The story of the Costco founder threatening the CEO to not raise the price of the Costco hot dog is quite an interesting one. In 2018, it was revealed that when current CEO Craig Jelinek approached the co-founder Jim Sinegal about raising the price of the hot dog, Sinegal told him, "If you raise the [price of the] effing hot dog, I will kill you. Figure it out."
This exchange has become somewhat of a legend and demonstrates the company's commitment to keeping prices low for their customers. In fact, the price of the hot dog and soda combo has remained at $1.50 since 1985.
To maintain this low price, Costco even went as far as to build their own hot dog factory in Los Angeles in 2009, and later another one in Chicago. This allowed them to reduce production costs and continue offering the hot dog at the same low price.
So, it seems that the threat of the founder was quite effective in keeping the price of the hot dog down. Who knew that a simple hot dog could be so important to a company's identity and customer loyalty?
Dear Mira and Ilya - congratulations on your coup at OpenAI. Since both of you have together never raised a penny as entrepreneurs, let me explain what happens.
Oh, and you *will* need to raise since your venture’s unit economics don’t make sense. Remember, you pay $0.30 every time someone asks a doofus question to ChatGPT. Heck, I sometimes ask the same thing 5 times.
Also, the last deal at $80 billion valuation - is as dead as the Egyptian pharaohs. Glorious to write about and visualize. But super dead, under the sand, not coming back.
Not only that - but you sideswiped your biggest partner, Microsoft. Of course publicly they will say the right thing, but you know and they know it and a random fellow like me knows it - they must be seething mad about it.
Few of your top researchers have already quit, and if there is one thing Sam Altman is especially good at, it is raising and deploying capital. Before the sign with your name and title as “CEO” and “Defacto CEO” gets emblazoned in the OpenAI offices, Sam would have a new company, $1 billion investment and offers out to all your, soon to be ex, top product people and researchers.
So you head into next week having lost your top dealmaker, top researchers, top product visionary, top partner and top investor, and with a business which has terrible unit economics.
And let’s not forget - the two of you are not entrepreneurs. Most people in your board have never held a proper tech job ever. You have never had to face the abject rejection which follows from pitching many investors, going through the process, and getting to close. Getting to close is the toughest. Sometimes investors say yes, but they don’t actually mean it. Sometimes they even sign, and still don’t wire the funds. You will need to live through all of it, the pain and rejection, and feel intense amount of pressure of having to provide for your team members - who pays their mortgages, car loans, kids school tuition - the ones whom you played with at the last company picnic.
After you are exhausted with the realities of the market - you will sell out OpenAI to Microsoft entirely, and be housed as Global Principal Product Managers in building 4 in Seattle, where it rains non-stop. Microsoft will never fire you, Satya will always say the right thing about you - because he is an honorable person.
But deep down in your heart, as you are watching the Netflix movie on OpenAI and Joseph-Gordon Levitt’s wife plays herself as a board member who fired Sam Altman over Google Meet, you will think and realize that you had it all - you could have been at the helm of a $1 trillion company. History will forget you. Sam and Greg and everyone else would have moved on and forgotten about you. e/acc would have built out fundamental OpenAI alternatives in anycase..
@ShML_ That's what happens when someone is too busy concinving that an industry standard for many years is one of the 'latest' features of the new product line-up.. #typec#usbc#AppleEvent2023#iPhone15Series 😂😅
A new state law requires coverage of up to $6,000, for adults and children in part due to testimony from 8-year-old Hugo and his friends. https://t.co/0wCp7A1RZG
Our goal is big: reach 1B software creators.
How? Make non-devs into devs, engineers into hyper-productive "10X engineers," and 10X engineers into 1000X engineers.
AI will make this real.
https://t.co/mhUgZXOeSF
We're excited to announce that @PyroscopeIO is now part of Grafana Labs. The open source continuous profiling projects Pyroscope and Grafana Phlare will be merged to form the new Grafana Pyroscope.
https://t.co/TOgGeOzF0v
This World Cup win has given birth to many dreams. Girls in India & across the world will aspire to be like you.
You are role models to an entire generation and beyond.
Heartiest congratulations on this stupendous #U19T20WorldCup win.
@BCCIWomen@BCCI
A great read and a reminder that "Bradman and Tendulkar" will air on ABC TV (Australia) at 8.30pm tonight and will be then available online via iView. (PS: You'll spot some of the Big Ant team during the show!)
https://t.co/XXFB2ghhWe