I published a post this morning on Medium titled “What soccer taught me about business”. It’s a story of how I went from ignoring soccer, to watching only the World Cup, to being a true fan. And as I learned more about soccer, I saw many parallels with business.
The short version is that soccer is a game of opportunities. Even if you execute beautifully, no one opportunity is a guaranteed success. You need lots of opportunities to ensure you’ll score.
Business works similarly. Rarely are you in a situation where you only have a single shot. If you position your business wisely, you’ll find tons of opportunities available. Execute well across a large enough number of opportunities, and you’ll find success.
You can think of the same idea in the context of investing. Warren Buffett believes that the stock market, on a day to day basis, may value a company wildly above, or below, its intrinsic value. Over a long enough period of time, the stock price should fall in line with the true value of the company.
That sounds all well and good. The problem is we don’t have infinite time in business. And we can’t keep pursuing failed plans hoping that time will reverse our bad fortune. That’s where good judgment comes in, which is super valuable, but hard to develop.
Like almost everything else, this is a game of moderation. Don’t be so impulsive that you prematurely throw away a good idea. Don’t be so stubborn that you fall on your face with a bad idea. Find the happy middle. For more details, see my Medium post.