Episode #536: Crossing the Threshold — A New Chapter Begins

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Ron and Ed unveil their bold new venture—THRESHOLD. In this episode, they share the vision behind the company, why it matters now, and how it aims to challenge the status quo in advisory and consulting. THRESHOLD is more than a brand—it’s a mindset shift for professionals ready to think beyond billable hours and transactional models. If you’re looking for transformation, not just iteration, this is your call to cross the threshold with us.

SHOW NOTES

Segment one

• The root of the transformation for Ron and Ed started with a book published in 1999. “The Experience Economy: Work Is Theater & Every Business a Stage” by Joe Pine and James Gilmore https://www.amazon.com/Experience-Economy-Theater-Every-Business/dp/0875848192 

• The progression of economic value, as articulated by Pine and Gilmore, outlines how value is created over time, moving from commodities to goods, services, and finally to experiences and transformations. More here: https://worldxo.org/progressioneconomicvalue/ 

• Regarding the progression of economic value: “Recall the Progression of Economic Value given in Chapter 1 and how each higher level of offering is built atop the one below it. Or, to say it differently, each successive offering subsumes the ones below it.” From Joe Pine’s substack at https://transformationsbook.substack.com/p/levels-of-experiences-part-one 

• This is the graph of the progression of economic value referenced by Ron and Ed today on the show (credit to https://worldxo.org/progressioneconomicvalue/)

Segment two

• In the context of the conversation today, initially people moved to goods and services to experiences (think Disneyworld and concerts). Experiences are different because customers pay the business money to spend time with the business. Paying to get into the Disney park, for example.

• An experience can also be something that is not delivered at a particular spot. Virtual reality, home services, and so, are all great examples. The third edition of The Experience Economy lays out different types of experiences that are all memorable to the individual. https://www.amazon.com/Experience-Economy-New-Preface-Authors/dp/1633697975/ 

• For a transformation to be successful it has to be aspirational in the customer’s mind. The customer is the product (not in a bad way). They are the ones changing so they need to ASPIRE to be the end result of the transformation. 

• Joe Pine is now working on a new book called “The Transformation Economy”. As a part of the book, he has published his journey on substack and you can find it here: https://transformationsbook.substack.com/ 

Segment three

• Ron and Ed referenced this previous show today: Episode #518: Trends in the Transformation Economy with Christophe Jauquet https://www.thesoulofenterprise.com/518 

• Ron reference Eataly earlier on the show. You can buy commodities there like pasta and olive oil. You can buy good there as well. In the services space, they have a cafe and restaurants. Now how does Eataly provide a transformation? They have cooking classes. https://www.eataly.com 

• In one of his white papers, Joe Pine, co-author of the Experience Economy book, discussed how time is the key distinction between services and experiences in the Progression of Economic Value. Joe says, "Services are about time well saved while experiences are about time well spent. https://whitehutchinson.com/news/lenews/2022/december/article110.shtml 

Segment four

• Summarized from Joe Pine: When you really look at customer aspirations, those aspirations revolve around being healthy, wealthy, and wiser. What customers really want is health and well being, wisdom and understanding, wealth and prosperity, purpose and meaning.

• These (see above) are universal aspirations. The great part about customers’ desire to be healthier, wealthier, and wiser is that you do not need to gin up demand! Who doesn’t want this?

• Thank you for joining us today. There is a complimentary level available for Threshold. It is the Foundation membership available at this link: https://thresholdnow.com/join 

Bonus Content is Available As Well

Did you know that each week after our live show, Ron and Ed take to the microphone for a bonus show? Typically, this bonus show is an extension of the live show topic (sometimes even with the same guest) and a few other pieces of news, current events, or things that have caught our attention.

Click the “FANATIC” image to learn more about pricing and member benefits. 

Episode #535: Juche for Dummies — Why Self-Sufficiency Sucks

NEW SHOW FEATURE: We are now LIVE streaming our shows. Want to join us live? Just click this link every Friday at 3pm ET / 12pm PT.

Ron and Ed break down the latest tariff policies of President Donald Trump, offering a free market critique of its implications. They explore how tariffs function as hidden taxes on consumers, challenge the idea of using protectionism as economic strategy, and examine the historical consequences of similar policies.

SHOW NOTES

Segment one

• Literally "subject idea" Juche incorporates the historical materialist ideas of Marxism–Leninism but also strongly emphasizes the individual, the nation state, and national sovereignty. Juche posits that a country will prosper once it has become self-reliant by achieving political, economic, and military independence. https://en.wikipedia.org/wiki/Juche 

• Staying with the theme of Juche: If self-suffienciency worked, North Korea would be Monaco.

• Having Trump Derangement Syndrome (when it comes to tariffs) means you are economically LITERATE. Congratulations.

• “You couldn’t fill a Mini Cooper with economists who agree with tariffs. You just couldn’t.” —Ron Baker

• Ed referenced episode 76, Lessons from the Trading Game, on the show today. Here is the link https://www.thesoulofenterprise.com/76 

Segment two

• “In every country it always is and must be the interest of the great body of the people to buy whatever they want of those who sell it cheapest. The proposition is so very manifest, that it seems ridiculous to take any pains to prove it; nor could it ever have been called in question, had not the interested sophistry of merchants and manufacturers confounded the common-sense of mankind.” —Adam Smith, 1776, The Wealth of Nations

• On Juche for Dummies, “I’m sure we are at a trade deficit with some country that’s importing bananas to us. And we then slap a 10% tariff on them because we want bananas?” —Ed Kless

• Referenced on the show today: Economics in One Lesson — The Shortest and Surest Way to Understand Basic Economics by Henry Hazlitt https://www.amazon.com/Economics-One-Lesson-Shortest-Understand/dp/0517548232 

• NAFTA lost 1 million jobs for the US in its first 20 years between 1994 and 2014. That means it took NAFTA two decades to kill as many jobs as we turn naturally IN 18 DAYS.

Segment three

• “In general international deficits and surpluses have had virtually no correlation with the performance of most nation’s economies.” —Thomas Sowell in Basic Economics https://www.amazon.com/Basic-Economics-Thomas-Sowell/dp/0465060730

• “Read My Lips: Tariffs Are Taxes” by Kevin Williamson https://thedispatch.com/article/trump-tariffs-taxes-housing-prices-lumber/ 

• From the official government website, the Harmonized Tariff Schedule sets out the tariff rates and statistical categories for all merchandise imported into the United States. https://hts.usitc.gov/ 

Segment four

• A great joke from Ron on the show today, “If exports are great and imports are bad then, like Bastiat said, we should sink all the ships at sea.”

• Regarding tariffs and current economic “policy”: All of this boils down to zero sum game thinking, something we have railed against at The Soul of Enterprise for the entirety of our existence.

• Those penguins we mentioned today? Yeah, that’s a real thing. Here’s the article titled “No economy is safe from Trump’s tariffs, even non-economies” https://sherwood.news/world/no-economy-safe-trumps-tariffs-even-non-economies-heard-island/ 

• From Jeffrey Blehar at National Review, “So it is with President Donald Trump who — convinced of his own superior intellect — has crowbarred open a newly delivered crate of ACME Trade Policy, unboxed Peter Navarro circa 1996, and strapped on his goggles and rocket shoes to catch that elusive, slippery trade deficit once and for all.” https://www.nationalreview.com/carnival-of-fools/trumps-cartoon-physics-takes-america-off-the-cliff/ 

• Wile E. Coyote: Genius https://www.youtube.com/watch?v=PufFA8kDWFk 

Bonus Content is Available As Well

Did you know that each week after our live show, Ron and Ed take to the microphone for a bonus show? Typically, this bonus show is an extension of the live show topic (sometimes even with the same guest) and a few other pieces of news, current events, or things that have caught our attention.

Click the “FANATIC” image to learn more about pricing and member benefits. 

Episode #534: Milton’s Mandate — The Market, Morality, and Money

NEW SHOW FEATURE: We are now LIVE streaming our shows. Want to join us live? Just click this link every Friday at 3pm ET / 12pm PT.

In this episode, Ron and Ed dive into one of the most influential and debated essays in business and economic thought: Milton Friedman’s The Social Responsibility of Business Is to Increase Its Profits. Published in The New York Times in 1970, Friedman’s argument that businesses should focus solely on maximizing shareholder value while operating within the law sparked decades of debate about corporate ethics, stakeholder capitalism, and the role of business in society.

Ron and Ed will unpack Friedman’s perspective, discuss its implications for modern businesses, and explore how it contrasts with contemporary views on corporate social responsibility (CSR) and ESG (Environmental, Social, and Governance) initiatives. Is Friedman’s argument still valid in today’s world, or has the definition of corporate responsibility evolved? Tune in for an insightful discussion on one of the most enduring ideas in free-market economics.

📖 Read Friedman’s original essay: The New York Times

SHOW NOTES

Segment one

• Originally published on Sept 13, 1970, the basis of our show today is Milton Friedman’s article “The Social Responsibility of Business Is to Increase Its Profits” https://www.nytimes.com/1970/09/13/archives/a-friedman-doctrine-the-social-responsibility-of-business-is-to.html?unlocked_article_code=1.9E4.8Fy6.8Z-P1t4lzAfk&smid=url-share 

• “Businessmen who talk this way (about a social conscience) are unwitting puppets of the intellectual forces that have been undermining the basis of a free society these past decades.” —Milton Friedman

• “What does it mean to say that “business” has responsibilities? Only people can have responsibilities.” —Milton Friedman in 1970 https://www.nytimes.com/1970/09/13/archives/a-friedman-doctrine-the-social-responsibility-of-business-is-to.html?unlocked_article_code=1.9E4.8Fy6.8Z-P1t4lzAfk&smid=url-share 

• A common quote criticizing capitalism, attributed to Herbert Hoover, is: "The only trouble with capitalism is capitalists; they're too damned greedy."

Segment two

• Social responsibilities fall on the individual and not the organization based on Milton Friedman’s 1970 article. Check the image for the details of his writing.

