In the world of technology and entrepreneurship, one concept that is often emphasized is the ability to "find the fast moving water." This skill involves assessing the speed and direction of the industry and adapting your company accordingly. It requires the courage to steer your company into the fast moving water, where everything lights up and opportunities abound.

In the world of technology and entrepreneurship, one concept that is often emphasized is the ability to "find the fast moving water." This skill involves assessing the speed and direction of the industry and adapting your company accordingly. It requires the courage to steer your company into the fast moving water, where everything lights up and opportunities abound.

The notion of fast moving water goes beyond product-market fit. It is a mental model that helps you determine who your target audience should be and what you should be building in the first place. By reading the river for leading indicators, rather than lagging ones, you can avoid short-term success followed by long-term irrelevance. It's important to align yourself with larger currents to stay ahead of the competition and increase your chances of achieving a big outcome.

So, how can you identify the fast moving water? Here are three actionable pieces of advice:

1. Look for technology shifts: Technological advancements often create dislocations in what can be done, how much things cost, and how fast things can happen. Pay attention to emerging technologies like mobile phones, blockchain, GPT-3, Plaid, and machine vision. These technologies create currents that can propel your business forward. For example, the availability of AI platforms is creating a current around "Generative Tech," which pushes software to generate novelty on the edge. Web3/crypto has also been fast moving water for the past two years, with a strong flow of talent and capital in that direction.

2. Observe low-quality examples that are doing well: Sometimes, iconic companies are born from a second-mover advantage in the fast moving water. Take Uber, for instance, which surpassed Lyft despite being a copycat. While factors like better teams, network effects, and timing play a role, the critical factor is the presence of fast moving water. When you notice a low-quality example that is suspiciously successful, pay attention to the physical reactions of the target users. Look for signs like leaning forward and pupils dilating, indicating a surge of oxytocin and dopamine. These reactions suggest that the fast moving water is present, and it's only a matter of time before someone executes it correctly.

3. Continuously assess the industry: Finding the fast moving water is not a one-time task. It requires ongoing evaluation of the industry and your position in it. Many successful companies were built by founders who first assembled their teams and then positioned themselves in the right place in the river. Building network effects can also give you an advantage, even if you don't have the best team or product. Red oceans, or competitive markets, should not be seen as signs of death and destruction. They indicate that there is demand for what you're working on, reducing market risk. Embrace the resistance from those who want to stick to the slow waters. Have the courage to push for greatness and don't settle for mediocrity.

In conclusion, the ability to find the fast moving water is a crucial skill for entrepreneurs and business leaders. By identifying industry trends, observing successful examples, and continuously evaluating the market, you can navigate your company towards success. Don't be afraid to take risks and make bold moves. Push yourself and your team into the fast moving water, and you'll increase your chances of achieving significant outcomes. Don't wait, do it now.