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Key Takeaways Smart entrepreneurs today are using the “Lego” strategy: Think about a Lego set — you can build a castle today, then, you can take it apart and by tomorrow, those same bricks can become a spaceship. This is how you should think about your company.
The goal is to be “liquid.” You want your business to be able to flow into whatever shape the market needs.
Building a business used to be very permanent. You signed a 10-year lease for a big office. You bought expensive servers. You hired 50 people for specific roles. This felt safe for a long time. However, the world moves much faster now. A “permanent” business is actually quite dangerous. If the market changes, a stone building cannot move. It just breaks.
Smart entrepreneurs today are doing something different. They are using the “Lego” strategy. Think about a Lego set. You can build a castle today. Then, you can take it apart. By tomorrow, those same bricks can become a spaceship. This is how you should think about your company.
What is a modular business?
A modular business is made of “blocks.” Each block does one job. One block handles your emails. Another block handles your shipping. Another block handles your payroll. These blocks are not part of one giant machine. Instead, they are separate tools that talk to each other.
In the tech world, we call this “composability.” It sounds complicated, but it is actually very simple. It means you can compose your business from different parts. If a better tool comes out, you just unplug the old one. Then, you plug in the new one. Your business keeps running while you make the swap.
The base plate: Your technology stack
In Lego, you usually start with a flat green base plate. This is what holds everything together. In business, your base plate is your “tech stack.” These are the apps and software you use.
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