• Friedman could have been more clear in his article and here is part of the section that requires possibly reading it more than once. Link to the full article: https://www.nytimes.com/1970/09/13/archives/a-friedman-doctrine-the-social-responsibility-of-business-is-to.html?unlocked_article_code=1.9E4.8Fy6.8Z-P1t4lzAfk&smid=url-share 

• “What does it mean to say that the corporate executive has a ‘social responsibility’ in his capacity as businessman? If this statement is not pure rhetoric, it must mean that he is to act in some way that is not in the interest of his employers.” —Milton Friedman in 1970 https://www.nytimes.com/1970/09/13/archives/a-friedman-doctrine-the-social-responsibility-of-business-is-to.html?unlocked_article_code=1.9E4.8Fy6.8Z-P1t4lzAfk&smid=url-share 

• “…when the corporate executive imposes taxes and spends the proceeds for ‘social’ purposes. He becomes in effect a public employe, a civil servant, even though he remains in name an employe of private enterprise.” —Milton Friedman

Segment three

• Segment three of the show today starts with a lengthy section from Friedman’s Doctrine beginning with, “ON the grounds of consequences, can the corporate executive in fact discharge his alleged ‘social responsibilities’? On the one hand, suppose he could get away with spending the stockholders’ or customers’ or employes’ money. How is he to know how to spend it?” https://www.nytimes.com/1970/09/13/archives/a-friedman-doctrine-the-social-responsibility-of-business-is-to.html?unlocked_article_code=1.9E4.8Fy6.8Z-P1t4lzAfk&smid=url-share 

• 🤣 🤣 🤣 “We thus have the ironic phenomenon that union leaders—at least in the U.S. —have objected to Government interference with the market far more consistently and courageously than have business leaders.” —Milton Friedman

• “In a free society, it is hard for ‘good’ people to do ‘good,’ but that is a small price to pay for making it hard for ‘evil’ people to do ‘evil,’ especially since one man's good is anther's evil.” —Milton Friedman in 1970

• “So in a way, it’s a marketing expense, which we’ve always accused CSR of being.” —Ron Baker and Ed Kless on corporate social responsibility 

Segment four

• “[Businessmen] are capable of being extremely far‐sighted and clear‐headed in matters that are internal to their businesses. They are incredibly short sighted and muddle‐headed in matters that are outside their businesses but affect the possible survival of business in general.” —Milton Friedman https://www.nytimes.com/1970/09/13/archives/a-friedman-doctrine-the-social-responsibility-of-business-is-to.html?unlocked_article_code=1.9E4.8Fy6.8Z-P1t4lzAfk&smid=url-share 

• Here is the conclusion to Friedman’s Doctrine from 1970: But the doctrine of “social responsibility” taken seriously would extend the scope of the political mechanism to every human activity. It does not differ in philosophy from the most explicitly collectivist doctrine. It differs only by professing to believe that collectivist ends can be attained without collectivist means. That is why, in my book “Capitalism and Freedom,” I have called it a “fundamentally subversive doctrine” in a free society, and have said that in such a society, “there is one and only one social responsibility of business—to use its resources and engage in activities designed to increase its profits so long as it stays within the rules of the game, which is to say, engages in open and free competition without deception or fraud.”

Bonus Content is Available As Well

Did you know that each week after our live show, Ron and Ed take to the microphone for a bonus show? Typically, this bonus show is an extension of the live show topic (sometimes even with the same guest) and a few other pieces of news, current events, or things that have caught our attention.

Click the “FANATIC” image to learn more about pricing and member benefits. 

Episode #533: 2025 Tech Trends Report with Greg Tirico

NEW SHOW FEATURE: We are now LIVE streaming our shows. Want to join us live? Just click this link every Friday at 3pm ET / 12pm PT.

With Ron Baker out this week due to a personal matter, Ed Kless is joined by Greg Tirico for a deep dive into the FTSG 2025 Tech Trends Report (available as a free download). Together, they explore 10 provocative takeaways shaping the future of technology—from AI’s evolution into “living intelligence” and action models, to the rise of agentic systems, climate-driven innovation, and the commercial colonization of space. Ed and Greg break down what these shifts mean for business leaders, professionals, and society at large. Expect thoughtful insights, some healthy skepticism, and a few surprises as they navigate the frontier of what’s next.

MORE ABOUT GREG

Greg's official title here at The Soul of Enterprise might be just a step above “intern,” but don’t let that fool you. He’s the behind-the-scenes engine helping drive marketing at The Soul of Enterprise — that is, when we allow him to emerge from the dark room in which he lives and works. In addition to making Ron and Ed look good (arguably his most important job), Greg also runs Working Web Media, bringing years of marketing and tech expertise to the table.

SHOW NOTES

Segment one

AI

• Deep Seek and Stanford have both shown that AI models do not need to get larger as previously thought. Think “small language models” instead of LLM (large language models).

• Newer models might be small and less capable but that’s a good thing, especially for mobile devices

• Agentic AI has cemented itself as a trend to watch. This can be thought of as autonomous decision making (or business workflow on steroids)

Metaverse

• Industrial applications remain “just around the corner” and I’m still a bit skeptical

• South Korea Enacts Metaverse Industry Law in February of 2024. The new law both supports and regulates the metaverse, prioritizing permissionless development with oversight after implementation.

• Meta Ray-Ban sunglasses: Meta AI for object detection, capture video, make phone calls, listen to music, and livestream — all for $300

Segment two

Biotechnology

• Real world industrial applications currently in the market:

• crops engineered for climate resilience and higher yields

• engineered microbes produce materials stronger than steel 

• Restaurants serve meat grown from cells rather than raised on farms. 

• Fashion brands sell jackets made from spider silk produced by engineered yeast. 

• Construction companies explore self-healing concrete created by bacteria.

• Beauty products contain proteins designed by AI and grown in fermentation tanks. 

• July 2024: CRISPR-edited seedless blackberries and non-browning avocados enter market trials.

• Medical LLMs used for drug discovery

• CRISPR gene editing: Editas’ EDIT-101, designed to treat Leber congenital amaurosis, is one of the first in vivo CRISPR therapies to restore vision in patients with inherited blindness.

• In vivo: in the living; ex vivo requires stem cells to be modified outside the body and then reintroduced 

• CRISPR modified livestock?

Mobility, Robotics, and Drones

• EVs as mobile power plants. After all, the Tesla power wall is the same battery they put in cars. The Ford F-150 Lightning is the ultimate tailgate machine

• Fun fact: Tesla now has over 60,000 superchargers worldwide at 7,000 locations. There are 11,616 Exxon Mobil gas stations in the United States.

• Software defined cars: NHTSA recalls still happen but the fix is done via software. The recurring revenue model is too lucrative to ignore for automakers

• Autonomous vehicles possibly face more regulatory scrutiny than technological barriers at this point. Waymo is in Phoenix, San Francisco, Los Angeles, and Austin with 10 more cities planned this year

• Drones: medical applications both on and off the battlefield; agriculture

• Robots: AI driven domestic robots, “Cobots”, are being produced by Samsung and Switchbot. Moving beyond the vacuum, they can handle air purification, monitor pets, and deliver items to you (beer?)

• 1 in 10 South Korean workers are robots

• Space robots and drones will play a large role in the NASA Artemis project and are already helping to clean up space junk

• Aerial corridors are already a thing in the UAE

Segment three

Computing

• National security depends on computational supremacy. When adversaries can deploy more powerful AI systems faster, they gain advantages in everything from intelligence to weaponry. Building robust computing infrastructure is just as much about maintaining strategic autonomy as it is technological leadership. And this is where quantum computing enters the chat.

• When Google’s 2024 Willow quantum chip completed a problem in five minutes that would take today’s supercomputers 10 septillion years to solve, it sparked equal parts excitement and bewilderment.

• Access to energy and compute will continue to be critical over the next decade

• Biological computing, or biocomputing, uses biological organisms or processes to store, process, and transfer information, encompassing technologies like DNA computing and cellular computing. It aims to harness the power of living systems for computational tasks. 

• In 2023, researchers at Johns Hopkins University outlined a vision for biocom- puters powered by human brain cells in a paper published in Frontiers in Science. Led by Thomas Hartung, the team present- ed a roadmap for “organoid intelligence,” aiming to develop biological computing using 3D cultures of human brain cells.

• Generative UI refers to the use of generative AI to automatically create, adapt, or personalize a user interface (UI) based on real-time inputs and context.

• Context aware earwax

• Living tactical scenario: A gunshot cracks the night. Within seconds, the drones pinpoint the shooter through audio triangulation. The helmets respond, releasing precise doses of performance enhancers to steady hands and sharpen focus. If chemical weapons appear, the neural interface stands ready to inject countermeasures directly into bloodstreams. The soldiers adjust their approach wordlessly, human and machine moving as one. The drones unleash another tactic: They project phantom sounds across the battlefield—helicopter rotors, tank treads, marching boots. The enemy scatters, chasing ghosts. The helmets pick up on rising hostile heart rates as confusion spreads.

Space

• Space is shifting from government-driven to markets-driven. 

• SpaceX conducted 138 launches in 2024; 35 so far this year

• There was a private spacewalk in 2024 conducted by Polaris Dawn

• Vast Space will launch Haven-1 in 2025 — a commercial space station

• Space based manufacturing of pharmaceuticals 

• Cislunar Networking: As we return to the moon, infrastructure like fiber optics and reliable internet will be essential, mirroring Earth’s networks. This presents a significant opportunity to shape the future of lunar communications.

• “If we are to find new frontiers for industry and energy, then the mines of space will provide.” Isaac Asimov, “Foundation and Empire”

Segment four

• Entertainment, Healthcare, and News

Bonus Content is Available As Well

Did you know that each week after our live show, Ron and Ed take to the microphone for a bonus show? Typically, this bonus show is an extension of the live show topic (sometimes even with the same guest) and a few other pieces of news, current events, or things that have caught our attention.

Click the “FANATIC” image to learn more about pricing and member benefits. 

Episode #532: Superabundance Revisited — Our Second Conversation with Gale Pooley

NEW SHOW FEATURE: We are now LIVE streaming our shows. Want to join us live? Just click this link every Friday at 3pm ET / 12pm PT.

Join us for an enlightening discussion as we welcome back economist and author Dr. Gale L. Pooley to celebrate the release of his new book. In this episode, we delve deeper into the groundbreaking concepts presented in the book, exploring how human ingenuity and freedom drive resource abundance and economic growth. Dr. Pooley shares new insights and reflections since his last appearance, offering a fresh perspective on the relationship between population dynamics and prosperity. Don’t miss this opportunity to gain a deeper understanding of the principles that challenge conventional views on scarcity and highlight the potential for human creativity to overcome limitations.

