Success Advice
Why Warren Buffett Embraces Not Knowing Everything and You Should Too
While the new generation of billionaire entrepreneurs like Mark Zuckerberg and Elon Musk seem to get involved in everything from space travel to foreign politics, Warren Buffett, the world’s most successful investor and one of the world’s richest men, embraces not knowing everything.
The “Oracle of Omaha” spends 8 hours a day reading, doesn’t use a computer and only invests in companies and industries that he understands. He has generated a 20.9% return on his investments from 1965-2017, more than doubling the average return of the stock market!
In this article, I will look at why Buffet embraces his lack of knowledge of things like tech and complex derivatives and how the average person can apply these 2 pieces of advice to achieve more success!
The most recommended book in silicon valley
“The Outsiders: Eight Unconventional CEOs and Their Radically Different Blueprint For Success” by William Thorndike is the most recommended book among the Silicon Valley crowd and focuses on unusual CEOs such as Harry Singleton of Teledyne and Warren Buffett of Berkshire Hathaway whose returns for investors trounced their peers.
The book found that all of these CEOs used two rules for making decisions:
- They view their most important job as the allocation of resources. That sounds a little technical but basically, it means making sure that both financial resources like money, stocks, and bonds and human resources like employees, management, and talent are all being used for their best and most efficient purpose.
- They think like investors, not managers. While a manager might need to think about the day to day workings of a business (taking up valuable time by having to learn things like astrophysics from youtube videos for example), an investor simply has to be able to evaluate what something is worth and what others are willing to pay for it. Because of that, investors can focus on creating value to raise the overall stock price.
“It’s better to hang out with people better than you. Pick out associates whose behavior is better than yours and you’ll drift in that direction.” – Warren Buffett
Let’s look at two ways you can apply these ideas to your daily life:
1. Resource allocation can make you more successful
When I say resource allocation, what I really mean is being efficient with your money, time and energy. One of the biggest problems we have as humans is inefficiency! We waste time, energy and money by not allocating our resources correctly. Take budgeting for example. Only about 41% of people claim they use a household budget.
How can you know if you’re managing your money correctly if you don’t keep track of where it’s going? You can’t. But the greatest way we waste our resources is through wasting time. Money and energy can be replenished but time is the one resource you will never get back. How are you using your time?
Are you building a better future for yourself and your family or are you wasting it playing video games or re-watching movies you’ve already seen a hundred times? Being more aware of how you allocate your time, money, and energy while focusing on finding the best and highest use for each will help you become more successful.
2. Think like an investor and you can be more successful
A few months ago I read and reviewed the 50-year anniversary of Buffett’s letters to investors. In 50 years of incredibly well-written, funny letters, Buffet boils down his investment theory to 2 points:
- What is something worth?
- Does the price reflect value?
In the letters, Buffet revises the old analogy that a bird in the hand is worth two in the bush- unless that is he writes you know exactly how many birds are in the bush and how likely they are to come out.
When thinking about all life decisions from whether or not to go back to school or start your own business, you want to think like an investor and ask yourself what is it worth you to and what price are you willing to pay to achieve this?
“It is not necessary to do extraordinary things to get extraordinary results.” – Warren Buffett
Nothing in this world is free, everything comes with a price if simply in the opportunity cost of pursuing one option over another. Asking yourself if this is something that is worth it to you and if you are willing to pay the price for pursuing it will help you think like an investor and make better decisions.
The world is full of so much information that we cannot possibly take in and understand it all. Instead of trying to learn everything about everything, Warren Buffett and other superstar outsider CEOs focus on the allocation of resources and thinking like Investors, not managers.
Which one of the principles Warren Buffett uses resonates most with you and why? Let us know your thoughts below!
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How to Choose the Best Affiliate Programs for Your Blog
If you follow these steps, you can create an affiliate marketing plan that makes money, fits well with your content, and connects with your readers
Picking the right affiliate programs for your blog is really important. It can make a big difference in how much money you can make and how much your readers get out of your blog. With so many choices out there, deciding which ones to go with can be tricky.
This guide is here to make it easier for you. It will give you clear steps and helpful tips to choose affiliate programs that fit well with what your blog is about, what your readers like, and what you stand for.
For more articles on this theme, please head over to this blog https://blog.partners1xbet.com/.
Understanding Affiliate Marketing
Before you start picking affiliate programs, it’s important to really understand what affiliate marketing is and how it works.
Basically, affiliate marketing is when you promote a product or service on your blog, and then you get paid a little bit every time someone buys something or does something because you recommended it.
It’s great for both the person selling the product and the blogger, because the seller gets more sales with low risk, and the blogger can make money from their blog.
How to Choose the Right Affiliate Programs for Your Blog
1. Assess Your Niche and Audience
The key to doing well in affiliate marketing starts with really knowing what your blog is about and who reads it. Consider the following:
- Your blog’s content: What topics do you cover? Ensure the products or services you promote are relevant.
- Your audience’s interests and needs: What solutions are they seeking? Choose affiliate programs that offer products or services that solve their problems or enhance their lives.
2. Research Potential Affiliate Programs
Once you know what your blog is about and what your readers want, start looking for affiliate programs. Choose ones that are well-known for good products, great customer service, and helpful support for affiliates. Resources to find these programs include:
- Affiliate networks like ShareASale, Commission Junction, and ClickBank.
- Direct searches for “[Your Niche] affiliate programs” in search engines.
- Recommendations from other bloggers in your niche.
3. Evaluate the Commission Structure
The commission structure is a critical factor to consider. Look for programs that offer competitive rates that make your efforts worthwhile. Consider:
- The percentage of commission per sale.
- Whether the program offers a flat rate per action (e.g., per sign-up).
- The cookie duration, which affects how long after a click you can earn commissions on sales.
4. Consider the Program’s Reputation and Sureness
Join affiliate programs with a solid reputation for quality and sureness. This not only ensures that you’re promoting good products but also that you’ll be paid on time. You can:
- Read reviews from other affiliates.
- Check the program’s history and background.
- Look for any complaints or issues reported online.
5. Analyze the Support and Resources Offered
A good affiliate program gives you things like ads to use, training on their products, and helpful managers. Having access to these resources can really help you do a better job at promoting their products.
6. Understand the Terms and Conditions
Before signing up, thoroughly review the program’s terms and conditions. Pay close attention to:
- Payment thresholds and methods.
- Any restrictions on how you can promote their products.
- The program’s policy on affiliate marketing on social media platforms.
7. Test the Product or Service
If possible, test the product or service before promoting it. This firsthand experience allows you to offer genuine charge and build trust with your audience.
8. Look for Recurring Commission Opportunities
Some affiliate programs pay you again and again for subscriptions or services that charge fees regularly. These can provide a more stable income compared to one-time sales commissions.
Implementing Your Choice
After choosing the best affiliate programs, the next step is to smoothly include your affiliate marketing in your content plan. This includes:
- Creating valuable content that naturally incorporates affiliate links.
- Disclosing your affiliate affairs transparently to maintain trust with your audience.
- Tracking your results to understand what works best for your audience and adjusting your strategy accordingly.
Picking the best affiliate programs for your blog involves careful planning, research, and making sure they match what your audience likes and needs.
If you follow these steps, you can create an affiliate marketing plan that makes money, fits well with your content, and connects with your readers.
The real key to doing well with affiliate marketing isn’t just about the products you talk about, but also how much your audience trusts and values your advice.
With enough time, patience, and hard work, your blog can grow into a successful space that earns a good amount of affiliate money and helps your readers choose the right products.
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