Disrupting Yourself

<p>Audio source: <a href="https://www.youtube.com/watch?v=bOo6XSYW66c">https://www.youtube.com/watch?v=bOo6XSYW66c</a></p><p>Spencer took on the competitive threat of OpenDoor at Zillow when he didn't need to, taking a tiny competitor startup seriously and pivoting a $5 billion company into a $30 billion one without a crisis.</p><p>News at the time:<br>- <a href="https://techcrunch.com/2018/04/14/zillow-surprises-investors-by-buying-up-homes/">https://techcrunch.com/2018/04/14/zillow-surprises-investors-by-buying-up-homes/</a><br>- <a href="https://www.geekwire.com/2018/zillow-group-will-start-buying-selling-homes-taking-open-door-expanding-real-estate-footprint/">https://www.geekwire.com/2018/zillow-group-will-start-buying-selling-homes-taking-open-door-expanding-real-estate-footprint/</a></p><p><br><strong>Transcript</strong></p><p><strong>swyx: </strong>[00:00:00] Normally, I try to make these clips under five minutes, but for today I absolutely could not because this is one of the most fascinating business stories and business moments that you can encounter. And this is the best explanation of a recent pivot that was very, very high profile and very successful. So I want to give you the story of Spencer Rascoff pivoting, Zillow as a successful company, not against the wall, and succeeding. Despite having an incumbent startup where the classic disruption theory would tell you that he had an innovator's dilemma. He got past that, and it was just nearly a train wreck, as he will tell you towards the end. But he had enough friends to give them good advice and he took it and he paused at the right time and he went for it at the right time. And it was just an amazing, amazing, real life story.  </p><p><br><strong>Spencer Rascoff: </strong>[00:00:51] And then I guess the second takeaway from Zillow would be the importance of disrupting yourself. And this is all about Zillow's move into ibuying and the business of buying and selling homes directly, which was a very controversial, difficult decision that I ma