MORE ABOUT GALE

Dr. Gale L. Pooley is an American economist, professor, and co-author of Superabundance. He currently teaches U.S. economic history at Utah Tech University and has held academic positions at institutions including Brigham Young University–Hawaii and Alfaisal University in Riyadh. Dr. Pooley is renowned for his work on the concept of abundance and population growth, notably co-authoring the Simon Abundance Index, which measures resource availability relative to population growth. He holds professional designations from the Appraisal Institute, the Royal Institution of Chartered Surveyors, and the CCIM Institute.

SHOW NOTES

Segment one

• Gale first joined us for episode 409 and his co-author joined us for episode 418. Here’s a fun trick. Just type The Soul Of Enterprise dot com slash episode number to find any episode. So, thesoulofenterprise.com/409, for example

• Gale has a great list of the three original sins of economics: 1) only atoms can be resources; 2) we live in a world of scarcity; 3) we measure things with money

• Thank you VERY MUCH to Hector Garcia for submitting a question for our guest today. You can submit questions for Ron and Ed on any device using this link https://www.thesoulofenterprise.com/questions 

• Here is a GREAT example from Gale on the time price of eggs. They may be technically more expensive in terms of dollars right now but if you shift your perspective, they are more abundant than ever in human history. More here https://galepooley.substack.com/p/egg-perspective 

Segment two

• Gale Pooley and Marian Tupy’s book, Superabundance, is well received on Amazon with about 400 ratings. How are the ideas in Superabundance being received by economists? Gale goes back to the three original sins of economics to reflect on the book’s reception. Here is a link for more info https://www.amazon.com/Superabundance-Population-Innovation-Flourishing-Infinitely/dp/1952223393 

• “CPI (consumer price index) tells you how expensive things have become but then it doesn’t tell you if they have become more or less affordable.” —Gale Pooley

• "A man with one watch knows what time it is; a man with two watches is never sure," is known as Segal's Law, and it suggests that having multiple sources of information can lead to confusion and uncertainty. 

• Time prices are a better measurement than just money and Superabundance, the book, lays this out. For example: There is more information in the time price of money compared to just money. It is easily calculated. The scientific method uses time. You can use time prices in any country at any time with any product and any currency. —Those are just a few examples. More at this link https://www.amazon.com/Superabundance-Population-Innovation-Flourishing-Infinitely/dp/1952223393 

Segment three

• This is a summary of the start of segment three today (Gale’s actual words are significantly better): When you buy a house, you’re really buying two things: the lot/land and the improvement on that land (otherwise known as the house). In some cases the land is worth 10% of the price and in other cases it is significantly more. The land explains the difference in housing price variability across the country.

• From the concepts in Superabundance, if you look at the TIME PRICE of materials for building a home, it really hasn’t changed that much since the 1960s. In fact, labor is not that much more either. More at this link https://www.amazon.com/Superabundance-Population-Innovation-Flourishing-Infinitely/dp/1952223393 

• To understand TIME PRICES and housing as detailed in the book Superabundance, Gale Pooley (co-author) likes to ask the question: “How much time does it take you to earn the money to make your monthly payment on a per square foot basis?”

• The Jevons paradox, named after the 19th-century economist William Stanley Jevons, suggests that technological advancements that increase the efficiency of resource use can paradoxically lead to increased consumption of that resource, rather than decreased consumption. 

• “AI Just Got 90 To 99.99 Percent Cheaper” by Gale Pooley https://galepooley.substack.com/p/ai-just-got-90-to-9999-percent-cheaper 

Segment four

• “Steve Jobs introduced the Macintosh in 1984 at a retail price of $2,495. At the time unskilled workers were earning around $5.00 per hour, putting the time price at 498 hours. A new iMac can be bought today for $1,299 and unskilled workers are now earning closer to $16.51 per hour, indicating a time price at 78.7 hours.” —Gale Pooley in the article ‘Mac at 40’ https://galepooley.substack.com/p/mac-at-40 

• In his 2004 paper, Nobel laureate William Nordhaus estimated that innovators capture approximately 2.2% of the total surplus from innovation in the first year, due to a combination of instantaneous appropriability and the depreciation of Schumpeterian profits. https://www.nber.org/digest/oct04/who-gains-innovation 

• Royal Caribbean just launched a cruise ship that can hold 8,000 passengers and weighs 250,800 tons. Gale Pooley wrote a GREAT article about this called “Cruise Ship Billionaires” https://galepooley.substack.com/p/cruise-ship-billionaires 

• A big THANK YOU to Gale Pooley, co-author of Superabundance, for joining us today. You can follow Gale on his substack at this link https://galepooley.substack.com/ 

Bonus Content is Available As Well

Did you know that each week after our live show, Ron and Ed take to the microphone for a bonus show? Typically, this bonus show is an extension of the live show topic (sometimes even with the same guest) and a few other pieces of news, current events, or things that have caught our attention.

Click the “FANATIC” image to learn more about pricing and member benefits. 

Episode #531: The Boardroom Brawl — Will Purpose Stand Tall or Will Profit Take All?

NEW SHOW FEATURE: We are now LIVE streaming our shows. Want to join us live? Just click this link every Friday at 3pm ET / 12pm PT.

In this episode of The Soul of Enterprise, Ron and Ed dive into the long-standing debate: Is the purpose of business to make a profit, or is profit simply the result of fulfilling a deeper mission? Drawing inspiration from the wisdom of Peter Drucker—who famously stated, “There is only one valid definition of business purpose: to create a customer”—they explore the implications of this perspective for entrepreneurs, executives, and professionals.

Does a relentless focus on profit lead to short-termism and ethical compromises? Or is profit the natural outcome of serving customers, creating value, and building a sustainable enterprise? Join us as Ron and Ed unpack these ideas, challenge conventional wisdom, and discuss what this debate means for the future of business.

SHOW NOTES

Segment one

• You can record and submit questions for future shows using any device. Just visit https://www.thesoulofenterprise.com/questions 

• William F. Buckley wrote a single children’s book. He considered it the hardest book he had ever written. https://www.amazon.com/National-Treasury-Classic-Childrens-Literature/dp/096278415X 

• We had a GREAT question submitted today from a children’s book author, Melquea Smith. Check out some of her work here https://www.prettykittypaintings.com/ 

• Speaking of children’s books, Ron and Ed had the pleasure of interviewing Connor Boyack on episode 292. He is the author of the Tuttle Twins books. https://www.thesoulofenterprise.com/tsoe/connor-boyack-tuttle-twins 

• Thank you Peter McCleskey for the question today! We’ve dedicated almost the entire show to the idea that profits are the result of a business and not the purpose. But Peter had other thoughts and we TRULY appreciate it. So much so that his question is the basis for our show today. 

Segment two

• “Purpose is bigger than tactics. Purpose is bigger than strategy. It is a choice to pursue your destiny, the ultimate destination for yourself and the organization you lead.” —from Purpose: The Starting Point of Great Companies by Nikos Mourkogiannis https://www.amazon.com/Purpose-Starting-Point-Great-Companies/dp/0230605303  

• TIL Peter Drucker coined the term “profit center” and wrote, years later, that he was ashamed of it.

• “Profit is the oxygen for the body but it’s not the point of life.” —Ron Baker on today’s show (possibly non-attributed)

• “Business must be run at a profit, else it will die. But when anyone tries to run a business solely for profit, then also the business must die, for it no longer has a reason for existence.” —Henry Ford

• “There is only one boss. The customer. And he can fire everybody in the company from the chairman on down, simply by spending his money somewhere else.” —Sam Walton

Segment three

• Ed mentioned the 7-s framework on the show today. Introduced by McKinsey in the 1970’s, here is some historical background on the model: https://www.mckinsey.com/capabilities/strategy-and-corporate-finance/our-insights/enduring-ideas-the-7-s-framework 

• Stanley Marcus, the former president and chairman of the board of Neiman Marcus, famously said "Consumers are statistics. Customers are people,"

• Here’s a fun exercise: How much would you have to be paid to not be able to use your iPhone ever again? THINK about that. There’s is a flip answer (thank goodness!) but what is your real number?

• Robert Wood Johnson, former chairman of JNJ and a member of the Company’s founding family, crafted the JNJ Credo himself in 1943. More here and in the image (which is the credo carved in stone at the JNJ headquarters) https://www.jnj.com/our-credo 

Segment four

• Ron and Ed talked about the seven internal responsibilities outlined in “Business as a Calling: Work and the Examined Life” by Michael Novak https://www.amazon.com/Business-Calling-Work-Examined-Life/dp/0684827484 

• Also reference in segment four today, “Wealth’s Way — The Wisdom and Wonders of Shareholder Capitalism” which is episode 488 of The Soul of Enterprise https://www.thesoulofenterprise.com/488 

• Ron and Ed mentioned their new venture today towards the end of the show. They are looking forward to working more closely with people who are interested. Learn more at https://thresholdnow.com/ and hop on the free membership level.

Bonus Content is Available As Well

Did you know that each week after our live show, Ron and Ed take to the microphone for a bonus show? Typically, this bonus show is an extension of the live show topic (sometimes even with the same guest) and a few other pieces of news, current events, or things that have caught our attention.

Click the “FANATIC” image to learn more about pricing and member benefits. 

Episode #530: One Thing — March 2025

NEW SHOW FEATURE: We are now LIVE streaming our shows. Want to join us live? Just click this link at 3pm ET / 12pm PT.

Inspired by A. J. Jacobs when he appeared on Russ Robert's great podcast EconTalk, Ron and Ed have each been keeping a "One Thing" journal for the last few years. The idea is simple. You have a place where each day you capture, just one thing that inspired you. For us, it is often a quote, but it can just be an idea. In this episode, Ron and Ed once again share entries from their "One Thing" journals. It is a bit random, but contains nugget after nugget of curated wisdom for the reading and listening habits of the hosts.

SHOW NOTES

Segment one

• So what is a One Thing show? Ron and Ed both keep a journal. And they keep one thing, a quick note, in their journals. A few times a year, we do a show on our One Thing.

• From Jonah Goldberg: Many firms try to be a vet and a taxidermist so they can say, either way, you get your cat back.

