Business and life are all about decision making. Decisions can be of great or little significance to the decision-maker and others. In established entities, the decision-maker will try to avoid having to make decisions which will destroy the entity if wrong. In early-stage startup companies, the decision-maker is frequently faced with continue or quit decisions, based on beliefs which can only be proven by the experience of continuing.
In the title of this essay the term “Not-Succeed” is used rather than fail. The thought is that fail indicates the concept of what could have been successful was wrong, rather than the resources necessary for success were not available. Further, that the identification of that which would have helped others was not wrong, just that it required more than we had to make it work. The need was to prove the world is round by attacking the popularly perceived borders, rather than accepting that flat was reality.
Also, the decision-maker has both an ego-need to prove the correctness of whatever decisions have been made, as well as a responsibility to others who accepted the vision of probable success and invested in those decisions.
Beliefs motivate actions. The beliefs can relate to gender or racial superiority, religious concepts, territorial or property rights and appropriateness of governance structures. The beliefs can be based on traditional experience, theories or simply hope. The objective of leaders should be to identify and accept the beliefs which will result in the greatest good for the greatest number.
Therefore, decision-makers should seek ways of better determining the likelihood of probable versus less probable success of their beliefs. What are the odds and what are the results in either case? That which exists and would be threatened with an acceptable loss, is very different than a case where there is nothing or only that of little value to lose by continuing to believe in the possibility of the unreasonable beliefs occurring. In all too many cases, entrepreneurs burdened with unreasonable beliefs, underestimate the costs of continuing.
Seeking advice is generally not something entrepreneurs do well, as they have already been advised by family, friends, and advisors not to begin the effort. The most realistic advice can be, for some, the rejections of funding sources approached for financial participation. However, many of these investors also were known to have rejected opportunities which turned out to become wildly successful when financed by others.
There is a need for a group of entrepreneurs, not financiers (most of whom manage client money), who have had the experience of starting both companies which have succeeded and those which have not succeeded to advise those having to quit or continue in their efforts to start a business which can be both profitable and provide benefit for their customers. It is possible, in some cases, that members of the group might be interested in becoming involved. The suggested group would only focus on assisting entrepreneurs in the critical “continue or quit” decision-making predicament.
The likely realistic personal cost of continuing must be understood by the decision-maker. The downside must be recognized, not only the possibility of success. It is also true that it is darkest before the dawn.
The above observations and possible means of assisting startup decision-makers is intended to focus on the need for more of us to understand, and perhaps help, those believing in the unreasonable.
Arthur Lipper, Chairman
British Far East Holdings Ltd.
14911 Caminito Ladera,
Del Mar, CA 92014
+1 858 793 7100
arthurlipper@gmail.com
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