mathematics

During the last couple of days one theme has been coming up so often, that it can’t be a coincidence: a successful business is nothing more and nothing less than one possible solution to a complex maths problem. Random data points are no mathematical proof, but here you go with two exhibits – not counting the recent conversation with Silicon Valley veteran Mark Zawacki – to illustrate the point.

Exhibit Nr. 1: “Combinatorial Innovation”

Another analogy to maths comes from Horace Dediu, the analyst and blogger famous for the asymco.com blog. He claims “a business model is a profit algorithm”. Again, here business is just another mathematical problem. And the analogy is striking indeed. The best algorithms are governed by simple rules, are adaptable and converge to the right solution quickly while at the same time using their resources efficiently. A business with these qualities must definitely be profitable!

So then, looks like I should just go back to my maths and physics textbooks in the basement!