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Do Anything Exceptionally Well (even if you were starting out) | Ep. 1002

Alex Hormozi, founder of acquisition.com with $250 million in aggregate annual revenue, shares his philosophy on rejecting industry standards to achieve extraordinary results. He broke the Guinness World Record for fastest-selling nonfiction book with a $106 million weekend launch.

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Alex Hormozi episode thumbnail: Do Anything Exceptionally Well (even if you were starting out) | Ep. 1002
Alex Hormozi
Key Takeaways
  1. 01

    Hormozi's book launch generated $106 million in a weekend, breaking the Guinness World Record for fastest-selling nonfiction book

  2. 02

    His portfolio companies at acquisition.com generate $250 million per year in aggregate revenue across multiple industries

  3. 03

    "Profit is unnatural" - billionaire mentor explained that success has constant pressure of normalcy fighting against it

  4. 04

    Industry standards are handicaps that competitors use while thinking they're doing well - reject them to win

  5. 05

    "You get what you tolerate" - the person with highest standards should run every department or division

  6. 06

    Attack problems with multiple vectors: "It's about trying to accomplish the same goal with a hundred different iterations"

  7. 07

    Jeff Bezos' final Amazon letter emphasized: "The world wants you to be typical. Don't let it happen."

  8. 08

    Unless physics prevents it, consider limitations as mental handicaps your competition accepts as law

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Alex Hormozi, founder of acquisition.com with $250 million in aggregate annual revenue, shares his philosophy on rejecting industry standards to achieve extraordinary results. He broke the Guinness World Record for fastest-selling nonfiction book with a $106 million weekend launch.

The conversation centers on why "industry standards" are handicaps that keep businesses average, using examples from a $500 million company consultation and portfolio company decisions. Hormozi argues that holding unreasonably high standards is the key differentiator between winning and losing.

He concludes with Jeff Bezos' final Amazon letter, which quoted extensively from The Blind Watchmaker by Richard Dawkins to illustrate how organizations must actively work to maintain their distinctiveness against the world's pressure toward normalcy.

Why Industry Standards Keep You Average

During a consultation with a $500 million company, an executive repeatedly defended poor performance by saying "we're industry standard" - Hormozi responded: "Do you wake up in the morning and just say, I want to be an average company?"

"The average business is average, the average American is overweight, they're in debt, they're divorced, they're depressed" - using industry averages means accepting mediocrity as the benchmark

"You get what you tolerate. You get what you accept and deem good enough. You are the standard setter" - this is the highest and most important job in any company

The Unnatural Nature of Profit and Success

A billionaire mentor taught Hormozi that "profit is unnatural" - it's common for people to spend money when it's available, which is why most people don't have money

"Success has this constant pressure of normalcy that fights against it" - someone must hold the line and refuse to spend more while continuing to make more

The goal is to "get more customers and we will not hire more people. We will find a way to service these customers better than we did our last customers without adding headcount"

Multiple Attack Vectors for Problem Solving

A portfolio company leader planned to hire 15 sales reps over 3 months (5 per month) to add $4 million in quarterly profit - Hormozi challenged: "Why can't we do it in a month?"

The solution emerged when senior team members could each onboard 3-5 new hires, compressing the timeline from 3 months to 1 month

"You can tell how good someone will be as an entrepreneur by the standards they keep for themselves" - measured by how many attack vectors they use to solve problems

Examples of multiple approaches: "Can we reach out to our network and give a $100,000 bounty for another SDR? Is there a company with a large SDR team that doesn't make as much as that so we can buy?"

Physics vs Mental Handicaps

"Unless the laws of physics prevent it, consider it mental handicaps that your competition gets to live by and measure themselves by"

Steve Jobs putting a phone book on the desk saying "it has to fit in there" and Elon Musk asking "Break it down to physics. Why can't we do this?" exemplify this approach

"If another company who's 20 times our size can hire 100 people a day, why is it taking us a year to do it?" - question the costs you're choosing not to bear

Bezos' Final Letter on Distinctiveness

Jeff Bezos' final Amazon letter quoted extensively from The Blind Watchmaker by Richard Dawkins: "Staving off death is a thing that you have to work at"

"The world wants you to be typical. In a thousand ways, it pulls at you. Don't let it happen. You have to pay a price for your distinctiveness, and it's worth it" - Bezos

The Blind Watchmaker explains that living things must "work actively to prevent" merging into their surroundings - "When they die, the work stops"

"It will take continuous effort, but we can and we must be better than that. You have to hold the fucking line" - Bezos' closing message to Amazon

Breaking World Records Through Unreasonable Standards

Hormozi's book launch "outsold Prince Harry, Obama combined within 24 hours" by applying unreasonable standards to every physical constraint

When asked "what if we don't hit the goal?" Hormozi responded: "We dare greatly, motherfucker. That's the point"

The process: "What physical law of reality prevents us from selling this many books?" - then solve for power, internet, inventory, logistics, and audience reach

"In order to have an outsized return at anything, you have to bet against conventional wisdom" - either you're an idiot or you're right and early

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