Showing posts from May, 2008

Evolution of Applications and Bandwidth

Let's go back in time just a few years. The days when social networking was done in person:-)Think about the dial-up/AOL days. There was not much you could do on the Internet except email and read web pages (Web 1.0). In those days average speed was less than 56kpbs and now the average broadband speeds in the US are between 2Mbps and 5Mbps . Even if you take the lower number i.e. 2Mbps it is 35x increase over what we had 10-12 years ago. The new applications have increased in the same proportions. For example-Youtube, social networking, Grid computing, online gaming, flickr, tagging, blogs, movie downloads, second life, etc. etc. And, Web 1.0 has evolved to Web 2.0 . Most of these applications evolved to become popular (widely adopted) because of increased bandwidth availability. Similarly there are applications (mutations) being created today which will evolve to become popular when the bandwidth availability increases from the current levels. Bandwidth and Applications create an

55 Learnings from Warren Buffett and Charlie Munger

Friends, after attending the Berkshire Hathaway shareholder meeting last year , I went back again this year with my friend, Shriniwas. Once again, it was a wonderful experience. Please see the notes/learnings below: 1. Read everything in sight. It is the best way to learn. 2. You only have to remember three principles to become a good investor: i) You are buying part of the business when you buy stocks (so, understand the business you are buying) ii) Leave margin of safety (i.e. if you think a business is worth $100, buy it at $60 and not at $99) iii) Market is there to serve you and not to instruct you (use the market to buy undervalued businesses) 3. The reason good investing principles are not taught in business schools and the complex formulas are taught is that people like to teach what they know and not necessarily what the students need to know. E.g. If someone told you that all biblical studies boil down to 10 commandments and that is all you need to be taught th

Improving human relations

One of my yearly objectives this year is to get better at forming emotional connections with people. So, I read a book which Warren Buffett read to become one of the most admired business leaders. It is a book published in 1931 called How to win friends & influence people by Dale Carnegie. Although I have been practicing most of the principles, I have slipped few times:-) It is amazing that the book was published 77 years ago and the principles are still effective. I have listed the principles below. Please keep in mind that some of the principles may not work outside the US. Fundamental techniques in handling people: 1. Don't criticize, condemn or complain 2. Give honest and sincere appreciation 3. Arouse in the other person an eager want Six ways to make people like you: 1. Become genuinely interested in other people 2. Smile 3. Remember that a person's name is to that person the sweetest and most important sound in any language 4. Be a good listener. Encourage others