The Limitation of Opinion, Rumor, Guesswork, And the Value of Factual Information(Facts) In Our Business Decisions.

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It is tempting to believe that we can rely on opinion, rumor, and guesswork to make business decisions.

Of course, opinions, rumors, and guesswork are part of what informs our decisions.

Whenever we read articles in trade journals and newspapers and hear opinions from our colleagues and friends, we add one or more perspectives to our projects, endeavor and businesses.

This is a great way to expand our understanding and gain a broader perspective. I don’t want to suggest otherwise..

But I want to remind ourselves how little we can learn about our projects, business, and deals through opinion, rumor, and guesswork alone and how valuable hard facts(factual information) help us reduce the risk caused by poor decisions.

    The Fragment Perspective of Opinions, Rumors, News and Guesswork

A short time ago, the investors I know spent nearly Tzs 1 billion to build a drinking water bottling factory in Moshi, Tanzania, which according to a trade journal article he reads, was in great demand.

Not until he was ready to go into production did he discover that several companies were ahead of him and distributing the product at relatively low prices than he did. The market was saturated before his sell team could start selling his products.

This could not have happened had he checked all the facts before leaping into the stupid business situation.

There may be a substitute for hard facts and actual information, but if there is, I have yet to learn what it can be.

In order to succeed in any deal, project, or endeavor, businessmen must assemble all available facts and study and analyze them

Opinions from others, news in trade journals, and guesswork are still important. But the mistake lies in accepting and following opinions, guesswork, news, and rumors without determining if they back up by hard facts.

Once we have made sound decisions based on facts, we can implement the course whereby we will implement the decision

Hussein Boffu runs a consultancy provides business planning, financial forecasts, market research reports, expert analysis and consulting for entrepreneurs and business owners. Reach out to him via email at hussein.boffu@tanzaniapetroleum.com or by calling, texting, or WhatsApp at +255(0)655376543.