Podcast | 1 min read

Episode 112: 7 Cognitive Biases That All Entrepreneurs Should Be Aware Of

As humans, we all have cognitive biases. Many were developed to help us survive way back in the caveman days, but can be quite destructive for an entrepreneur.

In this episode, I discuss 7 cognitive biases that I have researched and identified in myself over the past 19 years of being an entrepreneur. And I discuss the importance of counteracting your natural biases to make the right decisions for your business and in life.

Topics Discussed (Time Stamped)

03:00 The concept of cognitive biases
04:02 Why everyone has cognitive biases
05:55 Optimism bias
07:34 On having a focus group
08:09 Having good contingency planning activities
09:12 Negativity bias
11:44 How to deal with negativity bias
11:48 Tracking the positive
12:38 Data and metrics
13:16 Confirmation bias
16:36 What to do with confirmation bias
18:05 Sunk cost fallacy
23:42 Anchoring effect
27:29 Goal Gradient Effect
31:51 Cognitive miser theory

Quotes Worth Sharing

05:09 "We were evolved with a set of cognitive biases for the purpose of survival.”

17:08 "The best entrepreneurs are the ones who challenge their assumptions."

Resources Mentioned

Thanks!

Thanks for listening and checking out the show notes,  any feedback, comments, or questions, send me an email at david@techsmartboss.com

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