You think you know the TRUTH… Think again.
We have to face the TRUTH…
When we see our business growing we thought that we have predicted what is going to happen. We are certain that we had everything planned and it will succeed.
And in REALITY…
Confidence is important to engage in situations that needed the most and it offers a lot of opportunities in business that will make it grow. This is probably because most of us go through our lives watching confident people succeed, whether it is political candidates winning in the elections, cancer patients beating their illness or athletes earning medals. There is so much evidence that there is a correlation between confidence and success although it is easy to make a mistake as well that confidence can cause success in general.
On the other hand…
Overconfidence can give you an illusion of success which will lead to poor outcomes later on. It can be a cause if you thought you already have the business established but did not look on factors that will affect it. An entrepreneur who becomes overconfident can be like a basketball athlete that thought he has a “hot hand”. He will think with this theory he can surely make more successful shots but statistically a “hot hand” theory does not exist. With this concept in mind the athlete takes more risks thus decreases his chances for success.
In the business world 80% of businesses go bankrupt in the first 5 years and another 5 years after. As a result only 10% of businesses last more than 15 years which is alarming.
In order for you to see confidence as an ally you have to partner it with preparedness. You need to look at every angle of the situation and not just banking that your business is a success by looking at a few factors. Preparedness and anticipation is the key to fight overconfidence and will boost your chances that you will not fall into its traps.
You can also learn from professionals who have been successful in the past and learn the correct balance of being confident and prepared. With this you increase your knowledge and know what is coming before it does.
