Reilly Newman | The greatest hindrance to any business is not the cost of doing business.
If your business is properly planned, that’s a given. Your expenses are estimated and planned for accordingly; you have to spend money to make money.
The obstacle I’m talking about is one most don’t consider when in the weeds of the day-to-day minutiae of running a business. Opportunity cost is very much the snake in those weeds when it comes to undermining your business.
Everything has opportunity costs. Every choice you make has an alternative option that potentially has its own value, therefore its own cost for not selecting that option.
How do you remedy this fact of life?
The weeds of the day-to-day only become a breeding ground for these “snakes”. And being in the weeds is directly correlated with having a short-term mindset. To escape the weeds is to escape the snakes.
By adjusting our mindset to a macro-view that is focused on the long-term, opportunity cost is decreased and restrained. As a business, this wider outlook translates into being brand-centric in our goals, values, and decision-making.
Opportunity Cost Value
I should also mention that opportunity cost is more valuable than what we give it credit for. Its benefits lie in the opportunity it gives us to see how alternative choices can either help or harm our long-term vision.
Only by having a brand-centric, macro-view can we have the clarity to determine which choices are truly correct for our business and brand.