• From Peter Savadnik: There is nothing more pathetic than an older person who cares about what a younger person thinks is cool.

• From Winston Churchill: Socialism is the gospel of envy

• From Anthony Davies, former TSOE guest: One obtains wealth in exchange for providing value to others. The correct phrase, 1% of the people own 40% of the wealth, reveals the fact that 40% of the value the 99% experience as joy is created through the efforts of 1% of the people

• Attributed to Lenin: There are decades where nothing happens and there are weeks where decades happen.

• From Elon Musk: The most common error of a smart engineer is to optimize a thing that should not exist

• From Charles Spurgeon: Wisdom is, I suppose, the right use of knowledge. To know is not to be wise, to know how to use knowledge is to have wisdom. 

• From Alexander Solzhenitsyn: Let the lie come into the world. Let it even triumph. But not through me.

• Also from Alexander Solzhenitsyn: To stand up for truth is nothing. For truth, you must sit in jail.

Segment two

• From Kevin Williamson: History doesn’t have sides but historians do.

• Ed introduced us to a new word today: meliorism — the belief that the world can be made better by human effort.

• From Russell Banks, author: Go, my book. And help destroy the world as it is.

• Author unknown: We have to get better at disagreeing with one another, rather than being forced to agree with one another.

• The Royal Society's motto, "Nullius in verba," translates to "Take nobody's word for it”

• From Eric Voegelin: Don’t immanentize the eschaton https://en.wikipedia.org/wiki/Immanentize_the_eschaton 

• Epictetus: He who laughs at himself never runs out of things to laugh at

• From Lewis Carroll: Do we decide questions at all? We deice the answer no doubt, but surely the questions decide us.

• The rhino principle: A rhino is single-minded. It perceives an object and changes with everything it’s got. When done, it instantly resumes browsing.

Segment three

• Probably from the KGB: Anybody can commit a murder but it takes an artist to stage a suicide.

• From Anton Chekhov: The task of a writer is not to solve the problem but to state the problem correctly.

• From Leo Tolstoy: In our world everybody thinks of changing humanity and nobody thinks of changing himself.

• From Peter Block: The habits or protocols of convening are based on the foundational idea that questions bring us together and answers keep us apart.

• From Booker T. Washington: I have never had much patience with those always ready to explain why one cannot succeed. I have always had high regard for the man who could tell me how to succeed.

• From Golda Meir after October 7th: We can forgive them for killing our children. We cannot forgive them for forcing us to kill their children. We will only have peace with them when they love their children more than they hate us.

• From Seymour Lipset: To know only one country is to know none.

• From E.O. Wilson and his thoughts on Communism — Four words: Great idea. Wrong species.

• From Karl Marx in 1847: Without slavery, you have no cotton. Without cotton, you have no modern industry. Cause slavery to disappear and you will have wiped America off the map of nations (to which Ron retorts: I wonder if Marx ever got tired of always being wrong?)

• From Rene Girard: In a world purged of sources of authority, there is still one way to achieve status. Concern for victims. Victimism uses the ideology of concern for victims to gain political or economic or spiritual power.

• From Stefan Kisielewski: The use of coercion comes from not believing the argument.

• From Jonah Goldberg: The narcissism of small differences is one of the great drivers of human conflict.

Segment four

• From EconTalk guest Adam Mastroianni: Science progresses on its strongest link not its weakest link. The weakest link is discarded or ignored. Dump peer review. It’s failed.

• From Stephen Kotkin on Russia/Ukraine and China/Taiwan: If they take it they can’t have it.

• From David Hawkins on his consolidation of company strategy: Increase sales, cut costs, and make the bastards work harder.

• From Thomas Sowell: Facts do not speak for themselves. They speak for or against competing theories. Facts divorced from theories or visions are mere isolated curiosities.

• From Gordon McKenzie: It is not the business of authority figures to validate genius because genius threatens authority. The ghost of past successes outvote original thinking.

Bonus Content is Available As Well

Did you know that each week after our live show, Ron and Ed take to the microphone for a bonus show? Typically, this bonus show is an extension of the live show topic (sometimes even with the same guest) and a few other pieces of news, current events, or things that have caught our attention.

Click the “FANATIC” image to learn more about pricing and member benefits. 

Episode #529: Entrepreneurial Nerdery - Second interview with Seth David

NEW SHOW FEATURE: We are now LIVE streaming our shows. Want to join us live? Just click this link at 3pm ET / 12pm PT.

In this episode of “The Soul of Enterprise,” hosts Ron and Ed engage in a compelling conversation with Seth David, the Chief Nerd and CEO of Nerd Enterprises, Inc. Seth is renowned for his ability to demystify complex financial concepts, making them accessible and actionable for businesses and accounting professionals alike. With a rich background that includes auditing and a passion for leveraging technology to enhance business efficiency, Seth shares his journey from traditional accounting roles to becoming a leading educator and consultant in the industry.

SHOW NOTES

Segment one

• If you know Seth David but don’t know this (and how could you not?), he’s kind of an animal lover. Here’s a great pic of him feeding his dogs.

• Seth David used to regularly discount his courses but he realized that he had “trained” his future customers to expect a discount. Now, the courses have a regular price but the promos are not nearly as common (unless it is related to his charitable causes). https://www.nerdenterprises.com/courses-and-trainings-catalog 

• What inspired Seth David to break out on his own and start a company? “I hated working for people.” 🤣 🤣

• When Seth says he “inspires and educates”, you need to read his backstory to REALLY understand where his coming from as a caring, kind human being. His background story is here: https://www.nerdenterprises.com/about-seth-david 

Segment two

• “AI firms will look from the outside like a unified intelligence that can instantly propagate ideas across the organization, preserving their full fidelity and context. Every bit of tacit knowledge from millions of copies gets perfectly preserved, shared, and given due consideration.” —Dwarkesh Patel https://www.dwarkeshpatel.com/p/ai-firm 

• We asked Seth about AI today on the show and he made a great joke about Artificial General Intelligence. “And then we’ll have AGI which is not adjusted gross income.” —Seth David

• What is the best outcome for artificial intelligence? “My hope is that this doesn’t go in the direction of Skynet but rather in the direction of us being able to be more human again.” —Seth David

• Seth David’s thoughts on AI: “So the AI is going to be like an employee that I work with who does the does the research and makes the recommendations. And then either I have more questions about those recommendations or I take the recommendations and go run with them and implement.”

Segment three

• “The more high tech we get the more we are going to demand high touch.” —John Naisbitt, author of Megatrends: Ten New Directions Transforming Our Lives https://www.amazon.com/Megatrends-Ten-Directions-Transforming-Lives/dp/0446356816 

• “With any disruptive technology, adoption is slow at first and then it just pops. Either you are forced to adopt or you are going to be forced out.” —Seth David on the topic of AI adoption in the accounting space

• “The only comparative advantage I have against AI is a soul. And I think we're gonna have to really lean into that a lot more.” —Ron Baker

• If you use ChatGPT with any regularity, give this prompt from Seth David a try: Analyze my communication patterns based on our conversations so far. Tell me what you observe about my thinking style, decision making approach, and potential blind spots. 

Segment four

• Seth David has a new obsession. It’s called Notion although many of you probably already know a bit about them. The founder of Notion describes his software as digital lego. More here: https://www.notion.com/ 

• A big THANK YOU to Seth David for joining us today. He’s a nerd and we love it! Check out more about Seth at this link https://www.nerdenterprises.com/ 

Bonus Content is Available As Well

Did you know that each week after our live show, Ron and Ed take to the microphone for a bonus show? Typically, this bonus show is an extension of the live show topic (sometimes even with the same guest) and a few other pieces of news, current events, or things that have caught our attention.

Click the “FANATIC” image to learn more about pricing and member benefits. 

Episode #528: Questioning Conscious Capitalism — Fifth interview with Kimberlee Josephson

NEW SHOW FEATURE: We are now LIVE streaming our shows. Want to join us live? Just click this link at 3pm ET / 12pm PT.

In this episode, we welcome back Dr. Kimberlee Josephson for her fifth appearance on The Soul of Enterprise. Dr. Josephson, an associate professor of business at Lebanon Valley College and adjunct research fellow with the Consumer Choice Center, brings her extensive expertise in global sustainability, international marketing, and workplace diversity to our discussion.

We delve into the complexities of Environmental, Social, and Governance (ESG) criteria, examining their impact on business operations and economic freedom. Dr. Josephson shares her insights on the challenges ESG poses to free-market principles and the potential consequences for entrepreneurs and consumers alike.

Join us for a thought-provoking conversation that explores the intersection of corporate responsibility and economic liberty, and gain a deeper understanding of the current debates surrounding ESG in today’s business landscape.

SHOW NOTES

Segment one

• Who remembers that great Penn and Teller show called B*llshit? Classic Libertarian move as Ed brings this up at the beginning of the show. https://en.wikipedia.org/wiki/Penn_%26_Teller:_Bullshit 

• “When we think about corporate social responsibility, businesses feel they need to be giving back to society. However, conscious capitalism leads to putting my stakeholders even before the interests of the firm.” —Dr. Josephson

• “The purpose of business is to create and keep a customer.” —Peter Drucker

• “My students—the majority of them are business majors—they have a vested interest in business. But most of them are interested also in serving or starting a non profit. So even those who are pursuing a business major don't have a positive view of the profit motive which I find to be pretty disheartening.” —Dr. Josephson

Segment two

• Dr. Josephson wrote a great article called, “Co-opting Capitalism: From Value Creation to Virtue Signaling” https://thedailyeconomy.org/article/co-opting-capitalism-from-value-creation-to-virtue-signaling/ 

• In Dr. Josephson’s article she references Dr. Carroll’s pyramid of corporate social responsibility. Here is a quick picture to help you visualize it

• Andrew Carnegie famously said, "The man who dies thus rich dies disgraced," meaning that it is more difficult to give away wealth wisely than to earn it in the first place

• “The beauty of a business is that it is made up of a network of people who create, coordinate, and collaborate the means for exchange, without necessarily sharing social values — which is why capitalism doesn’t need to be changed.” —Dr. Josephson in this article https://thedailyeconomy.org/article/co-opting-capitalism-from-value-creation-to-virtue-signaling/ 

