"PSD — poor, smart with a desire to become rich — are the most valuable degrees in the founders."

In this conversation, Const speaks with Matt Blodgett, an early investor in manufacturing startups, and founder of Praxis Ventures, about the current state and future of American manufacturing. They discuss the importance of taking action rather than complaining about challenges, the focus on high-margin manufacturing investments, the significance of strong founding teams, and the need for efficient processes. They also explore the role of government in supporting manufacturing, the venture capital paradox, and the unique economics of manufacturing businesses. The conversation concludes with thoughts on competing with China and the future outlook for US manufacturing.

Takeaways
Stop whining and start doing in manufacturing.
Invest in high-margin manufacturing startups.
Founding teams should have diverse expertise.
Hiring talent is crucial for manufacturing success.
Efficiency and productivity are key in manufacturing.
Vertical integration can be beneficial.
Government support is important for manufacturing growth.
Venture capital often misunderstands manufacturing economics.
Manufacturing requires a different investment approach.
Competing with China requires better service and speed.

Chapters

00:00 Introduction to Manufacturing Opportunities
02:05 Investment Strategies in American Manufacturing
05:18 The Importance of Foundational Teams
07:56 Hiring Talent in Manufacturing
11:11 The Role of Government in Manufacturing
14:04 Vertical Integration vs. Outsourcing
16:43 The Future of Manufacturing in the US
19:31 Competing with China
22:30 The Misconceptions of Manufacturing Startups
25:36 The Path Forward for US Manufacturing