Not i am jim cramer, cohost mad money, squawk on the street. That plus avatar, 140 characters sums up everyone these days. I want you to know more than that. Did take me two years to learn avatar wasnt a movie and a hashtag wasnt a numbers sign. What i want to do in a personal show is trace the arc that brought plea to mad money, not for auto biographical ego trip but to give you money make lessons from my various careers and how to profit. In the end, this is cramerica in short, i am going to give you the investor cramer guide book, how i continue to learn every day, to help you be better than i ever have been or will be and thats the goal of mad money. Back in the time machine. My love of stocks didnt begin after law school, college or high school. No, my love for stocks started back in fourth grade. Fourth grade. My dad would bring home the old philadelphia bulletin, at that point one of the largest newspapers in the country, great afternoon paper, when he returned from work every night. I wanted it for the comics and sports. I was a ridiculous Philadelphia Phillies fan. If i could have made it i would have been a new york fan. No one would choose to affiliate himself with the team with the most amount of losses. Curiositys been a blessing and curse of mine. Not like of a cat thats probing, looking, jumping on a couple of hot stoves. Anyway, also a solid chunk of the paper that seemed impenetrable to me, called the business section. It had these giant lists of names and agate type, seemed to go on forever. The other tables. Different from the batting average tables and box scores i would scrutinize with regularity. They made no sense to me, open, range, close, what open, what range, what closed . What were these strange things . Why did they matter . My dad would get mad within he heard prices mentioned on the radio. In particular he seemed angry when i heard something called National Video. And how National Video went out. I didnt know what National Video did or why it went out. I didnt know if it popped but i know it made him furious. I wanted to find out what these things are that made him react with fury. He explained each line represented the performance of a stock of a company on a different day, different day, each day, the open where the stock opened up in the morning, opening bell, range how low, how high it traded during the day and the close how much it was worth when trading finished at the closing bell. It fascinated me. How could there be so Many Companies . And why the heck did they trade in ranges and what did it mean to close . He described to me that people tried very hard to figure out each day which stocks would go up at the close and wanted to buy them to make money from the increase during the range from the open to the close. Frankly, this struck me as downright silly. I told him when i liked at baseball tables i was trying to figure out who was hot, who would go up in average, who would go down what it would mean for the teaches, specifically the phillies. He said it was the same with stocks, study the Companies Like you studied the players. Some players were doing okay, some hot as a pistol, some were duds. I wanted to try to figure out which were going to go higher like everyone else was trying to figure out. He said why dont you try . It seemed in my house the radio was always on until pop put the tv on in time for dinner. We always watched the news while eat, even though i hated it most of the news was about the war, vietnam. It seemed frightful, scary, even in real life, even when i was 9 my mom was worried i had to go to vietnam. I was spared from the conflict. After the world news, they always mentions the Dow Jones Industrial average. And they either talked or showed the most active stocks and the ones that had done the best or the worst. National video was often on the worst list i discovered, hence the anger. So what i did was write the names down that i heard and i tracked them. Kept them in, well, believe it or not, this ledger that i still have. Here it is. What a terrific game. I was trying to figure out the next move of the stock. Even as all i knew was the name, polaroid, xerox, National Video. Sin tech, pan am, united. Most of them were defense stocks and they went up a lot. In tandem with the war. Hey, i followed a lot of those. A bunch of others. Look at that. Conair. Eastern. Yeah, national, rca, admiral. After a year i decided this was about as cool a game as imaginable. I wanted to introduce it to my fifth grade class, i did, show and tell with the philadelphia bulletin, showing them my ledger, inviting everyone to play to see who could find stocks that went up the most during the week. Not everyone was into it as i was. My dads company at Time National gift wrap and box company represented 3m, then the Minnesota Mining and Manufacturing Company in the philadelphia area, selling tape and fancy ribbon that bowed easily. My producer talking about satin ribbon, you had to make the bows, triple m, coming up with new product lines which it still does, one of the reasons ive always favored it, you should, too. Pop came home with a new line of 3m he was selling, games. Right they got into 3m bookshelf games. He said perhaps