I’m confused by the examples in this post. I don’t dispute that Costco and Berkshire Hathaway are successful, but they are more stable than high-upside. As well, China and Facebook hardly seem to be failing on the whole. The situations are also different between the successful and the upside decay examples, because both Facebook and China are titans compared to Costco. The thesis of this post seems to be that unvirtue causes a loss of weak ties which decreases upside which causes failure. That a lack of virtue loses weak ties seems obvious, and I accept it, and I accept that a loss of weak ties or public favor damages prospects in general. But I don’t see the justification for why losing weak ties takes a cut specifically out of the upside. Even the symptoms China and Facebook experience from losing weak ties don’t seem to be lack of upside, but rather clear downside (pushback from geopolitical rivals, loss of strong employees).
I’m confused by the examples in this post. I don’t dispute that Costco and Berkshire Hathaway are successful, but they are more stable than high-upside. As well, China and Facebook hardly seem to be failing on the whole. The situations are also different between the successful and the upside decay examples, because both Facebook and China are titans compared to Costco. The thesis of this post seems to be that unvirtue causes a loss of weak ties which decreases upside which causes failure. That a lack of virtue loses weak ties seems obvious, and I accept it, and I accept that a loss of weak ties or public favor damages prospects in general. But I don’t see the justification for why losing weak ties takes a cut specifically out of the upside. Even the symptoms China and Facebook experience from losing weak ties don’t seem to be lack of upside, but rather clear downside (pushback from geopolitical rivals, loss of strong employees).