The Prof G Pod with Scott Galloway - Office Hours: The Paradox of Choice, Dating Advice, and the Value of an MBA for Entrepreneurs

Episode Date: August 24, 2022

We're revisiting some of our favorite questions and answers from past episodes. Scott answers a question about how Trader Joe’s has succeeded without offering delivery or online shopping. He then gives dating advice to the young and single in an era of dating apps, and offers his thoughts on why business school is still worth it, even if you just want to work for yourself. Learn more about your ad choices. Visit podcastchoices.com/adchoices

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cards, savings accounts, mortgage rates, and more. NerdWallet, finance smarter. NerdWallet Compare Incorporated. NMLS 1617539. Welcome to the PropGPOD's Office Hours. This is the part of the show where we answer your questions about business, big tech, entrepreneurship, and whatever else is on your mind. The dog is on vacation, so today we're running a few of our favorite questions from past episodes. If you'd like to submit a question for when we get back, please visit officehours.profgmedia.com. Again, that's officehours.profgmedia.com. First question.

Hi, Professor Galloway. My name is Eliana, and I've been listening to you since I found Winners and Losers back in 2017. So I live in the New York area in Westchester. And one thing I noticed during the pandemic is that while plenty of supermarkets around us were offering online shopping and delivery, Trader Joe's never did such a thing. Now, you mentioned in your writings that the grocery sector, in order to stay relevant to any particular chain, will need to offer online shopping and delivery. That seems to make a lot of sense. The question is, how is it that Trader Joe's has been able to buck this trend? How come they seem to be this exception to the rule, remaining afloat while remaining a brick and mortar based company? Can other supermarkets or stores of other kinds replicate their success? If so, how? Thank you so much. That's a really interesting question. It kind of flies in the face of everything we've been

talking about. I think Trader Joe's, simply put, is an inspiration. I have a lot of personal goodwill for Trader Joe's. My mom and I used to go to Trader Joe's in the 70s in the San Fernando Valley, and it was fun. I would go to these huge wood buckets of chocolate-covered almonds and cashews, and my mom would say, okay, you can get a quarter pound, and I would sit there with my scoop saying, okay, a few of these nuts and a few of this chocolate-covered cash, whatever it was. And my mom would go get great wine for like what we thought was great wine. My mom never made more than $40,000, but we just loved it. And I see Trader Joe's now. I see a line around the block for it.

They've done such a fantastic job. And what they've said is rather than investing in the supply chain, they're going to invest in the experience. I think all of retail is kind of bifurcating into what I'd call extreme convenience. And that is an unemotional, super adroit experience where you just get what you need at a great price delivered to your home, Amazon, right? Or it's experiential, Sephora. You just going into a Lululemon, going into a Restoration Hardware, and going into a Trader Joe's. It's just got such a great feel, such great value.

They've gone all vertical. About 80% of its inventory is private label, and it has fewer SKUs. I think they've just set the tone for so many great trends in marketing. And the first is the paradox of choice. And that is, I think the biggest mistake we make in marketing is believing that choice is a good thing. It's not. Consumers don't want more choice.

They want to be more confident in the choices they make. That's why Netflix is one of the most successful companies in history because it immediately starts pulling your data and observing your viewing patterns and say, Scott, we think if you like The Queen's Gambit, that you're really going to like, I don't know, Landscapers. Wait, that's HBO Max. Oh, shit. I can't figure out the analogy. But the bottom line is I can go on a Netflix and the recommendation engine, it says, okay, World War II and color. Scott, you're clearly this angry old man and you love watching

anything about World War II. So they're always merchandising to me. Okay. 1917 or Dunkirk or what have you. And they do a really good job because I don't want choice. The thing I can't stand with my boys whenever we do a guy's night and we do a movie together and I make dinner. Actually, that's a lie. I order dinner. I don't make it. And they pick a movie. And I just hate sitting there for 30 minutes arguing because, anyways, whatever the younger one wants to watch is guaranteed the older one. Too much information. Anyways, less choice,