i might want to learn about more about how the stock market really worked and the Company Created two games about business. Acquire about takeovers, which had been the range at the time. And stocks and bonds, of which i am fortunate enough to have gotten a copy here, courtesy of george, producing mad money, who gave it to me for the holidays. I almost cried. I asked the ceo of 3m to bring the games back. Apparently i dont own the rights anymore. The point mentioning this from my stocks and bonds which george bought off of ebay, the stocks are fascinating enough to get your kids started in them now. Its easier than ever. Pick stocks, not of defense companies, but of companies familiar to your kids and have them track them and guess which will do better over time. Not the city transport, not the Growth Corporation of america. Not the pioneer mutual fund. Not the central city Municipal Bond but was stocks that are real. Bottom line, of my childhood stock market obsession, get started early. And they may play for life because the last of the stock markets a longterm contest. When i think the earlier you get in the more you can win. Im going to mickey in new york. Mickey caller jim, i wanted to thank you for all you do. Your books and show got me through investing at a young age. My next question, ive been investing sense i was quite young. What type of changes should i make to my investment process as i get older . I tell you what, its a generational thing. In your 50s, 50 bond, 60, 60 bond. No more pop find conservative stocks that give them partnerships, good yield and shift over time from the high gross stocks to the partnerships and you will pick up income and do well. Rick in arizona, rick. Caller hello, mr. Cramer, how are you . Real good. How about you . Caller im doing great, sir. Ive been watching your show a couple of weeks ago you mentioned your bucket list and wanting to attend the indy 500. I have a bucket list as well of things that i want to do places i want to visit during my retirement. Because of following your advice this last four years i am well on my way to being able to do those things. Fabulous. Caller thank you so much. My question i have, i have a couple of young children, trying to get them started in investing. The question i have is, what advice and what are the most essential items or ideas on investing concepts if people need to know when they start learning about the market and investing themselves . First thing they need to know is what they own and the idea behind that is to own things like disney, i tell people start with disney, dominos pizza, mcdonalds if you like mcdonalds. Go to the mall, costco, places youre familiar with. Read the annual. Buy a share. One share. Get him or her involved. Get them started early. Teach your kids about the market. It is a very valuable lesson. And there are many more coming up on this special edition of mad money. Well be right back. The world is changing faster than ever, creating new opportunities for those who stand ready to seize them. In a time when the biggest risk is playing it safe, we believe outshining the competition tomorrow requires challenging your Business Inside and out today. At cognizant, our flexible, collaborative approach helps forwardlooking companies not only run better, but run different. To give your customers every reason to keep looking for you. So if youre ready to see opportunities and see them through, we say lets get to work. Because now more than ever, the future belongs to those who challenge the present. Welcome back to a bizarrely special mad money. Where im trying to teach you life lessons in investing from my life. I am not a dollar sign represented by a man or a stock symbol, for that mat, ticker jim i have stumbled around the stock market long enough in life to learn a thing or two. Youre getting wisdom from the school of hard knocks. Dont you love it at beginning of a pro Football Game where they have the player say his name a school and some say the school of hard knocks . Thats what i attended when it comes to stocks. Youre getting the on tv version right here right now. Now we covered how i first got involved fourth grade obsession with keeping a ledger to track stocks. And then ultimately to learn how they trade through the greatest game on earth. No, it wasnt monopoly. It was stocks and bonds. But with its little certificates and its game boards and its cards that would you know about news, it tells you about news how that would send a stock higher or lower thats what this was all. I left the stock market games behind me by the time i got to middle school which, by the way, junior high, where my obsession became sports and i was the second fastest guy in the school for ages. I ran track, of course. The other thing i cared about was girls whose movements were more elusive than any of this stuff. They were more elusive than the ranges of stocks. That was a random walk down springfield high main street. I couldnt win for losing. Thats a subject of a different show, maybe entirely. However my father did ingrain in me the desire to save. Early i learned even in high school, you got to save. I saved as i bussed tables at the old block and cleaver which we call the