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Book Thoughts: Becoming Trader Joe

2025-10-24

Similar to Shoe Dog — and different in the way that Nike is different from Trader Joe’s.

Three things I want to take away from this book:

  1. Joe was incredibly structured in how he thought about problems. He wanted to have a retail store where he paid people well which required him to have goods that had a high price per amount of space they took up. He was willing to cycle through lots of weird ideas (including things like gun ammo) as long as they met this criteria.
  2. Discontinuities. Trader Joe’s would specifically target little edges in product categories. As an example, they would become experts in the regulations for say cheese or butter to build limited edition products. In particular they did this on the product side, carefully understanding product categories, and on the regulatory side, carefully reading the fine print to find edges that others didn’t have. An example of a discontinuity is being willing to sell coffee in non standard container sizes or for a limited period of time.
  3. The concept of double entry retailing, which is another way of saying that decisions are interconnected. As an example, paying people more reduces shrinkage.

I didn’t know whether or not to laugh or cry when he said that Trader Joe’s target customer is overeducated and underpaid.

This book helped me better understand how retail, goods, and media are interconnected. The transition from network tv to cable tv happens at the same time as Trader Joe’s is shifting away from homogenized consumer packaged goods to the more varied assortment we see today. A similar version of this happened with Facebook and the DTC brands of the 2010s.

Good Tokens 2025-10-24

2025-10-23

Worth your time

The Alpha Terrace Historic District in Pittsburgh, PA. One of my dream places to live.

My guilty pleasure on YouTube right now are videos claiming Ancient Egyptians had access to advanced technology that allowed them to machine vases out of hard stone. I’m agnostic as to whether or not this is true, but I can’t look away! A second thing that makes these videos delightful is that they all pit themselves against mainstream archeology which just cracks me up. Who are these mainstream archeologists? What are they doing to hinder this message? I see the evidence for advanced manufacturing but these mainstream archeologists seem like a mythical species.

On seriousness.

Why is Switzerland so rich? This is good, but I think it misses a couple of things. First, Switzerland was spared the physical and human losses of both World Wars. Second, there’s a cultural element that the post doesn’t speak to. Switzerland is both highly individualistic and highly communal, a mix of live-and-let-live and we’re-all-in-this-together that I believe allows it to make more pragmatic decisions, the benefits of which compound over time.

Some of the strongest US-China copium I’ve ever seen.

Creating a village for your child. I wish it were easier to do this.

What happens when someone dies on an airplane. Via Uri.

Things I learned

11 states and half of the counties in the US have more senior citizens than children. This sounds outrageous but I’m curious how much this has changed over time and the degree to which this is just more about longer life spans. Someone should analyze this the way Brian Potter analyzed US pedestrian deaths.

Costco’s Kirkland Brand drives more revenue than all of Procter and Gamble combined.

One of the great joys of having children is that they ask obvious questions you haven’t considered. This week it was: “Why do we call it a piggy bank?” 1 It turns out that this (possibly) comes from the name of the clay, pygg, that was used to make jars for storing coins and that shaping them like pigs was a visual pun.

Support for declaring the United States a Christian nation is falling amongst Christians.

Musings

Someone told me this week that in France they say that there are six reasons someone will pay for something: Security, Pride, Novelty, Comfort, Money, Friendliness.

LLM corner

The Tiny Teams Playbook. This rhymes with some of what I learned this summer while “interning” with Roo Code. See also prototype first development.

Dead Framework Theory - the idea that LLMs are freezing frameworks like React into the internet. I thought like this at first, but I no longer think that this is true and I actually think LLMs will make it easier to bootstrap new frameworks provided those frameworks have real advantages over what they’re replacing because LLMs make it so much easier to adopt new tools.

Peter Steinberger’s Agentic Coding Guide.

Living Dangerously with Claude.


  1. The actual question was much funnier. My 5 year old made a piggy bank at church, causing my 3 year old to ask, “Daddy, do pigs have banks?” As I think about this, it gets even more puzzling, because I'm not sure he's ever been to a bank. 

