The Mental Model of AutoCatalysis (aka “Evergreen” or “Self-Breeding”) in Business

I first heard of AutoCatalysis being used as a business tool from reading Charlie Munger.

AutoCatalysis originates in chemistry, a subject I did poorly in in high school, so I’ll give this definition from The Focus Investing Series Part 3: The Munger Network of Mental Models:

“In the autocatalysis process, properties, events or products serve as their own catalysts and are “self-breeding. For example the self-stimulated increase in the demand for air conditioning, hence the self-stimulated increase in the demand for air conditioners.”

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