Segment three

• “Do ESG and DEI Follow a Product Life Cycle?” by Dr. Josephson (hint: yes they do) https://thedailyeconomy.org/article/do-esg-and-dei-follow-a-product-life-cycle/ 

• Here is a great visual from Kimberlee’s article that shows the typical product lifecycle

• “Yes, the pendulum for ESG and DEI has swung, but not all the way. It would be wise to remember that today’s decline can become tomorrow’s trend if situations and circumstances along with market interest shift once again.” —Dr. Josephson in this article https://thedailyeconomy.org/article/do-esg-and-dei-follow-a-product-life-cycle/ 

• Here is a link to the Harvard implicit bias test, largely considered flawed today but extremely widespread in its use when released. https://implicit.harvard.edu/implicit/takeatest.html 

Segment four

• “How Ethical Consumption Emboldens Certification Systems and Rent Seeking Agencies” by Dr. Josephson https://thedailyeconomy.org/article/how-ethical-consumption-emboldens-certification-systems-and-rent-seeking-agencies/ 

• Today I learned, when Fair Trade first came about, it was actually done primarily through church activist groups, and it was seen as well intentioned and meant to help poor producers in third world countries

• “If it’s really about the economy, can Dollar General fulfill its ‘food first’ mission?” by Dr. Josephson https://www.fastcompany.com/91235714/if-its-really-about-the-economy-can-dollar-general-fulfill-its-food-first-mission 

• Kimberlee brought up food deserts today on the show. Food deserts are areas where you have populations that have limited access to healthy foods and then also affordable foods

• “Business Schools Undermine Wealth Creation” by Dr. Josephson https://thedailyeconomy.org/article/business-schools-undermine-wealth-creation/ 

• A big THANK YOU to Dr. Kimberlee Josephson for joining us today. She is a PROLIFIC writer and professor. Please check out more of her work at this link https://kbjosephson.com/ 

Bonus Content is Available As Well

Did you know that each week after our live show, Ron and Ed take to the microphone for a bonus show? Typically, this bonus show is an extension of the live show topic (sometimes even with the same guest) and a few other pieces of news, current events, or things that have caught our attention.

Click the “FANATIC” image to learn more about pricing and member benefits. 

Episode #527: Building Your Ideal Practice — Roundtable with experts from Woodard

Join Ron and Ed for an engaging roundtable discussion with three dynamic leaders from Woodard: Patricia Hendrix, Heather Satterley, and Deborah Defer. These accomplished professionals bring their unique expertise in practice advancement, technology integration, and Client Advisory Services (CAS) to the conversation. Together, they’ll explore the evolving landscape of accounting, the role of automation, and strategies for business transformation. Tune in for insights, innovation, and inspiration from some of the industry’s top minds!

SHOW NOTES

Segment one

• To start off the show today, Ron proclaims that “CAS is a ridiculous acronym and it’s not the AICPA’s fault. It needs to be branded and described by each firm.” Patricia and Deborah had some great insight on this one.

• “This whole CAS thing was a way for us to flip the narrative (that accountants are necessary but not desired), but I think it's only caused more confusion and really an identity crisis.” —Heather Satterley

• I ask [the firms I work with] if they have a vision, mission, and purpose. Many of them, 90%, say, “We're thinking about it.” Deborah Defer 

• “The vision, mission and purpose [of an organization] really drives everything in your business. Without one, it's like wandering around in the world without any direction. It’s being in business for the sake of being in business, versus being in business to actually make an impact on the world.” —Heather Satterley

Segment two

• How does Heather get a firm to think about their niche? Consider these questions: What is the makeup of their practice? Who are they working with? Where are they seeing the most successes in what they're doing currently? Where are they getting the most satisfaction, both on the firm side and on the client side?

• “Once you know what your ideal client profile is then you have two tasks. One is to go back and look at your current client base and measure each one of them against your ideal client profile. Then decide what you're going to do with the ones that don't measure up.” —Patrica Hendrix

• “We, as accountants, went into a service based business. We like to serve and we don't know how to say no. So accounting firms end up getting 25-30 different industries that they try to focus on.” —Deborah Defer

• I see a turning point when we're coaching people. There's a turning point when they really get confidence in themselves and say, “I know I'm delivering a good product. I know I'm valuable and I'm pricing to my value.” —Patricia Hendrix

Segment three

• “As part of the seven ideals in building an ideal practice, three stand out to me that are probably my highest priorities: technology, people, and process.” —Deborah Defer

• Regarding finding talent in the industry, Heather had some amazing insight for us today. Here’s a great quote, “Where we kept shooting ourselves in the foot was putting that word ‘accountant’ in the job description.” —Heather Satterley

• “I think that it's very belittling to have to be accountable for every six minutes of a person's time.” —Deborah Defer

• Regarding the billable hour, “The struggle is because most of these smaller firms are paying their staff by hour. They're thinking how much am I getting done in any given hour?” —Patricia Hendrix

Segment four

• Regarding future tech trends: “People are pretty excited about AI. I think that it'll be really interesting to see how firms are ACTUALLY using it.” —Heather Satterley

• Regarding a future business trend: “So for the longest time nobody that I spoke to was even thinking about selling their practice. They were just going to work till the day they died or hang their shingle up and be done.” —Patricia Hendrix

• Regarding future business/tech trends: “Firms that are just starting to look at AI from a risk perspective have already missed the train. It's going 10,000 miles an hour and these firms are going to get gobbled up.” —Deborah Defer

• A big THANK YOU to Heather Satterley, Deborah Defer, and Patricia Hendrix for joining us today. 

Bonus Content is Available As Well

Did you know that each week after our live show, Ron and Ed take to the microphone for a bonus show? Typically, this bonus show is an extension of the live show topic (sometimes even with the same guest) and a few other pieces of news, current events, or things that have caught our attention.

Click the “FANATIC” image to learn more about pricing and member benefits. 

Episode #526: Engagement From The Inside Out — Interview with Jordan Birnbaum

In this episode of “The Soul of Enterprise,” hosts Ron Baker and Ed Kless engage with Jordan Birnbaum, co-founder of Glinda Group, to explore the intersection of behavioral science and business strategy. They discuss how applied social science can drive measurable improvements in employee engagement, leadership development, and organizational culture. Jordan shares insights from his extensive experience, including his tenure as Chief Behavioral Economist at ADP and his entrepreneurial ventures in the entertainment industry. Listeners will gain a deeper understanding of how behavioral principles can be harnessed to enhance business outcomes and foster a more engaged workforce.

NEW SHOW FEATURE: If you want to ask Ron or Ed a question and be featured on the show, please submit a voice recording from any device at https://thesoulofenterprise.com/questions

SHOW NOTES

Segment one

• Fun fact: Jordan Birnbaum, our guest today, owned and operated a live entertainment venue in Hollywood, CA called The Vanguard.

• So what is Jordan doing now? He is the co-founder of Glinda Group. More info is available here https://glindagroup.com/who-we-are/ 

• “Business ain’t science.” —Ed Kless in the Harvard Business Review

• “Why Big Innovation Doesn't—Can't—Work at Large Companies” by Jordan Birnbaum at PsychologyToday.com. Link is here: https://www.psychologytoday.com/intl/blog/the-uncertainty-principal/202501/why-big-innovation-doesnt-cant-work-at-large-companies 

• Is authentic best defined as “being a narcissistic jerk”? Jordan had some great insight for us today during segment one

Segment two

• “It's not personal, it's business” —Michael Corleone. Our guest, Jordan Birnbaum, flips this statement upside down in his article called, “It's Personal—The Real Source of Business Success” https://www.psychologytoday.com/intl/blog/the-uncertainty-principal/202411/its-personal-the-real-source-of-business-success 

• Intrinsic motivation is, “I’m doing this because I want to.” If you can get people intrinsically motivated at work then you are on the right path. More in this article from our guest, Jordan Birnbaum https://www.psychologytoday.com/intl/blog/the-uncertainty-principal/202411/its-personal-the-real-source-of-business-success 

• Self determination theory is a deeper dive into intrinsically motivated employees. More here https://selfdeterminationtheory.org/theory/ 

• If the Chicago Bulls were a corporation, Michael Jordan would have been promoted to the coaching staff after his rookie year. Because he was a great player, the first thing we would do is ask him to stop playing. In the business world, we take our best players and turn them into coaches. Jordan wrote a GREAT article about this: https://www.psychologytoday.com/intl/blog/the-uncertainty-principal/202408/what-big-biz-can-learn-from-big-sports-about-human-assets 

• What are the six words that every worker needs to hear? Jordan Birnbaum tells us in this article: https://www.psychologytoday.com/us/blog/the-uncertainty-principal/202408/that-is-why-we-need-you 

Segment three

• What is a cognitive budget? You have a set amount of budget per day and just letting it get spent on unintentional things is wasteful. This concept is detailed by our guest, Jordan Birnbaum, in GREAT detail at this link https://globalriskcommunity.com/profiles/blogs/building-the-cognitive-budget-for-your-most-effective-mind 

• Jordan Birnbaum, our guest today, first heard about the concept of rumination on a podcast called Hidden Brain. Here is the link https://hiddenbrain.org/podcast/regrets-i-have-a-few/ 

• “Creating a cognitive budget is a good way to be more intentional with your mental energy.” —Jordan Birnbaum in his article, Building the Cognitive Budget for Your Most Effective Mind https://globalriskcommunity.com/profiles/blogs/building-the-cognitive-budget-for-your-most-effective-mind 

• Ron mentioned the book “Humanonics” today during the show. Here is an Amazon link to the book https://amzn.to/4jM8V5j 

Segment four

• Is HR a destructive force in business? The individual HR professional certainly is not so why the disparity? https://www.psychologytoday.com/intl/blog/the-uncertainty-principal/202409/why-hr-doesnt-cant-work 

• If the performance appraisal is meant to give people a view into their performance then it should be structured one way. If it is intended to motivate and give guidance then it should be structured another way. But because organizations do both at the same time, neither works.

• A big THANK YOU to Jordan Birnbaum for joining us today. Do yourself a favor today and check out what he is up to at Glinda Group https://glindagroup.com/ 

Bonus Content is Available As Well

Did you know that each week after our live show, Ron and Ed take to the microphone for a bonus show? Typically, this bonus show is an extension of the live show topic (sometimes even with the same guest) and a few other pieces of news, current events, or things that have caught our attention.