Good tokens 2025-10-10

2025-10-09

A message from my sponsor

Person Do Thing is on Amazon. You’re here so you know Uri already, but I’ll just say that my family loves this one and that it makes a great gift for the person in your life that loves games.

Worth your time

The Resonant Computing Manifesto. See if you see anyone you know 😉.

The universe as an evolving organism. I have no idea whether or not this is true, but I really enjoy this style of conversation about black holes and space and what we know and what we don’t. There should be more of this.

Frequency reduces difficulty. Via Mark Larson.

What happened to .400 hitters?

“You have enough ideas to destroy Amazon.” Not just founders, product managers too.

Things I learned

Monarch butterflies produce a “super generation” that live 8x as long as the other generations to allow them to complete their migratory cycle. Again, via Secrets of the Forest, which has to be the children’s book of the year in the Dillard household. It’s beginning to rival the Kroger App for introducing me to delightful facts. And I don’t say that lightly!

If anyone knows the author, send her my compliments.

Brand Mascots are actually persuasive to children.

This is how the Canadian Supreme Court dresses. And even worse, they’re changing it. Why, Canada, why?

Musings

"Life is 10 per cent what you make it, and 90 per cent how you take it" ―Irving Berlin. Sometimes I think the quotes at the end of The Browser our aimed directly at me. I promise you my kids will grow up with this one memorized.

A little bit of SSP

I was on the Demystifying Cosmetics Podcast talking about what I learned making high performance biomaterials from kelp.

If that’s not enough, we’re doing a live show of --dangerously-skip-permissions on Friday at 2 pm ET. Come and hang out.

(I have to be the only person putting out a podcast on beauty ingredients and coding with AI the same week)

LLM corner

Video models are zero-shot learners and reasoners

Mike Judge on the lack of AI software productivity in the data and a response.

Good Tokens 2025-10-01

2025-10-02

Best enjoyed this week in a sunny corner of a park

Worth your time

If you’ve ever wanted to buy a life sized dinosaur, now is your chance. Someday my son is going to find out I had this opportunity and didn’t take it and will never look at me the same way again.

The Quiet Ones by Nikunj Kothari. An ode to the people that do the little things to make a company or a team effective.

Illiteracy is a policy choice. We don’t talk about Mississippi’s education system often enough (although careful readers of Good Tokens will recognize this from a previous edition). Every single state should be studying their approach to literacy. See also the Sold a Story .

Altoids by the fistful. Via my friend Daniel.

I now realize that everything I lorded over other people—all the things I gatekept without consciously understanding that this was what I was doing—I didn’t need to do that. It really didn’t help anything. For some number of people who interacted with me, Iwas the problem. I could’ve been more tolerant or forgiving, I could’ve said “let’s find out together,” I could’ve let other people have the fun once in a while.

"The devil’s oldest strategy is, of course, promising godlike creation without godlike effort." Slop is a choice.

Musings

I’ve become obsessed with the tops of trees, in particular in the morning or the evening when the sun is hitting them. For some insect or bird or leaf that spot is the center of the world.

Let’s see if I can land the plane on this one. I’m surprised that there isn’t more nostalgic fiction about growing up in evangelical Christian circles. There’s satirical stuff like Saved but nothing that I’m aware of like The Big Sick that both pokes fun at being a child of immigrants while also on some level clearly feeling affection for it. Is this out there and I just don’t know about it?

Are we at the point where “yes, and…” is overrated? If not, how long until we get there?

Something I struggled with this week: for someone like you and me, in 2025, what does it mean to live a good life? At 19, it was easier for me to articulate an answer to this question I actually believed than it is now in many ways. If you feel like you have a good answer to this, consider this me humbly requesting that you write it and share it.

Things I learned

Apparently Marie Antoinette never said “Let them eat cake”, according to a recent Rest Is History Bonus episode. I’m a sucker forthings we think that aren’t actually so. Also from a RIH bonus episode: apparently the US now requires people to share their social media handles to get a travel visa. What are we doing here people?

China installed more industrial robots last year than the rest of the world combined. This is one of those stats that a 17 year old is going to be citing in an AP History Exam in 2084 about why China won the war for Taiwan.

