Networks effects can lead to massive, rapid growth. Amazon has leveraged this little sketch by Jeff Bezos in 2001 for mega growth — Amazon calls it a virtuous cycle — and, more recently, the Uber variation, by David Sacks explains much of Uber’s wild ride.

When you build a platform that leverages network effects right it can enable growth way beyond what has historically been possible. Also, see Metcalfe’s Law.

The ‘Virtuous Cycles’ of Amazon and Uber

These days beards are in. There will come a day when beards are out. And a day when beards are back in again. That’s how it seems to go.

Turns out there is a name for this kind of thing: negative frequency-dependent selection. Essentially, the less common it is, the more useful a trait it is. As opposed to positive frequency-dependent selection which, as you can imagine, is the reverse.

According to this study, for example, when there are fewer men with beards in a population, they are judged as more attractive than when there are more of them. Hence they become gradually more popular until the effect starts to wear off and the clean-shaven look starts to appeal again. And round the cycle we go.

The beard cycle

One of the best virtuous circles. One of my more surprising recent reads has been Novak Djokovic’s Serve to Win about diet, discipline, going gluten-free and physical and mental excellence. The guy certainly knows about excellence and it was neat to learn his philosophy on eating — the book contains recipes — and taking care of yourself including some serious respect for sleep. This sketchplanation is just one of the reason’s why. Since reading it I’ve put an alarm on every night to remind me to respect sleep. Night!

Sketchplanations tagged with cycle