Click the “FANATIC” image to learn more about pricing and member benefits. 

Episode #525: Fractional CPO? Interview with Ethan Williams

In this insightful episode of The Soul of Enterprise, Ed and Ron are joined by Ethan M. Williams, the founder of Fractional Pricing Advisors and a recognized expert in value-based pricing strategies. With over two decades of experience in corporate strategy and a Certified Pricing Professional designation, Ethan shares his journey through roles at PwC, GE Digital, and beyond. Together, they delve into how businesses can unlock profitability by moving away from cost-plus models and embracing customer-centric pricing. Tune in to explore actionable strategies for transforming your pricing approach and driving value in today’s competitive market.

NEW SHOW FEATURE: If you want to ask Ron or Ed a question and be featured on the show, please submit a voice recording from any device at https://thesoulofenterprise.com/questions

SHOW NOTES

Segment one

• “You'll figure it out” are the simple words that started Ethan down the path of pricing. He now runs Fractional Pricing Advisors. More at this link: https://www.fractionalpricingadvisors.com/

• GE, PwC, McKinsey, and KKR help to round out Ethan’s qualifications as a pricing advisor. Based on the conversation today…..yes, he is qualified. 

• PR pros are timid on pricing. Accountants and consultants cling to cost-plus models. The common thread? The C-suite needs to understand the ROI / NPV.

• What industries are best suited for Ethan’s fractional pricing offering? Software companies and professional services companies between $50-150M in revenue have not had access to this type of expertise before.

Segment two

• Ethan’s reaction to the quote, “Pricing is part voodoo and part bingo.” ….from Ethan: “I’ve always said that it's like part investment bank and part David Blaine.”

• Truth talk: Professionals have been so jaded and the billable hour is endemic to them. They just can't break that cycle.

• In his time at auditing at PwC, Ethan noticed most Chief Accountants are from the big four. And the billable hour is what they know. That's what they want so it is a bit of a headwind when it comes to any meaningful change.

• “The majority of pricing mistakes are underpricing rather than overpricing.” —Ed Kless 

• “Is pricing an art or a science?” This is sort of Ethan meant when he was saying, it's a little bit David Blaine and a little bit investment banker.

Segment three

• “Value-based pricing isn't about arguing for a bigger cut of a static pie. It's about pricing your service as the best NPV alternative & then working in partnership with your clients.” —Ethan Williams of Fractional Pricing Advisors

• Ron referenced this in segment three of the show today: The pricer at Philips Medical breaks it into economic value, operational value, clinical value, emotional value, and then societal value

• From Ethan Williams of Fractional Pricing Advisors: Check out this article called “The B2B Elements of Value” from Bain & Company https://www.bain.com/insights/the-b2b-elements-of-value-hbr 

• Ethan had a GREAT take on the most important B2B metrics that help you understand if you are winning: “Winning in business comes down to 4 key KPIs: Average deal size, cycle time, win rate, and margin.”

• Where should the pricing authority lie in an organization? “There is no perfect answer but you need C-Suite support without a doubt.” —Ethan Williams of Fractional Pricing Advisors

Segment four

• “The best way to not hear no is to not pose a yes/no question.” —Ethan Williams of Fractional Pricing Advisors

• This is GREAT. Ethan Williams — our guest today — wrote a custom GPT called Value Based Pricing Advisor. Here is the link https://chatgpt.com/g/g-MNWgcA4wX-value-based-pricing-advisor 

• A big THANK YOU to Ethan Williams for joining us today. He is absolutely a pricing EXPERT and you can find more about him at this link https://www.fractionalpricingadvisors.com/ 

Bonus Content is Available As Well

Did you know that each week after our live show, Ron and Ed take to the microphone for a bonus show? Typically, this bonus show is an extension of the live show topic (sometimes even with the same guest) and a few other pieces of news, current events, or things that have caught our attention.

Click the “FANATIC” image to learn more about pricing and member benefits. 

Episode #524: Próspera — Interview with Lonis Hamaili

In this episode of “The Soul of Enterprise,” hosts Ron Baker and Ed Kless engage with Lonis Hamaili, Vice President of Growth at Próspera, to explore the innovative concept of startup cities and their potential to revolutionize business environments. Próspera, located on Roatán Island, Honduras, offers a unique platform for entrepreneurs, featuring efficient business setup processes, favorable tax regimes, and a flexible regulatory system designed to foster rapid growth and innovation. The discussion delves into how Próspera’s e-Governance platform enables seamless business management, allowing entrepreneurs to focus on building their ventures. Loni shares insights into the community’s development, the opportunities it presents for startups, and the vision behind creating a dynamic, forward-thinking environment that supports both business and lifestyle aspirations.

NEW SHOW FEATURE: If you want to ask Ron or Ed a question and be featured on the show, please submit a voice recording from any device at https://thesoulofenterprise.com/questions

SHOW NOTES

Segment one

• Our guest today, Lonis, wrote an article called, “Why I Left Silicon Valley for a Honduran Startup City” for FEE. More here: https://fee.org/articles/why-i-left-silicon-valley-for-a-honduran-startup-city/  

• Today I learned that Prospera is the world's only startup CITY with significant legal freedoms. https://www.prospera.co

• What is the perceived advantage of Prospera, the startup city? The key enablers of progress are minimal government, strong property rights, and a lot of personal freedom.

• There are taxes in Prospera but that is their business model. They generate revenue and returns for a shareholder to the extent that they generate enough useful economic activity.

Segment two

• Did you know that Peter Thiel, Sam Altman, Mark Andreessen and Patrick Friedman were involved in some level of funding for Propsera, the startup city? https://www.prospera.co/en/about 

• Paul Romer was an early player in the creation of Prospera, the startup city. He gave a TED Talk called, “Why the world needs charter cities”. More here: https://www.ted.com/talks/paul_romer_why_the_world_needs_charter_cities 

• You can sign up to be an eResident of Prospera and then quickly create a corporate entity as well. They have the lowest barrier to entry for entity creation in the world. More here: https://intercom.help/prospera-c3520d800849/en/articles/8258594-overview-of-e-residency 

• Honduras has north of a 50% poverty rate. Prospera (located in Roatan) brought in $50 million in investments and has generated 3,000 jobs so far.

Segment three

• At a high level, the goal of Prospera as a startup city is to unlock as much economic freedom and prosperity as possible. That’s hard to argue against. https://www.prospera.co/en 

• You do not need to commit to living in Prospera without seeing it. You can visit during an event or a weekend, talk to the startups, talk to the community and meet the leadership team https://www.prospera.co/en/visit 

• There are real estate opportunities in Prospera. Here are some of the current listings: https://share.hsforms.com/1cLK3A6meRdKtxZ8_Wb55aQde980 

Segment four

• Lonis addressed the concerns in this NY Times article titled, “The For-Profit City That Might Come Crashing Down” In the spirit of what Prospera represents, here is the link without a paywall: https://archive.is/pMGIP 

• Prospera gives power to the people and is a decentralized power. It is a grassroots project started by economists and business leaders. As you can imagine, some politicians feel threatened. 

• A big THANK YOU to Lonis Hamaili for joining us today. Prospera is a startup city in Roatan, Honduras that is largely unrestricted and open for business. Learn more here https://www.prospera.co/en 

Bonus Content is Available As Well

Did you know that each week after our live show, Ron and Ed take to the microphone for a bonus show? Typically, this bonus show is an extension of the live show topic (sometimes even with the same guest) and a few other pieces of news, current events, or things that have caught our attention.

Click the “FANATIC” image to learn more about pricing and member benefits. 

Episode #523: Pricing Spineometers — Second interview with Tim Smith

In this enlightening episode, Ron and Ed sit down with Tim Smith, a leading pricing expert and author from Wiglaf Pricing. Together, they dive into the impact of philosopher John Rawls’ Theory of Justice on economic decisions and pricing strategies. Tim shares insights into how Rawls’ principles, like fairness and the “veil of ignorance,” can shape corporate pricing decisions, from the boardroom to the balance sheet. Join us as we explore pricing Spineometers, CEO decision-making, and the ethical considerations behind profitable pricing in today’s market.

NEW SHOW FEATURE: If you want to ask Ron or Ed a question and be featured on the show, please submit a voice recording from any device at https://thesoulofenterprise.com/questions

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SHOW NOTES

Segment one

• Tim Smith last joined us on Nov 4, 2016. Let’s just say that some “stuff” has happened since then. Learn more about Tim at https://wiglafpricing.com/ 

• Tim has a PhD in physical chemistry! Swaps, futures, and other financial derivatives were interesting to him but he wanted to work on something deeper

• Tim referenced his book today, “Pricing Strategy: Setting Price Levels, Managing Price Discounts and Establishing Price Structures” - check it out at this link https://www.amazon.com/Pricing-Strategy-Discounts-Establishing-Structures/dp/0538480882 

• Check out “Unlocking Pricing Potential Using the Pricing Spineometer with Tim Smith”, hosted by friend of the show Mark Stiving @pricingcoach https://www.youtube.com/watch?v=BqlcN3jVJmQ 

Segment two

• A snippet of pricing GOLD from Tim Smith today: Anybody who has to sell something on a long term contract and doesn't know the input cost, and is a significant portion of the price, should consider index based pricing. 

• “There's a feeling among Wall Street and among many executives, that price is simply a function of supply and demand. That you don't need to worry about it. The market will take care of it.” —Tim Smith, pricing expert at Wiglaf Pricing

• Where does pricing belong in an organization? “It's definitely industry dependent. What I want is that pricing person to have a direct line to the CEO.” —Tim Smith

• “When I'm just trying to match supply and demand, what they actually found is that they'll raise the prices for the Uber and but that doesn't actually increase the supply of Uber drivers. It just makes money for Uber.” —Tim Smith

Segment three

• Is dynamic pricing fair? “What's fair is culturally relevant so, in the United States, I can't do price fixing and in Saudi Arabia, I’m encouraged to do price fixing.” —Tim Smith

• “In a global corporation, you can take your best practices that you already have from other countries and apply them back to the wherever you live. And this is the need for building a pricing community within a corporation” —Tim Smith

• Does pricing follow strategy or does it lead it? “It’s both. One of the problems I see often in medical tech is they try to make the best thing in the world. But the ASCs want the cheapest thing. So you have a disconnect of what you're making vs the market

Segment four

• “Under a free market society that’s properly regulated (there's a role for government), anybody who enters into a transaction is doing so because it leaves them BETTER OFF.” —Tim Smith

• “Milton Friedman said the only purpose of a company is to produce profits. That is its job. That is the very definition of a corporate psychopath.” —Tim Smith

• A big THANK YOU to Tim Smith for joining us today. Check out more of his work at Wiglaf Pricing https://wiglafpricing.com/  

Bonus Content is Available As Well

Did you know that each week after our live show, Ron and Ed take to the microphone for a bonus show? Typically, this bonus show is an extension of the live show topic (sometimes even with the same guest) and a few other pieces of news, current events, or things that have caught our attention.

