The seven loops
The mechanism beneath each family: what turns, and why it compounds.
Loops
| Loop | How it runs | Models | Families |
|---|---|---|---|
| Cost-curve | Cheaper models, lower unit cost, more volume, more revenue | 11 | Selling abundance, Selling the finished work |
| Learning | Use, data, better product, more use | 11 | Selling the finished work, Selling abundance |
| Network | More participants (people or machines), more value per participant | 6 | Owning the choke points, Owning the scarce human |
| Control-point | Own where choices are made and paid, capture the flow | 7 | Owning the choke points, Owning the scarce human |
| Capital | Expected demand, capital, capacity, demand that justifies more capital | 4 | Owning the scarce inputs |
| Human-signal | More machine output makes original human signal scarcer and worth more | 5 | Owning the scarce human, Selling abundance |
| Self-improving | Each cycle makes the participant, or the business itself, more able | 4 | Selling the finished work |