Knowledge Marketplace
My First Million

My First Million

The best business ideas come from noticing what's working and doing it better, faster, or for a different audience.

Back to Mental Models

Diagnostic Authority Model

When you can diagnose a problem for someone, you gain more authority and sales leverage than if they already know they have the problem

Decision Rule

Prefer products/services where you can educate customers about problems they didn't know they had rather than solving obvious problems

How It Works

People trust those who help them understand their situation better. Creating problem awareness positions you as expert and makes your solution seem inevitable.

Failure Modes

Creating fake problems that don't actually exist

Over-complicating simple problems

Customers reject the problem diagnosis

Regulatory issues with health claims

Example Decision

Claude Hopkins invented toothpaste advertising by teaching people to feel the film on their teeth - he created awareness of a problem people didn't know they had.