Comment by whatevertrevor
2 days ago
Except you can play hundreds of thousands of poker hands in your lifetime, but only have time/energy/money to start a handful of businesses.
2 days ago
Except you can play hundreds of thousands of poker hands in your lifetime, but only have time/energy/money to start a handful of businesses.
Sure, but within running a single business, there are a huge number of individual events. Those are the hands.
That's where the analogy starts to fall apart then. Because the variance in those decisions is not very similar, since you're sampling very different underlying distributions. And estimating the priors for a problem like "what is the optimal arrangement of tables to maximize throughput in a cafe" is very different from a problem like "what is the current untapped/potential demand for a boardgaming cafe in this city, and how profitable would that business be".
The main reason why professional poker players are playing the long-game, is because they're consistently playing the same game. Over and over.
Heh yes, it's not as controlled, but there are repeated tasks like analysis, communicating, intuiting things, creating things, etc. And the tasks have more variability, but if you're better at these skills, you'll tend to do better. And if you do much better at a lot of them, then you're more likely to succeed than someone working on the same business who isn't very good at them. Starting a business is also a long game with a lot of these subtasks.