A New Way to Think

11

Talent

Feeling special is more important than compensation.

In the traditional model of business-building, talented and visionary entrepreneurs borrowed capital, hired labor, and purchased raw materials to create products or services. If their ventures succeeded and they created more value than it cost them to make the products or services, they became capitalists themselves, investing (or borrowing against) the profits they earned in order to expand their businesses.

With the broad expansion of markets in capital in the late nineteenth century, that model changed. Outside capital became more readily available to grow businesses, and increasingly the entrepreneurial model was, in the main, displaced by a model in which professional managers ...