Excess Capacity

0:00My favorite businesses in the entire world are built on excess capacity. What that means is businesses that have leftovers. It's scraps that people give away for free. One man's trash is another man's treasure. It's businesses built around those concepts. Uber is built on the excess capacity of people who have cars and other people who want transportation, but there was no one linking the two. There's excess capacity in people's homes where they have rooms that are not being used and people who are flying in and they want to use them. But there's so many businesses and there's so much excess capacity and waste in the economy that if you're a smart entrepreneur the easiest and most profitable business models because your cost of goods is zero. It's other people's waste. Finding another man's trash and turning it into treasure.