Success Is 80% Psychology And 20% Strategy

Many people have heard of the 80/20 rule, or the Pareto Principle, which states that 20 percent of any effort will usually provide 80 percent of the results. However, leadership and peak performance expert Anthony Robbins has applied the 80/20 rule to the study of success. He states that in almost every circumstance

“80 percent of success is due to psychology—mindset, beliefs, and emotions—and only 20 percent is due to strategy—the specific steps needed to accomplish a result”

So what exactly does this mean for the buddying entrepreneur?

Typically when an entrepreneur or early-stage business people (in first 3 years of operation) wish to improve or ensure the success of their efforts, they first think of learning to write a business plan, manage inventory, create a balance sheet, establish or improve sales systems, build a marketing platform, and so on.  Although these skills and strategies are of course essential, the rule  suggests that they only form 20 percent of what is necessary to achieve results. Therefore without the other 80 percent and without the proper psychology in place, strategy will be of very limited use.

To become a successful entrepreneur you need more than a killer product, a plan, or a market; you need the ability to see opportunities, to be creative, innovative, to overcome fears, and the willingness and persistence to turn ideas  in your head into physical reality.

There are three key elements required to achieve Entrepreneurial success Vision, Passion and Mindset

Entrepreneurs are innovators and inventors – they must be able to dream, to create and visualise what does not yet exist with complete clarity. Entrepreneurs need passion to drive them forward and help them hold to their purpose even in the face of adversity. And most importantly they must have  the right mindset that allows them to revise and improvise, to constantly learn and look for ways to adapt to new conditions and circumstances, to take risks, and to believe in the ultimate success of themselves and their businesses.

Strategy is of course important—strategy will lead you to the accomplishment of your vision. However vision, passion, and mindset are necessary to guide strategy. Without these elements in place, no killer product, perfect business plan, or sizeable target market will guarantee that your
business will thrive and grow.

With the right vision, passion, and mindset, your chances of success are exponentially greater no matter what the business climate

The entrepreneurial mindset is composed of the following three elements:

Beliefs – Successful entrepreneurs believe in themselves, in their businesses, and in their products or services. They also believe in their ability to succeed. And most of all, they understand the power of beliefs to determine what they will or will not do, what they will or will not notice, and the actions they will or will not take.

Attitudes – Entrepreneurship requires specific emotional and mental traits that can be grouped under the term attitudes. The attitudes people bring to work will determine whether they are suited for entrepreneurship or not. According to research the specific attitudes that the most
successful entrepreneurs share include courage, persistence, adaptability,curiosity, collaboration, future focus, self-fulfillment, the desire to learn, and the willingness to take action

Focus – If there is one key trait of a successful entrepreneurial mindset, it is the ability to direct one’s focus, to put time, energy, and attention toward what will help build the business and mitigate whatever will hold it back. Successful entrepreneurs focus on three things. First, they look for opportunities where others see only obstacles. Second, successful entrepreneurs focus with laser-like precision on the goal they wish to accomplish, not letting the negative advice of others deter them. Third, they manage risk and overcome fear by controlling their focus. Almost every study of the entrepreneurial mindset declares that the ability to manage risk is a key to success.

When it comes to entrepreneurial success, strategy is useful however, as is proven every day—what truly matters is developing the vision, passion, and mindset that will help you turn your little start-up into a billion-dollar enterprise. Focus first on vision, passion and mindset first, and train your psychology to create and seize opportunities, to manage risk, and to persevere no matter what, and your entrepreneurial success is guaranteed.

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