This podcast episode explores the 187-year history of Hermès, highlighting its unique business model, unwavering dedication to craftsmanship, and family leadership. It emphasizes that Hermès is not just a luxury brand but also a cultural phenomenon and a case study in long-term business strategy that defies conventional principles. The episode delves into Hermès' founding by Thierry Hermès as a harness and saddle maker, its expansion into handbags, and the creation of iconic items like the Kelly and Birkin bags. It examines the importance of "savoir faire," or craftsmanship, and the brand's commitment to handcrafting products using traditional techniques like saddle stitching. The podcast discusses the generational leadership of the Hermès family, with each generation contributing to the company's growth. It also covers the company's successful adaptation to the changing times, including the automobile era and the introduction of zippered products, while maintaining its core values. The attempted takeover by LVMH is a critical point in the podcast, showcasing the family's defense to maintain independence. Additionally, the episode explores the Apple partnership and the implications for the brand’s identity, as well as the company's global reach and its diverse product range. The episode also offers unique insights into the Hermès brand through personal stories and an analysis of its power, which includes elements of scarcity, desirability, and a connection to both history and modernity. The hosts also explore the nuances of the brand and how it's sold, the design of the stores, and the mystique it has created. Finally, the hosts employ business and strategy frameworks including Hamilton Helmer’s 7 Powers and the concept of Veblen goods.