That entrepreneurship is for daring, risk-loving individuals is a common misconception. The truth is that risks can be calculated and managed by data-driven decisions, and often, an entrepreneur will be finding others to take on risks, such as seeking pre-orders from customers before committing to the manufacture of a product, or reducing the risk of failure by conducting small experiments – act, learn, build, repeat.

Risk is different from uncertainty though. Knight (2002, 233) distinguished risk from uncertainty in the following way:

The practical difference between… risk and uncertainty , is that in the former the distribution of the outcome in a group of instances is known… While in the case of uncertainty that is not true, the reason being in general it is impossible to form a group of instances, because the situation dealt with is in a high degree unique.


Trees and sunshine

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Food: bean mix, weet-bix, veggie burrito, sweet potato, cauliflower, noodles, strawberries.

Workout: 14.8km bike ride, 99m elevation, at 20.1km/h

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