block and cleavage because we were hilariously stupid back then. Thats what we did. Subsequently i sold cold soda and graduated into selling ice cream. At that job i learned value of market power, specifically cornering the market and i paid people to give me the exclusive right to sell ice cream. Vanilla and chocolate on the 600 and 700 level of the vets stadium. Imagine how much money could be made if you had the only franchise in the upper deck even for a team as horrible as the phillies back then . Paying these guys not to sell ice cream against me, i made fortunes except one time they gave me only strawberry ice cream. Talk about running from a customer. Other when steve karl would pitch it got players out so fast i would get stuck with unsold ice cream. You have to buy the company before selling it. I would take a genuine beating. Talk about learning how business worked. The shelf life of ice cream on a hot july night after the ninth inning can be as short as short can be. During the lightning round i might jest with you about your name. Jeff, captain, i learned names at the ballpark. Its what people called me to get my attention to buy ice cream. I never forgot the monikers, bud, partner. I made a ton of money. I opened an account at fidelity with the Magellan Fund and contributed every week with my winnings. One by the great peter lynch, one up on wall street and beating the street which remains two of the best investing books and theyre the ones i tell them to get after they read my books and say sigh want to learn more about the stock market. I didnt save enough when i got to college. Money paid was work study and went to division and room and board. When i got out of college and after attempts to get a job in the newspaper business rejected by more than 50 papers i have every single rejection letter in a trunk i landed a position as a reporter, earning 160 a month. I keep a pay stub to remind me how hard it was when i got started and how poor i was. Nevertheless, poor 156 i contributed even then. I put a few dollars away when i could. Not long after i applied to and got a job the defunct Los Angeles Herald examiner, wow, a horrible job. Making 179 a week. It was in a town about four times as expensive as living in tallahassee. Soon after my sojourn began i found a bungalow apartment in the fairfax district, 1819 orange grove, around the corner from Pioneer Chicken which was too expensive for me to go to. Few weeks later i was stalked and broken into repeatedly, something cops were helpless to stop. I was assigned a story in san diego, Horrible School shooting. When i returned everything was gone, everything i had. So if began. My terrible but thrilling six months of living in my car. Basically trying to get by. The only real upside being when you met a woman it was pretty easy to figure out inevitable end of night query. Your place or mine . Now i know this isnt your normal behavior but as much as i knew my goal was to save to get an apartment, living hand and mouth, people would take me in now and then, get a shower, change, get a good nights sleep. I still never quit saving. I remember cashing my paycheck every other week and writing a check, yes, to Fidelity Magellan Fund for what i could afford. You only have gasoline, car, insurance, food expenses in a car. Terrific saving 0s on homeowners, rent. How poor was i but still getting money away. When i got mononucleosis, i had no health care. The hmo of my newspaper i belonged to had no state. When it put me on the road to submit expenses for day to day, i had to go to a farm workers clinic to get fixed up. I still put away money as i was making weekly trips to the doctor one of the best i ever had. Upside of investing living in your car, given money to the best stock picker of all time i managed through all of the years, 35 years later to put enough money away to take advantage of the great bull markets of our time. Not to brag, but to teach. That money ultimately amounted to a fund well into the six figures. Not because of my capital additions. I stopped putting money away in that found years ago but the power of compounding with an amazing investor at the helm. I never touched it, i let it build. The earlier the better, through thick and thin. When cnbc has allstar managers on, if you dont have enough money or time to handle your own stock portfolio or it can only buy one or two stocks, send money in as little or as much as you can. Heres the real bottom line. If i can still send those checks to Fidelity Magellan Fund when i was living in my car, sick as a dog with jaundiced liver, kept warm by a bottle of jack, and safe by a pistol by my side the most down and out you can be in the great country, you can put some money away, too. After the break ill try to make you more money. Youve done your homework. Youre ready to buy. But how do you know when the time is right . Yes, that is a monster stock. Just ask cramer. A master of making money, cramer. Mad money week nights on cnbc. Were riding the delicious magical money mystery tour tonight. Im giving you life lessons i have learned the hard way, through decades of stock investing. I told you, first, how to get kids started early and how nothing should stop