Click the “FANATIC” image to learn more about pricing and member benefits. 

Episode #522: Best Books of 2024

It's that time of year again! Join Ron and Ed as they dive into the standout books of 2024, sharing personal favorites, groundbreaking reads, and thought-provoking titles that shaped our year. From business insights and innovative thinking to inspiring narratives, we'll highlight books that captivated our curiosity and expanded our perspectives. Whether you're looking for your next read or just enjoy book talk, this episode will give you a curated list of must-reads to wrap up the year in style.

NEW SHOW FEATURE: If you want to ask Ron or Ed a question and be featured on the show, please submit a voice recording from any device at https://thesoulofenterprise.com/questions

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SHOW NOTES

Segment one

• We apologize in advance for today’s show. It’s going to cost you money on book purchases and possibly expand your anti-library.

• Number 5 from Ron: The Case for Shareholder Capitalism. We covered this book on show 488. Here’s a link to the book https://amzn.to/3C12J8w

• “On average, investors want more wealth than less.” — from The Case for Shareholder Capitalism https://amzn.to/3C12J8w

• Number 5 from Ed: Unreasonable Hospitality by Will Guidara https://www.amazon.com/Unreasonable-Hospitality-Remarkable-Giving-People/dp/0593418573 

• “Intention means every decision, from the most obviously significant to the seemingly mundane, matters.” — from Unreasonable Hospitality https://www.amazon.com/Unreasonable-Hospitality-Remarkable-Giving-People/dp/0593418573 

Segment two

• Book 4 from Ed: A Gentleman in Moscow by Amor Towles https://www.amazon.com/Gentleman-Moscow-Novel-Amor-Towles/dp/0670026190 

• “If patience wasn’t so easily tested, then it would hardly be a virtue.” — from A Gentleman in Moscow https://www.amazon.com/Gentleman-Moscow-Novel-Amor-Towles/dp/0670026190 

• Book 4 from Ron: Blind Spots: When Medicine Gets It Wrong, and What It Means for Our Health by Marty Makary M.D. https://amzn.to/3DQHM0w 

• Related to book 4 from Ron (see above), we talked about “bad medicine” on episode 178. Here’s the link: https://www.thesoulofenterprise.com/178 

• Book 3 from Ed: The Heart of a Cheetah: How We Have Been Lied to About African Poverty, and What That Means for Human Flourishing by Magatte Wade https://www.amazon.com/Heart-Cheetah-African-Poverty-Flourishing/dp/B0CM925P1L 

• We interviewed Magatte Wade on episode 486 https://www.thesoulofenterprise.com/486 

Segment three

• By the way, Ron and Ed do NOT share their best book lists prior to the live recording. They BOTH picked “The Heart of a Cheetah” by Magatte Wade as number 3 on their list

• “Businesses create jobs. Jobs pay people money. And when Africans have money, they will no longer be poor.” —Magatte Wade https://amzn.to/4gO52Lj 

• Book 2 from Ed: Orbiting the Giant Hairball by Gordon MacKenzie https://www.amazon.com/Orbiting-Giant-Hairball-Corporate-Surviving/dp/0670879835 

• Book 2 from Ron: A Higher Call: An Incredible True Story of Combat and Chivalry in the War-Torn Skies of World War II by Adam Makos and Larry Alexander https://amzn.to/3WdiKPI 

Segment four

• Book 1 from Ed: Flannery O’Connor’s Why Do the Heathen Rage? by Jessica Hooten Wilson https://www.amazon.com/Flannery-OConnors-Heathen-Behind-Scenes/dp/1587436183 

• Book 1 from Ron: The Israel Test: How Israel's Genius Enriches and Challenges the World by George Gilder (Ron’s mentor of 43 years!) https://amzn.to/4j78O3P 

• All books with links will be available at TheSoulOfEnterprise.com by Monday morning! Just use this link https://www.thesoulofenterprise.com/522 

• In 15 seconds or less, you can RATE THIS PODCAST. If you leave a written review, we will read it on the air; good, bad, or indifferent. https://ratethispodcast.com/TSOE 

Bonus Content is Available As Well

Did you know that each week after our live show, Ron and Ed take to the microphone for a bonus show? Typically, this bonus show is an extension of the live show topic (sometimes even with the same guest) and a few other pieces of news, current events, or things that have caught our attention.

Click the “FANATIC” image to learn more about pricing and member benefits. 

Episode #521: 2024 The Year in Review

In this annual tradition, Ed and Ron look back on 2024, unpacking the year's most impactful trends, business transformations, and economic shifts. From breakthroughs in AI to evolving tax regulations and the latest developments in technology, they reflect on the standout themes that defined this year. Tune in as they explore what these changes mean for the future, the insights gained along the way, and the lessons learned. Perfect for listeners who want to capture the essence of 2024's business landscape in one insightful episode.

NEW SHOW FEATURE: If you want to ask Ron or Ed a question and be featured on the show, please submit a voice recording from any device at https://thesoulofenterprise.com/questions

Join us every Friday at 3pm ET / 12pm PT

• You can listen live at TheSoulOfEnterprise.com/live (the podcast is available just a few hours after the show airs live)

• You can also participate live on Twitter using the hashtag #AskTSOE and the Twitter account @asktsoe

• Prefer email? Shoot us a note at asktsoe@verasage.com

As always, please check our website for upcoming and previous show notes and recordings, use Twitter to find the show at @AskTSOE or find us on Facebook.

The Soul of Enterprise show hosts, Ron Baker and Ed Kless, are on X (the artist formerly known as Twitter) at @ronaldbaker and @edkless, respectively (and obviously).

Episode Reprise: Business Lessons from A Christmas Carol

NEW SHOW FEATURE: If you want to ask Ron or Ed a question and be featured on the show, please submit a voice recording from any device at https://thesoulofenterprise.com/questions

SHOW SUMMARY:
[EDITOR’S NOTE: Originally aired December 2015!]

On this episode, Ron and Ed explore the business lessons from one of the most recognized and beloved stories shared during the holidays, Charles Dickens’ novella, A Christmas Carol. While many of you know the story and seen one or more of the adaptations, many fewer of you have read the original work which, like most of Dickens, an absolute joy to read and has much to say about business practices.

Bonus Content is Available As Well

Did you know that each week after our live show, Ron and Ed take to the microphone for a bonus show? Typically, this bonus show is an extension of the live show topic (sometimes even with the same guest) and a few other pieces of news, current events, or things that have caught our attention.

Click the “FANATIC” image to learn more about pricing and member benefits. 

Episode #520: Christmas Special — Fireside Chat with Greg "Kris Kringle" Kyte

NEW SHOW FEATURE: If you want to ask Ron or Ed a question and be featured on the show, please submit a voice recording from any device at https://thesoulofenterprise.com/questions

SHOW SUMMARY: In this episode of The Soul of Enterprise, hosts Ron and Ed welcome back Greg Kyte, a CPA, MBA, and stand-up comedian renowned for his unique blend of accounting expertise and humor. As the G. Robert Newhart Non-value-added Fellow at the VeraSage Institute, Greg has been performing stand-up comedy since 2002 and is the creator of "Exposure Drafts," a cartoon series for the accounting profession. He also co-hosts the podcast "Oh My Fraud" with Caleb Newquist, where they explore financial fraud cases with an irreverent twist. In this lively discussion, they delve into the art of humor in business, the intersection of comedy and accounting, and the importance of engaging content in professional education. Greg shares insights from his experiences as a comedian and educator, offering valuable perspectives on making complex subjects accessible and entertaining.

ABOUT GREG KYTE
Greg Kyte is the G. Robert Newhart Non-value-added Fellow at VeraSage Institute.

In 2016 I started Exposure Drafts, a cartoon series for the accounting profession. My cartoons have been featured on GoingConcern.com, and I've created custom cartoons for Intuit and the Thriveal CPA Network. My cartoons are also available as holiday cards from RuBook Creative (rubookcreative.com).

I've been performing stand up comedy since 2002, and I've brought that experience, energy, and humor to the stage as the emcee for Xero's Xerocon and Thriveal's Deeper Weekend conference, and this October to Gusto's Gusto Next conference.

My experience as a comedian and as a teacher (I taught junior high math for ten years in a former life) have allowed me to create entertaining, engaging, NASBA-certified CPE content. Literally tens of thousands of CPAs have attended my fraud and behavioral ethics courses on the CPA Academy and Encoursa platforms. I've also created custom CPE content for Gusto and Xero.

I'm also a licensed CPA in the State of Utah where I'm the controller for a group of medical office buildings.

SHOW NOTES

Segment one

• For the last 5 years, Greg Kyte has been joining us for our Christmas episode. He's back and he's hoarding medicine from the local pharmacy which makes total sense (or none at all).

• Greg has been a part of a few hilarious videos over the years. Check out Bob’s BBQ: https://www.youtube.com/watch?v=OJv5xIFcRXU 

• Some other great videos from Greg: Great Moments in Value Pricing History part I: https://www.youtube.com/watch?v=kU-XJzRINIk 

• Great Moments in Value Pricing History part II: https://www.youtube.com/watch?v=Ky307jkr8dE

• Exclusive breaking news on The Soul of Enterprise: Greg Kyte will be stepping away from Oh My Fraud! beginning in 2025. He very much enjoyed it and expands on some of the reasons in segment one of the show today. 

Segment two

• Here’s another great video mentioned by Greg Kyte today: Billable Hour Scratch & Win https://www.youtube.com/watch?v=3EaVMhENXVM  

• Rita Crundwell was the subject of an episode of Oh My Fraud! President Biden just commuted her sentence. https://ohmyfraud.com/episodes/dont-look-a-fraud-horse-in-the-mouth 

• So how did Rita Crundwell end up getting caught? It started when she took a vacation and her subordinate raised a flag (not knowing what they were stumbling into).