Badgers air out their beds to keep them clean, via Secrets of the Forest.

“You are going to continue sucking for the rest of your career.” A call from Nerajno to embrace learning.

LLM corner

Episode 2 of Dangerously Skip Permissions. Mark your calendars, tell your friends. Tell people you don’t even like.

A list of ways to run more than one Claude Code instance at once. I was hoping to build in this space but I may be too late.

The future is compounding teams

Simon Willson on designing agents loops.

What does a UI look like that all users are able to edit? What primitives are needed to build it?

Fuzzy compilers in less than 30 seconds.

Making a note to try out Microsoft’s amplifier.

Human / AI synergy and having a theory of mind.

Good tokens 2025-09-26

2025-09-25

This week’s episode is best paired with a hot cup of coffee and Wild Ways by Josh Ritter playing in the background. Last episode was too LLM heavy, for which I apologize. I’ve done my best to group all of that into LLM corner so as not to let it overshadow everything.

Worth your time

Uri says we should not allow 18 year olds to sign long term contracts. So, so many thoughts here. 1. I remember a conversation I had with my best friend when he was a brand new army officer out of college ROTC about all the 18 year old privates he worked with that had 19% car loans. 2. Jonathan Haidt opened my eyes to the way social media companies get teenagers to agree terms of service that they very obviously should not be able to agree to without their parents consent. I cannot believe we allow this! 3. Matt Levine’s Certificate of Dumb Investment continues to seem underrated to me.

It appears we have evidence for life on Mars.

PSA: How to fold fitted sheets, via the Browser. I sent this to my wife and she very nicely said to me something to the effect of “isn’t this the same way I taught you to do it?” 🤣

"any study of Internet culture is basically a study of crazy people”. Also: "Be careful who you pretend to be, because you are who you pretend to be.”

Dwarkesh’s advice for explaining your announcement / launches / blog posts for Twitter.

“When outsiders succeed, it’s usually through reframing problems in ‘paradigm shifts’. They benefit from not being too attached to existing theories.”From a thread on outsiders solving problems.

As someone who has bought 4 air purifiers purely based on Wirecutter recommendations, I feel betrayed.

It worked for me

Our parenting hack of the year so far is having cut vegetables ready at the table when our kids get home from school. The percentage of vegetables consumed is up like 10x and compliance to the routine of coming in, washing hands, and sitting down at the table has risen as well. Recommended and thanks to Emily Oster for the suggestion.

Things I learned

German chocolate cake was invented in United States, via the Kroger App. Someone needs to figure out why the Kroger app has so many delightful facts in it. This is someone’s passion project! I'll buy you a nice bottle of wine if you find this person and introduce them to me.

80% of Swiss are satisfied with their lives. I am not sponsored by the Swiss government, but I am open to it if they are reading.

The Pangolin is the only mammal with scales. Peacock is the name of the males only; the female are peahens. The species is called peafowl. Via The Animal Book.

Musings

Waymo big tech in our lives.

There’s no such thing a quality time with your kids. My mom said this to me over and over again as child. It’s quantity of time, not quality of time.

LLM corner

The rise of parasitic AI. This is the first moment where I’ve seriously contemplated the AIs taking over.

ChatGPT Is Blowing Up Marriages as Spouses Use AI to Attack Their Partners

“She does that to her family. She does that to her friends. She does that to me,” he lamented. “She doesn’t seem to be capable of creating her own social interactions anymore.” I worry a lot that the sycophancy of the agents have made me less flexible with people who (of course) are less likely to defer to me. I am not sure how to measure this, but I wish I could.

Sort of a musing, but I think we owe Blake Lemoine and apology.

How to Claude and Claude Code Camp. I want to be on Claude Code Camp.

The changing role of evals.

The Pope says we won’t find God in the AI.

If you are good at code review, you will be good at using AI agents. I wonder what it would look like to teach editing as a skill. Is there anyone that does this?

A promising approach to prompt injection attacks.

I can’t wait to experiment with Net Dollar.