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The importance of risk in being successful.
Hey Guys--
One of my favorite shows to watch is "American Greed." It's a show about con men, but also a show about "marks" and while I don't like way the media misuses the word "greed" in this case it is an appropriate title.
In fact, it is more appropriate than the producers may have intended because greed not only drives a lot of the con men, it drives a lot of the marks ("victims").
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I've always defined greed as ill gotten money without the delivery of requisite value, and you see a lot of that on this show.
One of the biggest scams con men run has to do with taking money for "can't fail investments" then spending that money on themselves lavishly. Most are really just punks trying to make themselves look big via the appearance of wealth instead of the actual creation of it.
Eventually they run out of money, the investors demand accountability, the scheme falls apart and the con man ends up where he should--in the clink.
However, what is fascinating about the show is to watch how angry the marks get at the con man for taking every dime they had because they "believed in him."
When you sit down and examine the con man's proposition to them, what you find is this: gigantic, guaranteed, riskless returns.
So, the marks turn over everything they have, never asking themselves the question, "what happens if I lose everything because this deal goes south?" Then, when it does go south, they heap all the blame on the con man, and none on themselves... they wanted to believe in a world without risk and that just doesn't exist.
Lookit, I myself have lost money (and made money) on risky investments and business ventures. But I have always operated from the
point of view of "what happens if it all goes bad," even when I thought the chance was slim of it going bad.
And when it did go bad, I was always able to get out with no permanent damage because I planned in case it did. I accepted the risk, and took ACCEPTABLE losses.
That's the difference between the man who succeeds and the man who fails. The man who succeeds lives in the world of risk, managing it appropriately, shrugging his shoulders when it doesn't work out... and when it does.
He never gets too high or too low because he knows some deals will go bad, and some will go good... and he never lets his losses or his gains color his evaluation of the next deal.
The man who fails bemoans his cruel fate, snakebitten from his bad experience, never to play again in an "unfair world."
The truth is this: the world is neither fair nor unfair. It is risky. Those who accept and manage risk succeed. Those who wish for a world without risk will always fail.
On with the fun,
-John Alanis "The King of Let 'em Come to You"
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