A Smart Bear · Jason Cohen
articleprincipleCapturing luck with "or" instead of "and"
28 April 2024Profit
Source excerpt
About A Smart BearLuck always plays a role in startups, but there are ways to better capture upside and mitigate downside.
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Apollo layer
What a founder can learn
Founder takeaway
Design startup bets so success can come from several independent paths rather than requiring every assumption to be right. More “or” conditions increase your chances of capturing unexpected upside; too many “and” conditions compound downside risk.
Why it matters
Startups cannot eliminate luck, but they can shape their exposure to it. A plan with multiple credible routes to success is more resilient when one assumption fails and better positioned to benefit from surprises.
Relevant guides
Put it to work
List the conditions your current plan requires. Which critical “and” could you replace with two viable alternatives, without spreading the company too thin?
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