Ernie Garcia - Steering Carvana Through a 99% Drawdown - [Invest Like the Best, EP.396]
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My guest today is Ernie Garcia). Ernie is the co-founder and CEO of Carvana. Ernie joined me on Founder’s Field Guide in 2021 and despite all that the business has gone through since that conversation, you’ll hear how he has the exact same demeanor and crystal clear vision for the business and its operations today. Carvana is one of the most remarkable business turnaround stories in recent history, and Ernie gives us a raw and candid explanation of navigating through a 99% stock price decline and ultimately emerging stronger on the other side. I don’t know many leaders who could survive this. He credits his team of A players again and again for successfully weathering the storm and maintaining morale. We discuss leading through crisis, building for the long term, and a focus on ruthless prioritization and efficiency gains. Please enjoy my conversation with Ernie Garcia. 

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My guests today For the full show notes, transcript, and links to mentioned content, check out the episode page here.)

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Show Notes:

(00:00:00) Welcome to Invest Like the Best

(00:06:00) Carvana's Journey

(00:07:38) Facing the COVID-19 Challenge

(00:08:12) The Rise and Fall: Carvana's Rollercoaster

(00:10:05) Leadership and Resilience in Tough Times

(00:14:32) Handling Drawdowns and Communication

(00:16:58) Maintaining Calm and Leadership

(00:18:19) The True Story of Carvana's Journey

(00:20:36) Navigating Market Challenges

(00:23:40) Learning to Say No

(00:30:35) Project Management and Accountability

(00:34:22) The Importance of Player-Coach Leadership

(00:35:53) The Importance of Vertical Integration

(00:40:43) Customer Experience and Vertical Integration

(00:41:41) Navigating Economic Variables

(00:43:52) Building Resilience in Business

(00:45:27) Balancing Personal and Professional Life

(00:48:57) Efficiency and Growth in Carvana

(00:59:02) Insights on Investors and Entrepreneurship

(01:02:42) Lessons from Family and Origins of Carvana

(01:11:22) The Kindest Thing Anyone Has Done For Ernie