Risk vs. Reward Rethink The Balance And Jump Into It
Yesterday Alexander asked me “how can you find the balance between Risk and Reward and then go for it’. I looked at him with a smile and answered “First of all what is risk? A common understanding of risk is that something to be avoided. But if you want to succeed in a long term, you will have to take the risk. Risk taking is one of the commanding sources of reward and chances”.
The more risk you are prepared to take, the greater the reward. Though there is always a chance when you could lose more. In truth, all of us risk ourselves every day when we ride in cars, eat a raw fish, take part in meetings, buy stocks, take loans and in many other ways. To put it straight, we take risk every day and every minute of our lives.
To explain this concept of Risk vs. Reward rethink the balance and go for it, I will take some examples.
Not everybody is able to carry on risk and reap rewards in exchange. As a Social network marketer, if you be brave enough to stand up in a social platform for a social cause then you may face some hostility and criticism from certain groups of people.
It can also have a bad impact if the social network manager doesn’t manage his business properly as this could be let to some legal risks. Nevertheless the rewards could be very much if it is noticed by good people and appreciate you for your courageous stance. Thus, risk always has a role play in monetary as well as non-monetary manner.
Taking another example; a building developer invests in a piece of land when the market is down and returns are low. He can earn the reward for his risk taking ability during a bright market. The piece of land could attract buyers during the later periods. Thus, the developer took the risk.
He calculated about the upcoming market conditions along with his capacity to handle the risk that comes along with investing. Despite being a long term risk option, a developer chooses to invest in it because there is a positive hope behind the risk bearing. Risk should never let you take a back seat from facing challenges. Aim for more and initiate more risk.
A dancer wants to take part in a dancing competition could be either criticised or recognised nationally or internationally. Thus here is a huge risk factor based on her single performance. Here, in this example we are not talking about a monetary risk.
If the dancer thinks that she can sit at home because of her apprehensions then possibility she is in a losing position. By initiating to participate, the dancer finds the balance between risk and reward and goes for it.
There are so many incidences which are quite dicey and non-promising. Giving a try to something worthwhile may not always fetch you results. However, it will definitely teach new lessons of life. In any case you be benefitted; either monetarily, non-monetarily or both.