being more confident in the choice you make is the gangster move. And Trader Joe's gets that. It's also a lesson in when you start hearing folks like myself saying something is an absolute, that usually means there's incredible opportunity to zig while everyone else is zagging. Restoration hardware never really embraced online. Gary Friedman, who's probably the most important merchant of the last 30 years, over-invested in the stores. Said, you know, okay, we'll let people order online, but it's going to happen in the stores and we're going to inspire them and we're going to put in a restaurant. I mean, they just, I could live in one of those stores. Anyways, there's always opportunity. Shopify said it's not about gathering data. It's not about abusing your third-party retailers and totally being consumer-driven. Let's focus on the

retailer. Let's let them control what goes into the box. Let's let them control the packaging. Let's give them all the data. Let's give them custody of the consumer. And retailers will be drawn to us and we'll build a company that is one of the most valuable companies in the history of Canada. So there's always opportunity to zig when others are zagging. It's a matter of execution. Trader Joe's has addressed the paradox of choice, verticalized into private label, and reinvested all that money that everyone's spending on supply chain and fulfillment into the in-store experience. An absolute inspiration and proof that there's always room for the outlier or the manager that says, everyone's going this way, everyone's zagging,

let's zig. Thanks for the question. Next question. Scott, what is up, big dog? My name's Eric from San Francisco. I got a fun one for you today. What advice would you give to your earlier self or a young single male as far as dating in a post-pandemic era? And also, we got to tie it back to tech. So what are your thoughts on dating apps and the whole scene, Hinge, Bumble, Tinder, versus Facebook dating? Is there more disruption to be done in this area? Doesn't seem like it. And maybe even taking a lens beyond dating, what would you double down on? Whether it be investments, relationships, soft skills, building those, building knowledge, and you talk a lot about empathy. So maybe what advice would you give your earlier self to double down on or just really to hammer in on? Okay, a lot there,

Eric. We're going to need a bigger boat. So first off, I am not an expert on dating and relationships. This is one of those questions I'd love to have Esther Perel. So this is Pulse Marketing. I'll just give you some thoughts. I did not grow up in the dating app era. So I don't know. I think dating has changed dramatically. And unfortunately, there's what I would call we're suffering from a tremendous mating inequality. And that is that typically when there's digitization of any sector, whether it's media, whether it's social media, whether it's digitization of retail, you incur a consolidation where it becomes kind of winner take most. And the same thing, unfortunately, is happening in mating specifically. And I'm going to look at this through the lens of a young man. You asked me to give advice to my 25-year-old self. But what you have on dating apps now, if there's 100 people on Tinder, if there's 50 women and 50 men, four of the men

receive the attention of 46 of the women. And that leaves 46 men fighting for the attention of four women. And there are really three things that women look for in a mate. And this is backed by research. The first is resources, and I know how terrible that sounds, but it's the truth. People are instinctively hardwired to want to protect their children, and as a mate, if you can bring to the table resources, you bring a greater likelihood that your children will survive, and women find that attractive in a potential mate. The number two reason or the number two criteria for a mate from women or from the female side of the species is intellect. If

you're smart and can demonstrate that you make good decisions, again, the family is more likely to survive. I think an interesting observation I made was the way I was able to occasionally convince someone to date me was I would make them laugh. Laughter and humor is a sign of intelligence. And I've always said that if you can make someone laugh, that they will date you. And then the third thing is kindness. It really doesn't matter the resources you have and how smart you are if you're an asshole, if you don't demonstrate a certain level of empathy and kindness. So I would say dating or your success at night dating is a function of what you do during the day. And that is, I think, to focus on your career and demonstrate responsibility, hard work, and that you are and are going to be successful and be a good provider,

and I realize how 50s that sounds, is a component, is a function of how successful you will be. As a matter of fact, and it's scary on these dating apps, those four men that garner all the attention are able to signal resources either through the right degree from the right college or even living. If you geotag yourself in a high-income area, you're much more likely to have someone swipe right on you. And then the other thing is, I would say this for both men and women, is be aggressive. And we've conflated masculinity with toxicity. And I don't think that's true. I think being aggressive, which is a male attribute, is a wonderful thing. I think you should ask people out. I think you should express

interest in people. And if you don't know the difference between expressing interest and being aggressive than making someone feel unsafe or uncomfortable, then you got much bigger problems. And also, there's just no getting around it. If you take more swings of the plate, you're more aggressive, ask more people out, are more open to rejection and failure. The most successful people in the world have one thing in common, and that is they're willing to eat shit. And what I mean by eating shit is they're willing to put themselves in a place where they might be rejected. And if you want to punch above your weight class in terms of mating, it means approaching that strange person at a bar, at a restaurant, wherever it might be. And I'm not talking about in any way making someone uncomfortable.

