Why Diversification Results In Mediocrity
While there is unquestionably some truth to the idea that the world is often too random to literally make just one bet, the widely held assumption that diversification is a free lunch is just plain wrong. Just as there is benefit to be derived from diversification with respect to risk, there is a cost, too — that of losing whatever edge you might h... See more
Mike Speiser • Why Diversification Results In Mediocrity
Just as a bonus point, one’s the worst number for anything else, too. Too much of your revenue dependent on one key account, one product, one service, one advertising media, one calendar event, one means of distribution, one anything, anything, anything.
Dan Kennedy • No B.S. Ruthless Management of People and Profits: No Holds Barred, Kick Butt, Take-No-Prisoners Guide to Really Getting Rich
Simplicity is difficult because most of us are overcompensating for uncertainty. Adding something is easy. But removing something is hard, because it requires conviction. It’s easier to hedge against uncertainty, entertain multiple paths, and dilute your focus than to develop a strong opinion about what to exclude.