On a recent flight back from Boston, I re-watched one of my favorite TED Talks. Simon Sinek’s How Great Leaders Inspire Action. It’s a great video in which Sinek describes why great companies inspire loyal employees. My thoughts turned to luxury selling and I thought about how great associates can inspire loyal customers.
In the video, Sinek talks about three different types of companies. Those that know what they do (the majority), some that know how they do it, and the few that know why they do what they do. Sinek refers to this as the Golden Circle. Every organization knows what it does – it’s the products or services they sell. Some organizations know how they do it. This usually translates into what differentiates them from other companies that do what they do – in other words, their value proposition. But very few companies know, or can articulate, why they do what they do. The Why isn’t about making money. The Why is about contribution and impact. The Why is about inspiration.

Sinek then talks about how the human brain corresponds to the Golden Circle. The neocortex – our “outside” brain – corresponds to the What. It’s the part of the brain responsible for rational and analytical thought. The middle sections represent the limbic brain that controls our feelings, emotions, human behavior and decision making.
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