Double-Edged Growth / by Alexander Lyadov

Let's say you have something good—X. Something you consider useful, beneficial, and valuable. Obviously, you know X inside and out.

What happens if you add another X to your X? Right, you get 2X. In other words, the value grows linearly. Predictable growth, no unpleasant surprises.

But what if that pace isn't enough? Say, there's an urgent need for a big leap forward.

We're talking about exponential growth, where a grain of sand suddenly turns into a mountain. Yesterday, there was hunger; today, food appears so fast it’s like a fairy tale where you have to say, "Pot, stop cooking."

It's clear that for this kind of magic, you need more than just the usual X, or even a variation X'. You need something entirely new—an unknown Y.

The more Y differs from X, the greater the outcome when they combine into XY.

But the unknown carries risk. An explosion is also lightning-fast growth, only usually for harm rather than good.

This brings us to the issue of governance. The highest increase in value is technically impossible without novelty, but novelty can both create and destroy.

Remember the dilemma from another fairy tale? "Execute, no pardon." The outcome depends on where you place the comma.

If you're planning a big business, keep in mind the double-edged sword of novelty. You must be open to strange people and ideas, but also aware of the inevitable risk of falling from great heights.

Sincerely yours,

-Alexander


About me:
As a business therapist, I help tech founders quickly solve dilemmas at the intersection of business and personality, and boost company value as a result.

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