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And it was like everyone showed up to practice.

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Everyone tried their hardest.

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It was the effort and the consistency

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and the alignment of the team that accomplished the goal.

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The rules were the same.

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Everyone was trying to do the exact same thing.

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The wealthiest people in the world see business as a game.

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This podcast, the game, is my attempt

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to document in the lessons I've learned

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on my way to building acquisition.com

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into a billion dollar portfolio.

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My hope is that you use the lessons to bring your business

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and maybe someday soon,

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partner with us to get $200 million in beyond.

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I hope you share and enjoy.

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So when I was just starting out in my gym lunch business,

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I had a gym owner who said,

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hey, let's partner on this.

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Like you keep filling these gyms up with full capacity.

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Why don't you just fill them and I'll come behind you

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and operate them.

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And I had a gym that was doing $4.2 million a year.

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This is what he was telling me.

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And I really know how to operate the business,

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you know all the acquisition stuff.

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So let's just partner up on this.

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And I said, sure, sounds fair enough.

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It ended up being a horrible partnership,

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but that's not the point of the video.

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The point is what I learned.

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All right, and so we had two locations

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and the newest location had a whole new staff

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and they were just lack of days.

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They weren't caring, they weren't really doing a good job.

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And he said, we need to have a meeting.

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And I was like, okay.

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And so he said, we have a meeting at the first location,

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call everyone there, tell them to show up at four o'clock.

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And the first location was probably like 45 minutes away

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from the second location, right?

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And so at four o'clock,

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so everyone's coming in,

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everyone's sitting down,

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it's kind of awkward, it's silent,

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there's clearly like some tension, right?

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And so at four o'clock, he looks at his assistant,

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he says, hey, go down to the front, lock the door,

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right, of the gym.

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And she's like, okay, so she goes and locks the door.

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Mind you, some people hadn't shown up to the meeting yet,

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right, there were a couple minutes late, whatever.

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And so all of a sudden, as they lock the door,

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like it's 30 seconds later,

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someone's like banging on the door

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and it's like, hey, open the door.

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And he's like, ignore him.

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And they were like, why aren't you letting me in?

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Cause obviously there's a meeting going on, right?

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And then another person comes, knocks on the door,

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another person comes, knocks on the door.

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And then there's like three or four people,

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and they're like, what the hell,

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why aren't you letting the door or whatever, right?

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And so he tells his assistant, he says, go outside

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and tell them they're all fired.

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And he says this before he starts the meeting.

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And so I'm sitting there, right?

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And everyone in the room is like, oh shit, right?

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He just set the tone, all right?

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And he reset the bar.

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And I remember witnessing this and being like, wow.

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So what he did was he reset the bar of this is how we perform.

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When we say we're going to be somewhere,

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we're going to be somewhere at that time.

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If we say we're going to clean up after the session,

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we're going to clean up after the session.

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If we say we're going to fall up with leads,

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we fall up with leads.

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And what I have figured, and I'm going to tell you one more story,

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and then I'm going to tell you the moral of both of them, all right?

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So pause on that for a second.

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Now, when I had my first job,

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I was a, actually, I think it was my first job.

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I was a blender tender at Smoothie King, all right?

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And so I learned a lot about what to do and what not to do

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when I was at this business.

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And it was a small business owner.

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I think he had two locations, three locations at the time.

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His name was Dave, really nice guy.

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It's up Dave.

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And I went, and I was trained personally by Dave.

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So Dave trained me.

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And I was, you know, enterprising young man.

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I wanted to do a good job.

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And so I showed my first day at work

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at one of his newer locations.

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And, you know, after, you know,

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between people walking in,

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you were supposed to like mop the floor, clean the counters,

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like just clean it, just make it look good,

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restock the shelves.

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And so I started doing that when someone walked out the door.

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It was my first shift, right?

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And the manager was like, what are you doing?

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And I was like, I thought, I was worried, I was in trouble.

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So I was like, I thought I was supposed to,

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am I not supposed to restock the shelves?

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Like I thought I was supposed to do that right now

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because like there's no one here.

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And he was like, oh, yeah.

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You don't even know where about that.

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He's like, we don't do any of that stuff.

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And I was like, oh, okay.

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Boom, new cultural norm, all right?

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So what I was supposed to do,

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and what the owner had trained me to do.

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And then was always complaining

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about how no one ever did what was supposed to do.

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The manager was telling me that I didn't need to do that stuff,

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all right?

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And what I learned from this, right?

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And I'll just call that manager John, right?

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Actually, I'll call the manager Vince.

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Vince is the name I'll use.

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So I said, so do you in your business have events?

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Are you the Vince in your business?

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Do you have someone in your business that's the Vince

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that's secretly destroying your business?

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All right?

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So let's rewind to the original story

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about the first demo that I was talking about.

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So think about the difference

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between both of those styles of management.

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I'm not saying the first is right or the second is right,

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whatever.

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The second one's definitely wrong, right?

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But when you look at that,

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what it was setting the tone.

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And the reason that my views on business

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have dramatically shifted is that I have always had a tendency

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to lean towards strategy, acquisition, monetization,

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pricing structures, and all of that stuff is important.

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But I think within a business,

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there are two components to it.

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You've got the smarts and you've got the hearts.

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And you have to have both.

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Real quick guys, if you can think about

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how you found this podcast,

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somebody probably tweeted it, told you about it,

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shared it on Instagram, or something like that.

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The only way this grows is through word of mouth.

