First Principles Thinking

Introduction
Most people think by analogy: “What has been done before? What do others do?”
But true innovators think differently. They break problems down to their fundamental truths and then build solutions from the ground up. This method is called First Principles Thinking.
It’s one of the most powerful tools in strategic thinking—used by great minds from Aristotle to Elon Musk.
What is First Principles Thinking?
At its core, First Principles Thinking means:
- Identify the problem.
- Break it down to its most basic, undeniable facts.
- Rebuild your solution from these fundamentals—ignoring assumptions and traditions.
It’s like peeling an onion—removing every layer of assumption until only the core truth remains.
Example: Elon Musk and Rockets
When Elon Musk wanted to build rockets, the industry told him it was too expensive—around $65 million per rocket.
Instead of accepting this, he broke the problem into first principles:
- What is a rocket made of? Aluminum, copper, carbon fiber.
- What’s the cost of these raw materials? Much less—about 2% of the finished rocket price.
From this, he asked: Why not build rockets from raw materials ourselves?
This First Principles approach led to SpaceX’s breakthrough in affordable space travel.
Everyday Example
You don’t need to build rockets to use First Principles.
Let’s say you’re struggling with studies. Most people think: “I’ll just study harder because everyone else does.”
But First Principles asks:
- What’s the core truth? Learning happens through understanding, practice, and recall.
- So what’s the solution? Design a study method that maximizes recall and practice instead of just hours of reading.
Reflection Activity
Think of one challenge you face—studies, career, health, or personal.
- Step 1: Write down the problem.
- Step 2: Break it into the most basic facts.
- Step 3: Ask yourself: If I were starting from zero, what would be the best way forward?
Conclusion
First Principles Thinking helps you cut through noise, tradition, and assumptions to find truth.
It’s not about copying others, but about rebuilding your own path from the ground up.
✨ Remember: “Don’t ask what others are doing. Ask what is true.”
In the next lesson, we’ll explore the 80/20 Rule—another powerful tool for strategic focus.