Try, Otherwise You Will Never Know
The Importance of Risk-Taking
Risk-taking is inherent in our personal lives, entrepreneurship and business. The phrase “Try, otherwise you’ll never know” embodies a fundamental fact in our ever-changing environment. Businesses that succeed and innovate recognise that calculated risk-taking is not just an option, as it plays a key role in driving growth, encouraging innovation, and eventually contributing to success.
Let’s Try to Understand Risk-
Risk is the possibility of experiencing negative effects or uncertainty when making decisions or taking actions. These uncertainties can come in various forms and shapes. The key to better understanding risk is to know that not all risks are negative and certain risks may bring possibilities for growth and innovation. Understanding this, presents the key to good risk management.
Let’s look at a few reasons why risk taking is essential ….
We’ve heard and seen success stories that came to be as a result of individuals or teams stepping outside their comfort zones and questioning the status quo, so it is evident that such acts frequently yields innovative ideas. Take Apple for example, the tech powerhouse that revolutionised the music industry with the release of the iPod. Their audacious approach, which involved the risk of entering into a new market with a relatively untested product, eventually opened the way for the iTunes ecosystem, and the iPhone, which subsequently established Apple’s position as a global leader in innovation and tech.
We could go on to state countless examples of success stories; businesses that have become household names and leaders in their various sectors who earned their various status as a result of their willingness to venture into the unknown. An action which has frequently resulted in the development of new products, services, or procedures that differentiate them from their competitors.
Risk Taking and Entrepreneurship
Entrepreneurs that are eager to explore unfamiliar waters have the potential to develop new markets, disrupt established sectors, and transform the corporate world. These trailblazers recognise that development is frequently connected to the ability to recognise and seize opportunities, especially in the face of uncertainty.
For example, a good illustration of advancement driven by the ability to take risks is the introduction of electric vehicles in the automotive industry at a time when prevailing thinking favoured internal combustion engines, companies like Tesla took a significant risk by investing in electric vehicles technology and today, the success of electric vehicles not only benefits the environment, but also demonstrates that companies willing to take chances may lead sectors into a more sustainable and technologically advanced future.
Risk-Taking in our Ever-changing Transactional World
Our economic environment is constantly changing, with advancements in technology, market developments, and unexpected difficulties. In such a volatile environment, taking risks becomes a critical tool for adjusting to change. Businesses that avoid taking risks would usually find themselves unprepared when unforeseen situations arise.
A classic example is the impact of the COVID-19 pandemic on businesses around the globe. Those that had diversified their revenue streams, invested in digital transformation, or explored new markets like Zoom were better positioned to weather the storm…
Companies like Netflix took significant risk when they took the bold step to transition from a DVD rental service to a streaming platform. This move of theirs disrupted the traditional television industry and positioned them as a key player in their market. By taking this risk, Netflix gained a competitive advantage that continues to shape the entertainment industry even today.
Risk-Taking and Fear
Fear of failure is a significant barrier to risk-taking in both our personal lives and in Business. Many individuals and organisations avoid taking risks simply because they are afraid of the potential negative consequences and a lot of times, their feelings are valid. However, overcoming fear is essential for growth and success. My advice is that it’s okay to feel afraid; fear is part of the process but DO IT ANYWAY.
The saying “Try, otherwise you’ll never know” is as a reminder that risk-taking is a process of learning, and even in failures, we learn valuable lessons. Sometime last year I started working on a new project, something I never thought I could do and fast forward to now, I know that the decision to go on this journey and work on the project is one of the best decisions I have ever made- I am not saying it will be easy or that everything will go as planned but, I have learnt that trying new things encourages a culture of learning, growing, becoming better versions of ourselves and building ourselves up in ways that we hardly imagined…
More importantly, I have come to realise that when individuals and organisations embrace risk-taking, they accept that failures and setbacks are an inherent part of the process but instead of fearing failure, they view it as an opportunity to learn and improve.
I’d love to read your opinions and related experiences!
