This article is an excerpt from the Shortform book guide to "The Unfair Advantage" by Ash Ali and Hasan Kubba. Shortform has the world's best summaries and analyses of books you should be reading.
Like this article? Sign up for a free trial here .
Is knowledge your secret weapon? How can you leverage your learning to strengthen your startup?
If you have considerable or specialized knowledge, you have a leg up over the competition. Knowledge is one of the unfair advantages identified in the book The Unfair Advantage by entrepreneurs Ash Ali and Hasan Kubba. The authors discuss a potential drawback of knowledge, how to know if knowledge is your unfair advantage in particular, and how to improve and make the most of your knowledge.
Continue reading to learn about the importance of knowledge in entrepreneurship.
Unfair Advantage #2: Knowledge
Knowledge includes formal or informal learning as well as insights you gain from life experiences. As Ali and Kubba explain, if you have a solid foundation of knowledge, you’re more likely to be aware of complex variables that can impact your startup’s growth. This allows you to make better decisions to increase your chances of success. This highlights the importance of knowledge in entrepreneurship.
(Shortform note: Research reinforces the link Ali and Kubba make between education and entrepreneurship. In one survey of startup founders, 95% had a bachelor’s degree or higher, and 47% had more advanced degrees. Also, the vast majority of wealthy individuals hold at least a bachelor’s degree. However, more education isn’t always beneficial. Formal education can be expensive, requiring you to incur debt that can hamper your startup dreams. And not all education is relevant for entrepreneurship. For example, a philosophy degree may not be as helpful as a business degree.)
A Potential Drawback of Knowledge
That said, as Ali and Kubba explain, knowledge can be a drawback. For example, if you have a huge bank of knowledge, you might become overwhelmed thinking about all the possible actions you could take and all the potential barriers that could disrupt your plans. This excessive deliberation can stymie progress.
(Shortform note: According to research, high intelligence is strongly correlated with anxiety, validating Ali and Kubba’s assertion that more knowledge may work against you. People who are more knowledgeable detect more threats in any given situation and tend to continuously scan for new information, which contributes to anxiety. Also, smart people are more prone to overthinking, which can stall forward momentum in your startup when you need it most. To avoid “analysis by paralysis,” experts recommend breaking through anxiety by getting into action. Create a simple plan and identify little steps you can take to work toward the results you want.)
———End of Preview———
Like what you just read? Read the rest of the world's best book summary and analysis of Ash Ali and Hasan Kubba's "The Unfair Advantage" at Shortform .
Here's what you'll find in our full The Unfair Advantage summary :
- The guidebook you need if you're planning to start a business
- How to find and use your unfair advantages (everybody has some)
- The steps you must take to achieve startup success
