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Eric Ries (@ericries) is the author of The Lean Startup, the NYT bestseller that became a playbook for a generation of founders. He's also the founder of the Long-Term Stock Exchange and has a new book out called Incorruptible: Why Good Companies Go Bad and How Great Companies Stay Great.
In this episode of Main Function, Eric sat down with YC's @garrytan to talk about why so many founders lose control of the companies they build, and what they can do to stop it.
00:47 — The Professor's Wake-Up Call
03:43 — A Wake, Not a Party
05:12 — Shareholder Primacy Explained
08:20 — The Jeff Lawson / Twilio Story
10:27 — When You Fire the Founder
12:01 — The Legend of Sol Price
15:38 — Costco's Secret Origin
18:33 — Mission-Controlled Companies
19:40 — Finding the Right Board
22:26 — Just Become a PBC
23:40 — Who Invented Shareholder Primacy?
27:08 — It's Not Even a Law
30:28 — The Builder's Intuition
34:47 — Novo Nordisk & the $600B Bet
39:47 — Industrial Foundations Outperform
42:08 — The Problem With VC Fund Structure
43:05 — Dual Class Isn't Enough
44:54 — Building Something That Outlives You
45:03 — Anthropic's Governance Story
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