It's okay. If you approach somebody and they're not interested, they'll let you know and you can be respectful and leave. But I don't think there's anything wrong with approaching people and trying to establish relationships. In terms of what would I double down on? I think in your first few years, I don't buy this balance. I think your 20s are about being a warrior, and that is being very, very focused on three things. The first is work. And by the way, balance, okay. If you're listening to this podcast, you don't want balance. You want relevance. You want to be a baller. You want to be more successful than your average bear. And guess what? Guess what?

That takes a ton of fucking work. It takes a lot of fuel to make the jump to light speed. So burn a lot of it. Don't do what you're asked to do. Do what you're capable of doing. Show that you come to play. Work really, really hard. And you have a chance of getting escape velocity. The trajectory of your career in your 40s and 50s or the ground you cover is a function of the velocity you establish in your 20s and 30s. The first is, I think your 20s and mostly your 30s are about work, quite frankly, and trying to become great at something. Two, relationships. Try and invest, even if it's just a little bit, invest in relationships. I'm not just talking about romantic relationships. I mean, occasionally checking in on friends, pinging your parents, just checking in. Hi, mom.

Hi, dad. Small investments, small text messages, congratulations to friends, checking in on people, helping people out. It doesn't take a ton of time. It's more about making little investments. We talk about how small investments of money can grow to be huge things. It's the same way with relationships. And then third, be a fucking warrior. Be mentally and physically super strong. Try to work out. I've been working out four times a week for the last 40 years.

I think a physical, stronger version of yourself is a happier, more attractive, more confident version of yourself. You should be able to walk into any room, any room, and think you can overpower, outlast, or endure more pain than anyone in the room. And I realize how macho that sounds. I'm not talking about being ripped or being jacked. I'm talking about lifting heavy weights and running long distances, not only in the gym, but in your mind. Demonstrate a level of grit. Be kind, invest in relationships, and try and become mentally and physically tough. And again, again, your success, your success at night, your success in dating is a function of what you do during the day and to demonstrate kindness,

to garner the resources such that you can be kind, a good citizen, a good person. We have one quick break before our final question. Stay with us. Support for this show comes from Constant Contact. before our final question. Stay with us. on your mind. But if customers don't know about you, the rest of it doesn't really matter. Luckily, there's Constant Contact. Constant Contact's award-winning marketing platform can help your businesses stand out, stay top of mind, and see big results. Sell more, raise more, and build more genuine relationships with your audience through a suite of digital marketing tools made to fast-track your growth. With Constant Contact, you can get email marketing Thank you. integration, and reporting tools that get your marketing running seamlessly. All backed by Constant Contact's expert live customer support. Ready, set, grow.

Go to ConstantContact.ca and start your free trial today. Go to ConstantContact.ca for your free trial. ConstantContact.ca. What software do you use at work? ConstantContact.ca it. So what is enterprise software anyway? What is productivity software? How will AI affect both? And how are these tools changing the way we use our computers to make stuff, communicate, and plan for the future? In this three-part special series, Decoder is surveying the IT landscape presented by AWS. Check it out wherever you get your podcasts. Welcome back. Question number three. Hey, Prof G. My name's Will. I live in LA. I work in the advertising tech space, and I'm a rapid listener. If you'll accept the flattery, you're

slated on my list of dream dinner guests. So thanks for everything you've already done for me. I've chosen out a path to business school, and I think I have a real shot at a top tier MBA. But in recent reflection, I realized my happiness is always going to be ca, and I think I have a real shot at a top-tier MBA. But in recent reflection, I realized my happiness is always going to be capped unless I'm working for myself. It seems like half of a great MBA program is just recruiting back into the corporate world. I'd love to keep doors open in case things don't work out, but does a full-time MBA make sense for entrepreneurship? I appreciate the advice. Will from Los Angeles, this is a really good question. What is the value of a top-tier MBA as

it relates to entrepreneurship? First off, as a narcissist, I heard that I'm on your dream list for dinners. I generally, and I'm not being humble here, I have huge imposter syndrome. And I think that when most people meet me in person and or have dinner with me, that they're generally disappointed. I think the person you're hearing and having contact with across my content is much more impressive and interesting than I am.