• From Greg Kyte today: “So often these people who perpetrate frauds are people who have developed trust over a period of time.”

Segment three

• Did you know that Greg Kyte and Caleb Newquist did an episode of Oh My Fraud! about Greg’s workplace early in his career??? https://ohmyfraud.com/episodes/financial-foul-play-a-true-tale-from-greg-s-workplace 

• “It's not unethical to drive faster than 55 miles an hour, but at one point it was illegal to do so. That's the clearest example when we get to talking about morals versus ethics.” —Greg Kyte

• From Greg today on the difference between ethics and morals: Ethics are, “Am I doing something that's wrong?” Morals are, “Am I doing the right thing?”

• From ChatGPT: Think of morals as your personal sense of right and wrong, your internal compass. Ethics are more like the rules or guidelines for behavior in a group, profession. or society.

Segment four

• A book discussed on the show: “Would You Kill the Fat Man?: The Trolley Problem and What Your Answer Tells Us about Right and Wrong” https://www.amazon.com/gp/product/0691154023/ref=as_li_qf_sp_asin_il_tl?ie=UTF8&camp=1789&creative=9325&creativeASIN=0691154023&linkCode=as2&tag=verainst-20&linkId=EDZV2KLDBF2CRXSI 

• “Utilitarianism: the whole idea of the greatest good for the greatest number. That's very hard to argue against from a philosophical standpoint.” —Greg Kyte

• Towards the end of the show, Ron and Greg had a conversation about backing into religion to defend an ethical position. You should listen because X/Twitter is really not the place for this. :)

• A big THANK YOU to Greg Kyte for joining us today. He’s our annual Greg “Kris Kringle” Kyte guest once again!

Bonus Content is Available As Well

Did you know that each week after our live show, Ron and Ed take to the microphone for a bonus show? Typically, this bonus show is an extension of the live show topic (sometimes even with the same guest) and a few other pieces of news, current events, or things that have caught our attention.

Click the “FANATIC” image to learn more about pricing and member benefits. 

Episode #519: Instant Profits — Third interview with Mark Stiving

NEW SHOW FEATURE: If you want to ask Ron or Ed a question and be featured on the show, please submit a voice recording from any device at https://thesoulofenterprise.com/questions

SHOW SUMMARY: In his third appearance on The Soul of Enterprise, pricing expert Mark Stiving, Ph.D., returns to share new insights on maximizing profitability through value-based pricing strategies. As the founder and CEO of Impact Pricing, Mark guides businesses toward understanding and articulating their value, so they can stop leaving money on the table. Join Ron and Ed as they dive deep into Mark’s expertise on aligning organizations around value creation, optimizing pricing structures, and tackling the nuances of customer willingness to pay.

ABOUT MARK STIVING
Mark helps companies discover how buyers perceive value and how to price offerings to capture more of the value they create. For over 25 years he has studied, led and coached businesses through the lens of pricing, a radically different approach from other business experts. He knows that every person inside your company affects the price a buyer is willing to pay. The prices you achieve ultimately indicate how well the entirety of your company operates. Mark has driven a company-wide pricing initiatives worth hundreds of millions of dollars in incremental profit. He started and sold three companies, improving his championship pricing skills in each one. Mark will change the way you and your audience think about pricing and business as a whole.

SHOW NOTES

Segment one

• So why is Mark joining us for a 3rd time on the show? He is still driven by changing the way you think about pricing and customers. And he’s written another book about it. https://impactpricing.com/instant-profits-book/ 

• Mark’s new book is called Instant Profits and Mark starts right up front with, “this book is about 1/10 the number of words in my other books, yet it's priced five times higher.”

• “Don't go raise all your prices to all your customers. The whole premise of the book is choose the right customers, the right products, the right situations." —Mark Stiving, author of Instant Profits https://impactpricing.com/instant-profits-book/ 

• “So if we could actually articulate what we do and the value we're going to deliver to our customers, we have room to raise prices.” —Mark Stiving

Segment two

• “If you haven't raised your prices over the last four years you have given your customers a 23% discount and gotten zero credit for it.” —Mark Stiving

• There are three profit drivers: price, sales volume, and cost. Two of those are negatively impacted by inflation… If that sounds interesting to you, check out Hermann Simon’s book Beating Inflation https://www.amazon.com/Beating-Inflation-Concrete-Effective-Corporate/dp/3031200926 

• From Mark today: Consumers are less size sensitive than they are price sensitive. In the B2B world, find features that only a few of your customers are using. Take that feature out of the product, and leave the price the same. Then create a new tier.

• Did you know that Mark Stiving publishes a Monday newsletter on LinkedIn? Link is here: https://www.linkedin.com/newsletters/mark-stiving-s-newsletter-6929460546874355712/ 

Segment three

• Regarding ChatGPT Pro at $200 per month: ”I thought it was brilliant because what it says to me is that there's a group of people out there that are getting so much value out of ChatGPT and they've they figured out who they are and what they're doing.” —Mark Stiving

• “How much value do I think that specific customer is going to get from this specific product and this specific application? As AI is able to help me figure that out then I'm able to do pricing better.” —Mark Stiving

• What does Mark think is going to be the continuing impact of behavioral economics on pricing? “Behavioral economics has probably reached its peak in terms of how much is going to influence pricing.”

• What are your thoughts on, on freemium options? I think you've got to have a really clear business case to say freemium makes sense. Freemium is really a marketing tactic. It's not a pricing tactic.” —Mark Stiving

Segment four

• Does pricing follow strategy or vice versa? “We need a corporate strategy and, once we have that strategy, we can figure out what pricing model fits best with that strategy.” —Mark Stiving

• “When we start thinking about price and stop thinking about value then we stop thinking about how we serve our customers. Buyers trade money for value.” —Mark Stiving

• A big THANK YOU to Mark Stiving for joining us today. Please check out his new book, Instant Profits (it’s a quick, fun read). You can find it at this link https://impactpricing.com/instant-profits-book/ 

Buy on Amazon

Bonus Content is Available As Well

Did you know that each week after our live show, Ron and Ed take to the microphone for a bonus show? Typically, this bonus show is an extension of the live show topic (sometimes even with the same guest) and a few other pieces of news, current events, or things that have caught our attention.

Click the “FANATIC” image to learn more about pricing and member benefits. 

Episode #518: Trends in the Transformation Economy with Christophe Jauquet

NEW SHOW FEATURE: If you want to ask Ron or Ed a question and be featured on the show, please submit a voice recording from any device at https://thesoulofenterprise.com/questions

SHOW SUMMARY: Ron and Ed welcome Christophe Jauquet, an expert in health and well-being innovation, to discuss his latest book, The Transformation Economy. Christophe delves into how businesses are evolving to focus on experiences that meaningfully impact people’s lives. From redefining customer engagement to fostering personal growth, Christophe shares insights on the “transformation economy” concept and its implications across industries. Join us for a fascinating conversation on creating value beyond products and services in today’s market.

ABOUT CHRISTOPHE JAUQUET
With over two decades in business management, Christophe Jauquet expertly navigates the intersections of Customer Centricity, Innovation, and Future trends. He keenly tracks groundbreaking innovations, social-cultural shifts and health-related behaviours to decipher what they mean for your business strategy. Leveraging this profound understanding, Christophe has been delivering transformational keynotes since 2014, guiding the future direction of numerous business strategies in diverse sectors—from retail, beauty, and insurance to consumer goods, construction, pharmaceuticals, and tech. At the core of his vision is the belief in integrating health into every business strategy.

SHOW NOTES

Segment one

• As a teenager, it was fashion. At university, it was economics. As a career, it was Pharma. Pull those three things together, and you have the blueprint for how Christophe became Christophe. More here: https://www.christophejauquet.com/blog 

• “Health care is always considered a vertical, a business, a sector. I in my first book, tend to argue for saying that the business of health is actually a transversal business.” —Christophe Jauquet https://www.christophejauquet.com/healthusiasm 

• Christophe referenced the 4 pillars of health on the show today. Loosely translated from French, they are exercise, good nutrition, relaxation, and sleep. 

• “Because there is no differentiation [in the gym industry], it's hard to battle on price and to win on price. So people lower their price to win…UNLESS you can provide an experience” —Christophe Jauquet

Segment two

• “Basically everything that that is in the book and the way that it looks is comes from my soul and the way that I wanted it to look” —Christophe Jauquet. What book? This one! https://www.christophejauquet.com/transformationeconomy 

• Regarding your health: “You can be who you want to be thanks to technology.” —Christophe Jauquet https://www.christophejauquet.com/healthusiasm 

• Have you considered combining life aspirations and achievements? Never hesitate to combine those two things, especially when they're complimentary. Christophe Jauquet wrote about this in his second book. More here https://www.christophejauquet.com/healthusiasm

Segment three

• TIL: A digital twin is a digital copy of either an object, a human, or even the entire world. The idea behind it is that you can use a digital twin to do tests or to better understand what is happening in the real version of the twin.

• “I think what is very remarkable about femtech is that they solve something which was happening for a long time in health and healthcare which is that we did not pay enough attention to women” —Christophe Jauquet

• “We work our entire year for one or two trips a year. So everything that we invest there, we It must bring back a lot of value. And so the travel industry has always been put under pressure to bring enough value to their customers” —Christophe Jauquet

Segment four

• “One of the earliest things that I've learned from AI is that it's a wonderful partner to brainstorm with.” —Christophe Jauquet

• “If you want to have an offering to be successful, you need to answer needs. You need to answer expectations, and you need to answer the transformations or the aspirations that people have” —Christophe Jauquet

• A big THANK YOU to Christophe Jauquet for joining us today. Check out his new book, Trends in the Transformation Economy, at this link: https://www.christophejauquet.com/transformationeconomy 

Buy on Amazon

Bonus Content is Available As Well

Did you know that each week after our live show, Ron and Ed take to the microphone for a bonus show? Typically, this bonus show is an extension of the live show topic (sometimes even with the same guest) and a few other pieces of news, current events, or things that have caught our attention.

Click the “FANATIC” image to learn more about pricing and member benefits.