you from investing. If i can do it living in a 1977 ford fairmont, you can put money away, too. Right now i want to tell you how high got started in individual stock picking, something you know i still love. And still believe in. Even after seemingly interminable period of pain and chaos and chicanery. Its worthwhile, if not lucrative, and, yes, is the reason i believe you watch certainly your inclination. Unless you like the money outfits and the outrage sound board courtesy of when i used to have a radio show similar to mad money. Buy, buy, buy. Sell, sell, sell. Called real money if youre picking stocks playing with real money not just a ledger, or with a game of stocks and bonds, you need to open an account. When i got started in 1979 there was no such thing as online account. I mad money with fidelity. I chose to put money into an individual stock account. I didnt know where to look for ideas so i turned to forbes. People at forbes, do not take this personally, i read an article about american agronomics, terrific orange grower in florida. It seemed to be compelling. I bought first thing, ten shares for nine bucks. A week later, frost wiped out the whole crop. My investment was more than cut in half. I was completely devastated. The house of pain but not defeated i sold it out and took the capital. You know what i did . Went back to forbes. I bought seven shares of bobby brooks, clothing outfit i never heard of. Forbes said it could be a terrific buy. All of a sudden my money was halved again. I had a decent job at american, making 20 gs, living in 4th and first and second. The cheap 40 a month rent with the sofa bed, albeit twice the rent for a beautiful bedroom in tallahassee and better than a backseat of the car allowed me to replace the coffers. After a hard night on the town see researching a story in kentucky i fell in love with breakfast at bob evans farm. Finding out it was publicly traded back home i visited the midtown Manhattan Public Library with the big lions and devoured everything i could about bob evans farm. Magazines with articles, 4monthold financials and publications with writeups that allowed me to care bob with other industries. I bought 20 shares. The stock went up immediately on a good quarter and the stock split and i figured out the first component of investing know what you own. Like it even. What did i know about growing oranges . Who knew about womens fashion . A good plate of scramble and sausages served in an attractive setting the way nice waitress . A company that i found long tradition of good service, nice enough growth plate expand in the midwest . That was for me. Next up, Standard Press steel. Sps technologies but the old Standard Press steel. My hometown made fasteners, screws for airplanes something alcoa now dominates. A buddy of mine from high school told me they were hiring like mad. Wanted to know if i was looking for a job, paying good money. I had a good job. Back to library for more research. Technology, solid company, no debt. But nothing in print but its hiring push. Right for a trade, right . No one had that skinny. You know what it doubled after. I caught the bug for good. 23 years later it would be acquired by precision cast parts, the supplier to aircraft builders around the globe. A quality company. So now im figuring it out best investment ideas come from what you know melded with information gleaned from public sources even as if they are as late and as hard to source as taking a surreptitious trip to the new york Public Library where i was supposed to be working. I didnt like the way i was making money. A friend from homes lucky call about jobs, so random, one available at sps technology, a hardy breakfast at bob evans farms. I was thinking theres got to be a more methodical way, right . It hit me. Look around at work. At the time i was covering mergers and acquisition lawyers, following deals they were on, it seemed every other deal was in the oil patch, one after another after another subpoena smaller to midsized Oil Companies being acquired. Buy, buy, buy. All i was doing was standing around writing about it. So i went back to the library, took out edition of value line, a Stock Research magazine, and checked out pages devoted to Oil Companies. I crossreferenced with other research to find out which could be acquired without problems either because they were public without a family owning them or they seemed to fit the size of parameters of so many other deals i was writing about. I settled on natomas, an oil company, a gusher in indonesia. I almost doubled my money. Another lesson learned. Play takeovers, buy companies that would do well on their own as it was, but still undermanaged which has been the consensus i found by reading articles about the oil enterprise. That meant another oil company with bigger scale could do more with it which was cheaper than it should be if it got rid of the management. As much as i hit some winners, i was distraught i had given up the ghost in the first few trade. At time i had been hanging around the track on weekends, mostly aqua duck, nearby. I learned how to handicap reading books of andy buyer, picking wishes. My first 50,000 season me may be the second best