I'm generally in person a fairly intense and quiet person. And I think seven in 10 people who meet me or spend time with me are sort of disappointed. And that is they recognize that I'm just not as interesting as I am on this show. But anyways, that's not what you asked. When I got out of business school 20 odd years ago, there were two people in my entire class starting a business. One was me and the other was my partner. Nobody started businesses. That has changed. And now I think something like a third or half of HBS's graduating class is going to be either starting a business or joining a startup. So much of this is situational.

The first is what kind of school you get into. I do believe that a top 20 MBA, it's basically 19 or 20 months if you have the money. Kind of hard to go wrong. It's just it's great certification for the rest of your life. You make great contacts. It's a shit ton of fun. You get to kind of go back to college and have a little bit of a rest at adolescence or revisit your adolescence. I went to business school at the Haas School at Berkeley, and it was just great going back to football games. But at the same time, if you already have kids, you already have a mortgage,

you're killing it at work, you have access to capital to start your own business, maybe you don't need business school. So, it's situational, but if you get into a great school, and a lot of these questions are moot. It's like, well, I kind of sense that probably the next step is for you to apply and see where you get in and then wring your hands around these questions. I can't stand when kids come to my office hours and say, should I go to work? You know, should I go to work for Google or Amazon? I'm like, do you have offers from both? I'm like, no. I'm like, well, what the, you don't have a fucking decision. You don't have offers. Get out of my office or, you know, wait till this is a real decision or problem. If you're thinking about business school, apply. And if you have a really high bar and you have opportunities costs, then apply to your two or three dream schools.

And if you don't get in, let the market make a decision. Then you go start a business. It does help. It does help. There's a lot of very well-publicized stories about the most successful entrepreneurs in the world not going to business school but dropping out. Assume you are not that person. There are tremendous skills you garner in business school. But if you get into a great school, if you're not already kind of at letter C or D with a startup, and you have

the wherewithal to go to a great school, you can afford it, or you get a scholarship, you have the freedom and the flexibility, then I'd say go for it. You're incredibly blessed. Very few people, 99.99% of America can't go to business school. If you have kids, it probably means you can't go. If you don't have access to a quarter of a million dollars in capital or debt, if you're not freakishly remarkable and do really well on the GMAT, all those things, all these moons have to line up for you to go to an elite MBA. So I would say, boss, if you have the opportunity, the 19 to 22 months to get an MBA, oh my gosh, it goes so fast. It was transformative for me. It sounds like you're more talented than

me, but I think it's very impactful in terms of contacts, domain expertise, credibility for starting a business. So unless you're already off and running, boss, punch that ticket. Go get an MBA. Become part of the Navy SEALs of an information-aged business economy. That's all for this episode. Again, if you'd like to submit a question, please submit a voice recording by visiting officehours.propgmedia.com. Our producers are Caroline Shagrin and Drew Burrows. Claire Miller is our associate producer.

If you like what you heard, please follow, download, and subscribe. Thank you for listening to the Prop GPod from the Vox Media Podcast Network. We will catch you on Thursday. A quick reminder before we sign off. My new book, Adrift, America in 100 Charts, is now available for pre-order on Amazon. Please pre-order it. Pre-ordering is super important in terms of building momentum. The team, we put a ton of work into this.

I think you'll enjoy it. It's an attempt to sort of distill down the macro and microeconomic trends, societal trends that make up the fabric that is America, including some suggestions on how we become more and more to each other, connected, and how this great American experiment continues to be the best experiment in the history of mankind. Anyways, Daddy Wants a Best Seller. Pre-order now. Hey, it's Scott Galloway. And on our podcast, Pivot, we are bringing you a special series about the basics of artificial intelligence.

We're answering all your questions. What should you use it for? What tools are right for you? And what privacy issues should you ultimately watch out for. And to help us out, we are joined by Kylie Robeson, the senior AI reporter for The Verge, to give you a primer on how to integrate AI into your life. So tune into AI Basics, How and When to Use AI, a special series from Pivot sponsored by AWS, wherever you get your podcasts. Support for this podcast comes from Klaviyo. You know that feeling when your favorite brand really gets you. Deliver that feeling to your customers every time.

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