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Ben Horowitz on how to design a culture that’s right for your company

As a16z co-founder Ben Horowitz explains in the clip below, the first step in designing the culture that’s right for your company is knowing who you are and where you’re trying to go:

“You really have to start with: ‘Ok who are we? Who do we want to be?’”

He juxtaposes Apple’s culture with Amazon’s to highlight how different cultures make sense for different company strategies.

At Apple, generating the most brilliant designs in the world is paramount. To reinforce that message, it spent $5 billion on its sleek new headquarters.

At Amazon, Jeff Bezos famously said, “Your margins are my opportunity.” And to reinforce that message, he made the company be frugal in everything, down to his employees’ ten-dollar desks.

Both cultures work. Apple designs dramatically more beautiful products than Amazon, while Amazon’s products are dramatically cheaper than Apple’s.

The key is that your company’s culture should be an idiosyncratic expression of your personality, beliefs, and strategy.

For a more in depth guide to designing and creating a great business culture, I’d recommend Ben’s book What You Do Is Who You Are.

P.S. We’ve put together a YouTube playlist with every Ben Horowitz insight we’ve ever shared. You can watch it here: "Best startup advice from Ben Horowitz"