Why your opinion doesn’t matter (and what to do about it)

How to Make Your Opinion Matter in a Changing World: Lessons from Warren Buffett’s Journey

Apr 26, 2023

Hi there,

You probably have an opinion on many things. You may think you know what works best for your business, your industry, and your customers. You may have strong convictions and beliefs that guide your decisions and actions.

But here’s the hard truth: your opinion doesn’t matter.

That’s right. Your opinion doesn’t matter if it’s not based on facts, evidence, and reality. Your opinion doesn’t matter if it’s not challenged, tested, and updated. Your opinion doesn’t matter if it’s not aligned with the changing needs and preferences of your market.

In other words, your opinion doesn’t matter unless you’re willing to learn and evolve.

Don’t take it from me. Take it from one of the most successful entrepreneurs and investors of all time: Warren Buffett.

Warren Buffett is known for his value investing philosophy and his preference for buying and holding quality companies for the long term. He has built a fortune of over $100 billion by sticking to his principles and following his own rules.

But he’s also known for changing his opinions when the facts change. He’s known for admitting his mistakes and learning from them. He’s known for being open-minded and flexible in the face of new situations and opportunities.

Here are some examples of how Warren Buffett has changed his opinions or adapted to new situations in the business world:

He invested in Apple, a technology company that he had previously avoided due to his lack of understanding of the industry. He was impressed by Apple’s loyal customer base, innovative products, and cash-generating ability.
He sold his stake in Kraft Heinz, a consumer staples company that he had praised for its strong brands and cost-cutting strategy. He admitted that he overpaid for the merger of Kraft and Heinz and that he underestimated the competitive pressures and changing consumer preferences in the sector.
He bought shares of Amazon, another technology company that he had missed out on due to his valuation criteria. He acknowledged that Amazon was an extraordinary business with a visionary leader, and that he delegated the decision to one of his portfolio managers.

These are just some of the examples that show how Warren Buffett has changed his opinions or adapted to new situations in the business world. He is not afraid to admit his errors or learn from others, which makes him a great investor and entrepreneur.

So what can we learn from Warren Buffett’s journey?

We can learn that our opinions are not fixed or final. They are hypotheses that need to be validated or invalidated by reality. They are assumptions that need to be confirmed or rejected by data. They are perspectives that need to be enriched or revised by feedback.
We can learn that our opinions are not sacred or superior. They are subject to change and improvement. They are open to challenge and debate. They are humble and curious.
We can learn that our opinions are not enough. They need to be backed by action and results. They need to be aligned with our goals and values. They need to be relevant and useful.

So how can we apply these lessons to our own businesses?

We can apply them by adopting a mindset of learning and evolving. A mindset that embraces uncertainty and complexity. A mindset that seeks growth and innovation.
We can apply them by following a process of testing and iterating. A process that involves experimenting and measuring. A process that involves failing and learning.
We can apply them by building a culture of feedback and collaboration. A culture that encourages diversity and inclusion. A culture that fosters creativity and problem-solving.

By doing these things, we can make our opinions matter more. We can make them more informed, more accurate, more effective.

We can make them more than opinions.

We can make them solutions.

Do you agree or disagree with this perspective? Do you have any other examples of leaders who constantly evolve their opinions? Join the conversation!

The Impactful Capitalists

Discussion about this post