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Spotlight Podcast

Inside Tribe Capital: Building a $1.6B Data-Driven Venture Capital

Aug 30, 2023
Explore the evolution of data science in investing with insights from Jonathan Hsu, co-founder of Tribe Capital. Discover the new accounting principle for startups, the quantitative approach to product market fit, and the unique data-driven model of Tribe Capital. Dive into the history of accounting, the future of venture capital, and the innovative strategies used in assessing investment opportunities.
22:23

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Quick takeaways

  • Evolution from Benjamin Graham's accounting to data-driven analysis reshaped venture capital landscape.
  • Technology enables measuring product market fit before revenue, focusing on engagement metrics.

Deep dives

Evolution of Analytical Thinking in Business Building

Analytical thinking in investing traces back to Benjamin Graham, the pioneer who brought accounting systematically into investing about a hundred years ago. The shift towards data-driven approaches in the mid-2000s marked a pivotal moment in analyzing companies more quantitatively. Companies like Facebook led the way in utilizing data for operational insights. This evolution reshaped the landscape, focusing on engagement data and standardized analytic frameworks for operators and investors.

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