given topic of interest, which is about where you're at if you write generalization-free. Which is to say that what you wrote is a terrible generalization! Its not always true - its only true for writers that are writing for groups of people numbering less than five.
      - qu1j0t3 17y ago
        My own writing has adapted to this. I now ONLY make brief generalisations, because I've learned that argument or reasoning or evidence is a waste of effort. People either already agree with you, or as far as they're concerned, you're wrong and always will be wrong. And furthermore you're a fat stupid troll and so is your momma.
  - kragen 17y ago
    The question isn't whether someone has the ability to call his point an overgeneralization (i.e. wrong, misleading, actively harmful, worse than useless); the question is whether it actually is or not. When faced with overgeneralizations, the most useful thing you can possibly do is to point out examples where those generalizations don't hold: - It helps you by preventing you from accepting the false statement — you learn where it's true and where it's false. - It helps other readers by preventing them from accepting the false statement, and in blatant cases, pointing out that the person who's writing is just trying to get traffic to their blog rather than writing something of value. - It helps more careful writers by diminishing the reputations of the ones who are just bullshitting, which counters the audience-getting effect of boldly stating bullshit to some extent. It's probably true that you can get traffic to your blog by making bold generalizations without any concern for whether they are true or not. The question is, what can we do to fix that, so as to reduce the temptation to jettison intellectual honesty in the quest for attention?
Lol_Lolovici 17y ago
I don't how you read the article and understood that he recommends to "keep things the way they are" as you say. Godin stated the exact thing that you say: "Instead of squandering it in a long, slow, death spiral, do something else. Buy a new platform. Move...." What I understand Godin says is that if you cut costs you shouldn't do that just to keep the company afloat but to invest the money you "saved" in something new.

by jakarta 17y ago

mrbgty 17y ago

"I think it's important to look at costs as investments in the business. And if that investment will not yield a good return, why make it?" Can't agree more. This was my point. Look at those costs as investments and not just something you can get rid of to save money. More than likely, it's there for a reason, so please evaluate this expense as something that is likely producing revenue in some form or another. In other words, you should expect your revenue to fall if you're getting rid of some expense unless you are able to successfully reinvest that expense into something with a higher return.

brk 17y ago

So I think that Godin makes a huge overgeneralization You have basically just summed up Seth's entire blogging history.

rjurney 17y ago
Its actually impossible to make a good point on the internet without giving someone, somewhere the ability to call it an over generalization. It turns out though, that pointing out exceptions to generalizations is the lamest comment one can make on the internet, because of course, any statement to a wide audience will have exceptions that someone, somewhere on the internet can point out. Pointing out over generalizations is like pointing out spelling errors, albeit less constructive. You can't get any traffic to your blog if you don't make generalizations, because you won't appeal to a broad, general audience. Of course, thats all just a generalization ;)
- qu1j0t3 17y ago
  Try irc. :)
- brk 17y ago
  Its actually impossible to make a good point on the internet without giving someone, somewhere the ability to call it an over generalization. No, it's really not. The Internet gives you the ability to publish as much data and detail as you choose. It allows you to target a selected audience and provide information and discussion topics that relate to a specific audience that would not have been cost effective to reach in the past. However, if you're more trying to promote yourself or your own "brand" vs. trying to provide actionable valuable data, then yes, you must generalize heavily.
  - rjurney 17y ago
    Every writer wants to reach more than 5 people in the tiniest sub-segment of any given topic of interest, which is about where you're at if you write generalization-free. Which is to say that what you wrote is a terrible generalization! Its not always true - its only true for writers that are writing for groups of people numbering less than five.
    - qu1j0t3 17y ago
      My own writing has adapted to this. I now ONLY make brief generalisations, because I've learned that argument or reasoning or evidence is a waste of effort. People either already agree with you, or as far as they're concerned, you're wrong and always will be wrong. And furthermore you're a fat stupid troll and so is your momma.
- kragen 17y ago
  The question isn't whether someone has the ability to call his point an overgeneralization (i.e. wrong, misleading, actively harmful, worse than useless); the question is whether it actually is or not. When faced with overgeneralizations, the most useful thing you can possibly do is to point out examples where those generalizations don't hold: - It helps you by preventing you from accepting the false statement — you learn where it's true and where it's false. - It helps other readers by preventing them from accepting the false statement, and in blatant cases, pointing out that the person who's writing is just trying to get traffic to their blog rather than writing something of value. - It helps more careful writers by diminishing the reputations of the ones who are just bullshitting, which counters the audience-getting effect of boldly stating bullshit to some extent. It's probably true that you can get traffic to your blog by making bold generalizations without any concern for whether they are true or not. The question is, what can we do to fix that, so as to reduce the temptation to jettison intellectual honesty in the quest for attention?

Lol_Lolovici 17y ago

I don't how you read the article and understood that he recommends to "keep things the way they are" as you say. Godin stated the exact thing that you say: "Instead of squandering it in a long, slow, death spiral, do something else. Buy a new platform. Move...." What I understand Godin says is that if you cut costs you shouldn't do that just to keep the company afloat but to invest the money you "saved" in something new.