Hairy situation: ensure you protect your roots by not being undercut
The smells of a barber shop were also so wonderful with long-gone brands such as Californian Poppy, as well as the new aphrodisiac of the times - Old Spice.
The scariest cut in those days was the old "short back and sides", which seems to live on today in the phrase "you'll have to take a haircut on this one" (an American term that has gone global meaning that you're not going to be able to sell something at its full value.)
During a visit recently to the land of the free, New York to be precise, I booked in to the barber shop at my hotel, thinking this was a clever move that would save me time and money with the strength of the Australian dollar against its US counterpart.
The concierge directed me to Warren-Tricomi Salon on the first floor, saying "It's very expensive," to which I replied, "That will be OK, I only need a quick trim."
He said: "I get my hair cut for $12." As I looked at his fine Italian mane I thought, that would do me. But being a polite and co-operative guest, I didn't want to cancel Warren-Tricomi.
So off I went, but on entering I thought I had arrived at a nightclub. Nevertheless I was reassured I was in the right place as I was led to the cloakroom and given a little token in return for my jacket. I know the rules of America - that would be a $10 tip to get it back, leaving $2 for the haircut.
As I was led to the washbasin I said: "No, no, I'm just after haircut." But undeterred, she washed my hair and massaged my scalp as I lay backwards in an elaborate chair, engineered with the precision of a stealth bomber - on its way to North Korea.
From there I was led into a hall of mirrors and fancy chairs. The unisex nature of this establishment threw me for a moment when I realised the person sitting next to me was a woman. Either that or the Botox had developed a life of its own.
Shortly after making myself sort of comfortable, an elegantly dressed man with fine features approached me from behind and announced himself as my cutter. Instruments were laid out as he tut-tutted he didn't have a water spray. In fact I was in the hands of America's best hairdresser - Mr Tricomi himself.
With a little shrug he manipulated my hair in a gentle fashion and snip snip snip; it was done in a trice.
He then reached for the gel (I have never had gel before) that had the strength of your average axle grease, and I emerged from the salon looking like a bewildered echidna.
While I must admit that I still had $12 in mind, I was not all that surprised when I thought I heard the cashier say $28 dollars.
She stared at me as I put down $30, and then repeated the price: "$428."
Now that was a haircut.
However in advertising industry terms in Australia, over recent decades costly haircuts have been the way of things as our advertising agencies have sold out to international colleagues, usually for three times the annual profit, and always too cheap. The bosses have had to stay for three years and earn the money anyway.
We now have some great new Australian companies that have emerged in this digital age, and are ripe for the picking.
My advice: don't sell yourselves or Australia for that matter too cheaply, if at all. Understand my New York story - a 30-minute lapse in the Big Apple and I ended up with a serious haircut.
Sell your hair, but not your soul. Hair will always grow again.
Frequently Asked Questions about this Article…
In the article’s barber-shop analogy, "take a haircut" is an American-origin phrase meaning you have to sell something for less than its full value. For investors, it describes accepting a loss or reduced price when selling an asset rather than holding out for fair value.
The piece warns "don't sell yourselves or Australia too cheaply." Selling assets for a low price can lock in poor outcomes and forgo future upside. The article points to advertising agencies that were sold off too cheaply to international buyers, implying investors and owners missed out on greater long‑term value.
The article highlights signs of rushed or undervalued deals—assets sold to overseas buyers for modest multiples and owners forced to stay on for years to "earn the money anyway." If a sale looks hurried, the price seems low relative to earnings, or sellers must accept restrictive terms, it may be too cheap.
The barber anecdote shows how unexpected extras and sticker shock can turn a simple plan into an expensive outcome. For investors, it’s a reminder to factor in all costs, fees and unexpected terms before transacting—don’t be surprised by a final bill that erodes your returns.
Yes. The article notes that some "great new Australian companies" have emerged in the digital age and are "ripe for the picking." That suggests everyday investors should research promising domestic tech and digital businesses, while being careful not to sell them off prematurely or at too low a price.
The article’s advice is straightforward: understand the true value of what you own and avoid hasty low‑priced sales. Protecting your roots means thinking long term, doing valuation homework, and not accepting quick offers that undercut future growth potential.
In the article’s friendly tone, it means you can monetise or sell parts of a business or portfolio when sensible—but don’t give up core value, identity or long‑term upside just to get a quick payout. Be strategic about what you sell and what you keep.
The author describes how a short lapse in judgment led to an unexpectedly costly haircut. For investors, the takeaway is that quick, unconsidered decisions can be costly—taking time to evaluate offers and market conditions can help avoid being "undercut."
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