books. Teach discipline, how to identify the best thoroughbreds to bet on, the best long shots, going to out of the way tracks information less well known and not betting willynilly on each horse. Find out which payoffs and more surer. Cut your losses if youre having a bad run. Every one of the lessons applied to the stock market. You can tack a huge swing when you know what youre doing. Particularly when others dont on a less wellknown stock. Dont just gamble on stocks for the excitement or the fun of it. Most important, be disciplined. Dont let your losses pile up. If after five years of professional journalism i decided to hang it up and go back to law school. I saved much to pay for the first year, all in the stock market. I never had been making enough keeping in a savings fund. Heres the bottom line. Want to get started . Go small. Invest in what you know. Research it intensely. Back then i got old data from the Public Library. Now its simple as a keystroke and the informations free and ubiquitous including uptothe minute financials, analysts presentations, Brokerage Research and Conference Calls are must if you want to know what youre doing. Simple . No. Lucrative. You bet it is. Frank in arizona, frank. Caller jim, when they were considering buying or selling a stock a look at bid price, the ask price, sometimes the price range is narrow, sometimes wide. How is that information useful in determining if its timed to pull the trigger . Look, if you like the stock, im going to tell you thats irrelevant. What matters is, because if you want to hold the stock for a while, you have to hold it, forget about that bid, ask, spend. Most are much tighter. I used to buy stocks, we used to say drive a truck through them, a dollar spread. Things are easier. Dont worry about the spread. Jim cramer, youre one of my heroes. I look forward to your show every week night. Thank you so much for helping beginning investors like me. When you talk about the markets, i just believe that youre spoton. I love it. Thank you so much. Every night we watch you. I have learned and earned announcer at scottrade, our clients trade and invest exactly how they want. With scottrades online banking, i get one view of my bank and brokerage accounts with one login. To easily move my money when i need to. Plus, when i call my local scottrade office, i can talk to someone who knows how i trade. Because i dont trade like everybody. I trade like me. Im with scottrade. announcer scottrade. Awarded fivestars from smartmoney magazine. I got my mom wrapped around my little finger. Do you . Yeah, i do. Huh. I said i want honey nut cheerios uh huh. And she just totally caved. Its all about psychology buzz. Psychology . As long as i dont tell him the cereal is healthy he cant get enough. Sad, really. I kind of feel bad that i tricked him. But. It was easy. Surprise. Uh, ha ha ha. [ whirring ] [ dog barks ] i want to treat more dogs. Our Business Needs more cases. [ male announcer ] where do you want to take your business . I need help selling art. [ male announcer ] from broadband to web hosting to mobile apps, Small Business solutions from at t have the security you need to get you there. Call us. We can show you how at t solutions can help you do what you do. Even better. Lightning round sponsored by tonight, show is all about you learning from my attendance at the university of financial hard knocks with a major in investing. Ive taken you through the importance of Getting Started early. And saving no matter what. I have shown you how to spot winners and avoid losers with discipline. All while looking at actual examples in my life. How to pick a trader if you want to be a good one at that. Hey, you know what mad moneys changed time and time again over the years. Its been on for so long. And i have liberally skewed in the last 500some odd shows away from trading and oriented into longer term investing because will there are so many more obstacles to trading than investing. You have to watch positions look a hard. You cant do your job at the same time and follow the market. The ability to access the information in realtime and theyre always going to beat you. So many products that allow hedge fund to move stocks around like toys. Youre going oneonone with the big boys if you attempt trading at home or work. Its almost a suckers game. But theres some advantages that you have now that you sure didnt have when i started trading in my law school dorm in 81. First, commissions are so, so much lower. So you can get in and get out with much friction and more after commission profit. Thats why im not worried about the spreads as i said earlier. Second information you know is on your personal computer, even on smartphone. Id have to call brokers all day, watch the ticker on fn, precursor to cnbc. When i was in class i had to use pay phones, no cell. Ever have to wait at a pay phone while some kid chatted to his girlfriend or some woman calling her mom . I was begging to get on the darn phone. At same time, i had to go with what i knew. I knew individual stocks for all of the stories about harvard law including the movie paper chase. I can tell you that there was a ton of down time and a real Good Business School Library