Latest / Real Donald Trump Wisdom / The Art of the Deal - Chapter 2: Trump Cards - Elements of the Deal - Know Your Market (1987)

Transcript

The Art of the Deal - Chapter 2: Trump Cards - Elements of the Deal - Know Your Market (1987) · Real Donald Trump Wisdom

• 0:00
  All right, guys, back for another episode. Trump,
• 0:04
  the art of the deal, elements of the deal, know
• 0:07
  your market. In this section, Trump is going
• 0:10
  to talk about the importance of knowing your
• 0:13
  market, knowing who you're addressing yourself
• 0:16
  to, knowing who your clientele is. So he's going
• 0:21
  to give praise to influential people like Steven
• 0:26
  Spielberg, Lee Iacocca. Woody Allen and Sylvester
• 0:31
  Stallone. He's saying, some people criticize
• 0:35
  Stallone, but you've got to give him credit.
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  I mean, here's a man who is just 41 years old
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  at the time, and he's already created two of
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  the all -time great characters, Rocky and Rambo.
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  To me, he's a diamond in the rough type, a genius
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  purely by instinct. He knows what the public
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  wants, and he delivers it. Trump adds, I like
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  to think I have that instinct. That's why I don't
• 1:01
  hire a lot of number crunchers. I don't trust
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  fancy marketing surveys. I do my own surveys
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  and draw my own conclusions. I'm a great believer
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  in asking everyone for an opinion before I make
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  a decision. It's a natural reflex. If I'm thinking
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  of buying a piece of property, I'll ask the people
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  who live nearby about the area, what they think
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  of the schools and the crime and the shops. When
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  I'm in another city and I take a cab, I'll always
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  make it a point to ask the cab driver questions.
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  I ask and I ask and I ask until I begin to get
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  a gut feeling about something. And that's when
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  I make a decision. Here, Trump basically is saying
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  that he gets firsthand experience, firsthand
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  knowledge, firsthand feel before he comes to
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  a conclusion. He doesn't rely on third party.
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  He'll make comments about consultants. This is
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  similar to what Peter Lynch says in his advice
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  on stock picking. Essentially, it's basically
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  by going on site, by being a client of the firm.
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  of the potential company that you're looking
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  at by seeing how they treat their customers,
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  by seeing how the stores are managed, by seeing
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  how popular the products are with friends, with
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  people that you know, and detecting tendencies.
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  So Trump, again, is very big on the human gut
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  feeling and human instincts. He's going to add,
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  I have learned much more from conducting my own
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  random surveys than I could ever have learned
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  from the greatest of consulting firms. They sent
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  a crew of people down from Boston right to a
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  room in New York and charged you $100 ,000 for
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  a lengthy study. In the end, it has no conclusion
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  and takes so long to complete that if the deal
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  you were considering was a good one, it will
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  be long gone. Again, there is... Another nugget
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  here, it's sometimes you have to act with speed,
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  with urgency, and that outsourcing decisions
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  to consultants, not only you won't get a conclusive
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  outcome, but it's going to rob you of precious
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  resources such as time and money. The other people
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  I don't take too seriously are the critics, except
• 3:29
  when they stand in the way of my projects. In
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  my opinion, they mostly write to impress each
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  other, and they're just as swayed by fashions
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  as anyone else. All right, so here Trump is making
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  a comment on architectural critics in regards
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  to his buildings at the time, but sure, he means
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  it just as well for critics you could find at
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  other publications, such as the New York Times
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  or elsewhere, basically. He's making the astute
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  observation that most journalists, most critics
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  are really talking to amongst themselves. They
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  want to impress each other with their article
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  or their hit piece. So their audience isn't the
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  broader market or necessarily the truth seekers.
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  And we see this group think very much at the
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  mainstream media stations across the US, right?
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  No need to go further in details. I think all
• 4:44
  the listeners will have their own opinion on
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  how that has been verified of late. Trump then
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  adds, What very few of them have is any feeling
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  for what the public wants, which is why if these
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  critics ever tried to become developers, they'd
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  be terrible failures. And you can swap your developers
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  for anything else, right? President of the United
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  States or successful business leaders, right?
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  We see that the critics are definitely not the
• 5:20
  men or women in the arena. They are basically...
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  being pessimistic and critical and want to sound
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  smart among themselves, right? For other critics,
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  but not, and it has no correlation sometimes
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  with reality or with wanting an optimal outcome.
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  So then Trump goes on. The funny thing about
• 5:50
  Trump Tower. that he was getting a lot of bad
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  reviews at the time, is that we ended up getting
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  great architectural reviews. The critics didn't
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  want to review it well because it stood for a
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  lot of things they didn't like at the time. But
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  in the end, it was such a gorgeous building that
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  they had no choice but to say so. I always follow
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  my own instincts, but I'm not going to kill you.
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  It's also nice to get good reviews. Moral here
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  is to know your market. Knowing your market by
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  being on the ground, being in the field, talking
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  to voters, talking to customers, talking to potential
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  customers, knowing what people are interested
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  in here. He makes a reference to the, you know,
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  the archetype of the customer he envisioned in
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  the Trump Tower, like a millionaire, Italian,
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  riding a red Ferrari, you know, people who want
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  like more of a... This is the people that he
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  was gunning for as potential clients in his Trump
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  Tower. He wasn't trying to impress the New York
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  Times architectural critic. He's trying to impress
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  the wealthy multimillionaire looking for a chic
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  cosmopolitan apartment in Manhattan. And the
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  lifestyle. proposed through the Trump Tower.
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  So knowing your market is very important. The
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  way you achieve that knowledge often comes through
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  experience and listening to your gut again. But
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  you can see at the end that it's nice to get
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  good reviews. You want eventually for the mainstream
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  to accept you. But sometimes the mainstream will
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  come to its senses. Trump has to do a lot of
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  really good things to get some recognition from
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  the media. It takes time. At the end, some people,
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  we have seen 2024, more people come to their
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  senses and realize the good that he's done for
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  the country, for the world. But he does put it
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  in that order. He follows his instinct first.
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  He knows his market. He goes for what his aim
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  is. And eventually the critics catch up, but
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  he doesn't do things for the critics. All right.
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  And that's it for this episode. Thank you.