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And so I don't run ads, I don't do sponsorships,

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I don't sell anything.

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My only ask is that you continue to pay it forward,

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whoever showed you or however you found out about this podcast

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that you do the exact same thing.

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So if it was a review, if it was a post,

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if you do that, it would mean the world to me

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and you'll throw some good karma out there

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for another entrepreneur.

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And I think that most people overestimate

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the importance of smarts, myself included.

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And I think that there's a lot to do with the hearts

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because business strategy overarchingly

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is not that complex.

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But like you really think about it, right?

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It's like, you gotta find something that's good

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that people want and you sell it for a lot more

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than it costs you to do it.

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And you do as much of that as you possibly can.

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Like that's kind of the idea, right?

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And the thing is, it gets lost in the execution.

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It gets lost in the doing, right?

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As soon as you hire your first employer,

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like no, employees can't do what I can do.

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It's like, well, that's a horrible belief.

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She should probably change that before we try and move forward.

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That's a limiting belief, right?

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Do you wanna have a big business?

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And so when I think about this from a cultural standpoint,

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and this is what has shifted for me,

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is that it's become so much more about the soft skills.

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It's so much more about coaching

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and developing the leaders of the company.

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It's so much more about addressing behavioral dynamics

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of someone that are limiting them,

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more so than it is about tinkering.

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And I can't help but think that so many entrepreneurs,

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myself included, I spent so much time tinkering

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and tweaking things.

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What if we change this in our sales process?

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What if we change this on this page?

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What if we change the offer like this?

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What if we change this on the price?

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What if we change this on the payment terms?

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Bob, all these different things, right?

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And think about this for a second for yourself.

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How many things have you tinkered with

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in your business over the last how many years?

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How many months?

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And your business hasn't changed at all, right?

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Because the real problem is not the strategy.

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The problem is not the smarts, right?

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The problem is the heart, right?

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The people are not doing what you want them to do

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because they don't understand why they need to do it

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and why it's important, right?

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And that's the soft stuff.

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And you've got people who don't wanna talk to each other

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because they don't like each other

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because one guy's really annoying.

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And so it's like, it would be,

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it would better serve you to fix that problem

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than to try and come up with some new strategy, right?

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And so realizing that has been one of the biggest breakthroughs

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that I've had in my career

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and those two stories should illustrate the difference

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between having a championship mentality

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and having a loser mentality

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and what might be going on in your business.

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And I'll leave you with one more story really quickly.

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So if any of you has ever been on a championship team, right?

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If you've ever played in a sports arena or whatever

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and you've been on a winning team,

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you've been on a losing team, right?

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And you've probably been on a losing team

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than a lot of good players,

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but you guys were not connected,

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you weren't concerted, you weren't aligned, right?

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And on the flip side, you had a winning team

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and it was like everyone showed up to practice.

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Everyone tried their hardest.

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It was the effort and the consistency

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and the alignment of the team that accomplished the goal.

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The rules were the same.

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Everyone was trying to do the exact same thing.

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And so when you think about the entire business landscape,

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right, your competitors have access more or less

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to the same talent pool that you do.

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They can see what your strategy is overall

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and most people are not that dumb, right?

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And so as long as you have a relatively sound strategy,

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like you're not selling things a little lost, right?

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Then the difference between the two

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is going to be your ability to execute

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and have people execute on your behalf.

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And so that's going to become that like for us to CEOs,

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we do shift towards becoming championship team coaches,

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which is why John Wooden, if he had run a business,

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would have had a championship business

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because he focused on the fundamentals.

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And one of my favorite things the whole time is,

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advance people never don't do the basics.

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Advance people never don't do the basics.

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I would go to these stages and I would watch guys get on stage

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and they'd say, we follow up with all of our leads,

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within five minutes, when we get on sales calls,

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we always ask them why they're there.

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We label them a problem.

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We overview some of the pastings they've done

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and then they follow a clear framework.

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Then as soon as someone buys,

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we have a good onboarding process.

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And nothing they say is revolutionary.

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It's just that they actually do it

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and that people are actually on their behalf.

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They're not the vents or don't have a manager like Vince

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who's telling them that they shouldn't have to do that work,

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who's sabotaging the business.

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What they did is they set the tone

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and then they carry the bar.

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And so their job is to be intolerant

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of anything but excellence and to reinforce that

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in the call show so that it's consistently executed

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across the company because that,

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between two companies, with the same strategy,

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will make the difference between somebody

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who uses disproportionate returns and advertising,

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crazy profits, good growth,

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great retention on employees, low turnover

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from a company that doesn't have that, right?

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Even though they both have the same strategy

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or even if the smaller company has the better strategy,

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this guy will win.

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And this has been one of the most profound shifts

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that I've had as a CEO and now owner of companies

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is what I'm looking for is I'm looking for just as much soft,

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if not more soft skills, interpersonal dynamics,

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self-awareness, then I look for skill in particular,

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like this guy's really good at finance,

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which is a really good product.

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This person's really good at marketing sales.

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Like I'm looking way more for character traits now

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and now that I think about it,

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when if you're thinking about yourself, right,

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then I would look in the mirror and say like,

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am I really, are we always doing the basics?

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Because if we always do the basics, we will be advanced

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because that is what advanced people do,

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is they never don't do them

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and they have a culture that reinforces that standard.

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So I hope you enjoyed the first story,

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I hope you enjoyed the Vince story,

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make sure you don't have any advances in your business.