across the river that had sell side resent stuff that brokers churned out as well as uptodate microfiche quarterly reports. I possessed the best publicly information around at the time. The first thing i decided to do given the circumstances work on finding one trading idea per week. You cant be all over the map if youre doing this as a hobby, even time intensive one. I couldnt take a lot of chances until i knew what i was doing and thats a valuable lesson for you. Thats a valuable lesson if you want to start trading. I discarded a ton of ideas looking for stocks that had catalysts, upcoming reports of possible merges are stocks that could rally based on other parts of the paper. An article on front page of the New York Times might be talking about a breakthrough of medicine. A brokerage report talking potential for a oil find. I started my first writing about the market. Yeah. I wrote a newsletter, mr. Bullish, which i mailed in to my parents once a week. Clearly articulated the thesis behind my trade. I used to type on olympic typewriter. I would do no trade if i couldnt explain exactly what the company did. And why i liked it and what would happen. I had that level of discipline. No buying of anything that didnt have an exit strategy. I had to have an exit strategy from the moment i put the trade on. Important lesson made discipline by the insistence of a written thesis before i pulled the trigger. When you trade, you must trade with confidence. None of the scare stuff. You can easily be shaken out by the Broader Market if you arent. You want to trade with confidence . Ask yourself, would you be willing to put a stock market on your voice mail and update it every week . Hi, this i jim cramer, im not here right now but i like monolith memories 32 next quarter. I did that, too. Yeah. And i had that level of conviction about my pick of the week which is important to possess. I was putting my money where my mouth was and managed to augment winnings. With work i was able to get from my old employer, freelance work from the New York Times and legal work from the professor who moonlighted during criminal defense cases. It wasnt before long that marty parrots tried to get me to write a piece. I neglected to call him back. He got three weeks worth of trades all successful off the answering machine and told me to meet him at a coffee house. He said he made more money from the answering machine than years of professional Money Managers and wanted to give me 500,000 to manage. I said i didnt think i was capable of managing that. Wow he had confidence in me after i gave him tugofwar. He did give me a check for 500,000. That was real money back then. I had it my hands, too hot for the touch. I ran down to fidelity with money set up another account. I went to work trading. Immediately i lost a ton of it the house of pain sell, sell, sell. And i can see how i would have to wash dishes at martys house and mow the lawn for 125 years to make back the 70 gs i just blown to smithereens. My mistake as Clint Eastwood told us wisely in magnum force, a mans got to know his own limitations. You see you cant trade a huge chunk of money at once. It was in violation of my discipline. You cant put it to work at once. Only after you had ideas that you knew had a chance to pan out with an entry point reasonable and exit point that was planned. Buy, buy, buy. Sell, sell, sell. Knowing it would be gone whether it worked or not to keep discipline intact. I violated my own rules and i had blown it. I confessed to marty my sins and said he should take whatever left of the money back. He wanted to give me more money. He was betting i learn made lesson. You know what . He was right. I reverted to my old style trying to be right about when requested request at a time keeping the rest in character going big when i had the most conviction the way any good trader would do. I slowly but surely made it back while i also paper invested a mortgage active but not truly trading portfolio. Paper invested. Though i had a half million in the bank. That would become the beginning of my professional investing career which you will hear about in a moment. Bottom line, if you trade, make sure you have a catalyst, an exit point where something is supposed to happen and you are out of the stock either way because you are either way, either way, because you are trading, not investing. You need conviction and you have to ask yourself, would you be willing for the world to hear hi, its me, im not here right now, but i want you to take a swing at disney ahead of the analysts meeting. If you can do all of those things start small. Give it a try. Stick with cramer. Needs a new transmission. Your [ coyote howls ] how about no more surprises . Now you can get all the online Trading Tools you need without any surprise fees. Its not rocket science. Its just common sense. From td ameritrade. Its just common sense. The world is changing faster than ever, creating new opportunities for those who stand ready to seize them. In a time when the biggest risk is playing it safe, we believe outshining the competition tomorrow requires challenging your Business Inside and out today. At cognizant, our flexible, collaborative approach helps