The Gorilla Game Part 2: The rules of the game

This episode outlines a strategic investment approach focused on identifying and capitalizing on companies poised for hypergrowth, termed "gorillas." The authors advocate investing in a basket of potential gorillas within emerging technology markets experiencing a "tornado" of rapid adoption. They differentiate between investment timing for application software (buy in the "bowling alley" phase) versus enabling technologies (buy at the tornado's start). The text provides rules for buying, holding, and selling stocks of gorilla candidates, chimps, kings, and princes, emphasizing long-term holding of eventual gorillas and strategic exits based on market dynamics and competitive threats. Ultimately, the guide aims to equip investors with a framework to outperform the market by focusing on significant technological shifts and dominant players while filtering out irrelevant information