1. WTF is the Chip Shortage?
By now, you’ve likely been affected by the chip shortage. Every time I go to the grocery store, the chip aisle is always cleared out.
Jk…. bad Dad joke.
On a real note, the microchip shortage has affected the products we use everyday. From laptops, phones, and gaming systems - to dishwashers, refrigerators, and cars.
Microchips are the brains of every electronic device in existence.
The shortage has limited supply of products, which has led to record high prices.
Demand goes up + Supply goes down = Increased Prices
Check out this graph of used car prices:
40% increase on used cars? 🤮
So what led to the shortage? The perfect storm in a few points:
The majority of chip manufacturers are in Asia
COVID happened, which caused the manufacturing plants to shut down and halt production.
With the world in quarantine at home, demand for electronics went crazy.
Microchips are complex to manufacture and take around 3 months to produce.
Add in global supply chain issues.
In short, microchip production stopped for a few months, while microchip demand increased. This caused a massive backorder of new microchips, while global supply chain issues made it hard to get chips shipped overseas.
So what happens next? Who knows. Some analysts predict there will be an oversupply, because chip suppliers spent billions to increase manufacturing capacity.
I’ll be looking forward to used car prices coming back to earth. 👍
2. You Should be Customer Obsessed
Amazon has 16 core Leadership Principles that drive most decisions in the company.
Among these principles is Customer Obsession.
Customer Obsession is something most companies will say they practice, but likely don’t. Here’s why:
When building a company and trying to obtain customers + marketshare, it’s easy to get distracted by what the competition is doing, instead of what your customers want.
If you put all the energy into building products and services that customers want, marketshare will come.
Is it still important to understand your competition? Absolutely, yes.
But, if you stay obsessed with your customers, your business will reach a point where leadership can put attention on competition.
3. Business idea of the Week: Copy Work Service
This week I finished a 10 day copy work course taught by the Hustle’s Sam Parr.
Copy work is the practice of handwriting other writers copywriting. This practice will make you a better writer guaranteed. I can guarantee it because I did it.
But once i completed the 10 day course, I wanted more. More examples of great copywriting, and a schedule to sharpen my copywriting skills.
So here’s the idea: A website filled with awesome copywriting examples, where writers can go to learn copywriting through copy-work. An aggregated location to go and read/hand-copy awesome copywriting examples. This is a relatively simple idea that can be build with a basic webpage and some research for good copywriting.
How will this make money? There’s two options that come to mind. 1) Offer premium content on the website, that requires an account subscription. 2) Offer a newsletter subscription that sends new copywriting examples 1, 2, or 3 times per week.
Example 1: Website visitors can view 1 piece of content on the website per day, or pay $10/month to view all of the content on the website.
Example 2: Funnel website visitors to a $5 or $10/month newsletter that sends out new copywriting examples every week.
Another plus side - you’ll become a better writer… guaranteed.
I really like this idea, and may build it myself. If you’re reading this, and interested in building this idea, reach out. Let’s build 🔨🔨
Thanks for reading 3 Ideas on Sunday! Subscribe for free to receive new posts 👇