forwardlooking companies not only run better, but run different. To give your customers every reason to keep looking for you. So if youre ready to see opportunities and see them through, we say lets get to work. Because now more than ever, the future belongs to those who challenge the present. Im gonna have to ask you to power down your little word game. I think your friends will understand. Oh. No, its actually my geico app. See . I just uh paid my bill. Did you really . From the plane . Yeah, i can manage my policy, get roadside assistance, pretty much access geico 24 7. Sounds a little too good to be true sir. Ill believe that when pigs fly. Ok, did she seriously just say that . Geico. Just a click away with our free mobile app. Youve followed my love affair with stocks as a boy to show the importance of Getting Started early in investing. You lived with me with my. 22 pistol in the back of the car, you sold me a mutual fund and learned how to find good Ideas Research them. I want to wish you success in trading and investing and when you hear from the graveyards that say you cant make money at home and give money to professional or index fund the story of my life at every turn is very much the opposite and you can make money in many different ways with managers, brokers and, yes, gloriously, by yourself stick with cramer. Mad money celebrating this fourth of july weekend with some of the most iconic ceos at helm of the Company Making so great. The encore edition of cramers recent conversation with macys jerry lundgren, starbucks Howard Schultz and fords alan mulally, our investment in America Power panel. I cannot believe youre here on the set of mad money. A tremendous, tremendous thrill. All three of you have seen great adversity both in your companies and lives and you talk about it. You talk about not taking the governments money, you talk about having to come back 2008 and how your business was strained. One point it was strained but you had the amazon challenge. What do you tell people, young people, not to give up . How do you beat advisory . First of all, we are all align on this and i know without asking howard and alan you first realize its not only you. Youve got to surround yourself with a great team of people who are prepared to dig in and listen to the customer and be responsive. I start with the team always. I think thats perfect. I would add one thing, surround yourself with people who have likemined values. And for a young person, go work for a Company Whose values are compatible with your own. I wish more people felt like businesses so great. Business is the greatest source of the esteem, wealth for everybody. And our country you can be in it. Other countries the doors are closed for a lot of people, different walks of life. How do you feel . Well, i just think theres so much opportunity for all of us contribute to really compelling visions. And just an example in the ford case if you get a chance to make the best cars in the world contribute to economic development, security, a better world, and that is really compelling. Follow your heart contribute where you really are going to make a difference. If youre president of the united states, anything you can do or would do right now so make it so our country were more prosperous, healthy . Weve all talked about that. You have led the charge that probably the most important thing about the Public Private partnership we continue to work to create an environment where business is going to absolutely flourish and grow. Right. We have profitable growth for all which i know is can i say one thing . I came back from china, i see more and more fords on the road in china. Talk to us. 40 increase in sales, why not, right . How proud that is when youre there and see that. Who else bought a ford besides me . Ive got one. You do . Alan knows that. I called him from the dealership when i bought it. I tried to get the deal, i knew you. Thats great. What kind of car are you driving . Ford 350. Absolutely. Gorgeous machine. Number one vehicle. For seven years. Its got power. I like having power. Starbucks cup holder in there. Quit it. Cramer, as they call it on the floor of the new york stock exchange. How about the American Ingenuity, what your history of it macys starts long time ago, just the concept of the Department Store is yours. Right. And its all all started by individuals, family members, and each city across america. Overtime its rolled up to be called macys. And right now were doing a major event called american icon. All about american designers and innovation and ralph lauren and calvin klein, michael kors. Theyre all american. Designs are coming from here. A proprietary. When i go to macys i dont see the other guys product because youre that powerful. Its about customers choice is what were focused on. You have to innovate every day. I get the new tea drink, a sophisticated arnold palmer. Who i inventing these . Are you a Science Company . Were not a Science Company but the company is steeped in innovation. Though weve had a great year, we recognize more than ever woo have to push for selfrenewal and reinvasion. One of the things steve jobs was working on trying to develop a car that ran on water. Crazy . I think that might be in the future. You do . Further out. I think now we keep improving internal contribution engine. Use more alternative fuels and improve fuel efficiency and reducing emissions. Young people said i told them i worked at goldman sacks. They said we want to work at a place that doesnt ruin the environment as their first, as their first goal. I mean when youre trying to get best is that what they want . Absolutely. You know, its so neat because ford has always attracted a tremendous talent because of what we do. Not only safe and efficient transportation but contribute to a better world. Our new hybrids and plugin hybrids and allelectric, hydrogen vehicle, mixing hydrogen with platinum and waters coming out the tail pipe and we together work on creating energy clean theres a future out there thats very, very compelling. I just hope that the smart people, young smart people want to do that and become engineers. Very fun. Need more engineers. Speak about American Ingenuity and the American Dream, has it changed . I know all three of you have talked about maybe next generations not as wealthy as the previous, i know you love the millennials but they may not have as much money. Is the dream too distant . We dont put a lot of people to work anymore. I dont think its too distant. I think the american promise and the American Dream is alive and well but i do think we as a country and as a society need to celebrate people who are living and have created the dream and not put them in the penalty box. And i think thats happened over the last couple of years and its unfortunate. Youve empowered a lot of people. You have a tremendous training perhaps. The training youre giving them now would want them to make them open their own store. Thats where we win on campus. Students realize that they can learn a great deal about our business and about business. By being part of our training program. We hired 1,000 College Graduates and they started two weeks ago. And im buzzing around the floor, saying hello to these guys. We had a 5k run on wall street, all the millennials show up. They want to beat me and they did. With people that are hiring. We hear about firings. Hiring globally. Doing great stuff. Last question, 40 years ago what would you tell that person, you, 40 years ago, about what they should be doing . Oh, jim, i feel more strongly about that than i did when i was starting out. You know, theres so many chances to contribute so many things are that important. Pick out the area that youre really care about and want to make a difference and join. Theres just such an opportunity to contribute. So many important things. You have to find something that you have such love and passion for and are willing to sacrifice for. Success is not easy. We all know that. But those people who have achieved success have achieved it because of an unbelievable commitment to doing something that other people said could not be done. People quit too soon. Yes. Give up. They should never give up. Ive inner give up. I say bloomer your planet. When you make a decision to do something, do it best you can. Dont complain about it dont say i wish i had that job instead of this job. Do that job extremely well, people will notice. Bring everybody along. Everybody along. Never complain, never explain, the founder of the ford motor corporation. You guys are fabulous. I hope younger people listen, never give up. Thanks for sharing the story. I say this is the best america has to offer. I want to thank the president and ceo of ford, alan mulally, macys terry lundgren, and chairman and president and ceo of starbucks, Howard Schultz. Stay with cramer. Bjorn earns unlimited rewards for his Small Business. Take these bags to room 12 please. [ garth ] bjorns Small Business earns double miles on every purchase every day. Produce delivery. [ bjorn ] just put it on my spark card. [ garth ] why settle for less . Ahh, oh [ garth ] great businesses deserve unlimited rewards. Heres your wake up call. [ male announcer ] get the spark Business Card from capital one and earn unlimited rewards. Choose double miles or 2 cash back on every purchase every day. Whats in your wallet . [ crows ] now wheres the Snooze Button . Otherworldly things. But there are some things ive never seen before. This ge jet engine can understand 5,000 data samples per second. Which is good for business. Because planes use less fuel, spend less time on the ground and more time in the air. Suddenly, faraway places dont seem so. Far away. [ male announcer ] the allnew 2014 lexus is. This is your move. I like to say theres always a bull market somewhere. I promise to try to find if for you here on mad money. Im jim cramer. See you next time the new york city subway an engineering marvel built of fire and steel. The subways the way to go. Get me home. Get me uptown, downtown. Workers in brazil weld the cars megastrong body. New york city is the toughest customer that alstom ever had. And workers in new york assemble it mostly by hand. Theres gonna be a lot of steam. To build one of the worlds most vital lifelines, it takes a global commitment to quality. The most critical part of this process is the precision manufacturing, because it