Rule 1%: why do some get everything and the other nothing

To become 10 times richer and more successful, do not have to work 10 times and scramble. Just use the 1% rule - suggests a well-known blogger James Clear.

James Clear

American blogger, entrepreneur and athlete. He writes about the psychology of behavior, the formation of habits and self-improvement.

The strength of the cumulative benefits

Imagine two trees growing nearby. Every day, they compete with each other for sunlight and moisture. If one tree grows just a little faster than the other, it will be a little higher, get more sun and rain. The next day it will grow a little higher because of the extra energy. Over time, it will drown out the second tree and will receive the lion's share of sunlight and nutrients from the soil.

Such a tree will give more seeds, which means that in the next generation of trees of this species will also become larger. This process will be repeated until the trees, which were at first a little bit better than the competition does not take a large piece of wood.

A situation where very little superiority increases with time, the scientists called cumulative advantage.

The winner takes it all

Similar happens with people. Like the trees in the forest, we often vying for the same resources. Politicians competing for votes, writers - for a spot on the bestseller list, athletes - for the gold medal, the company - because of potential customers, the TV channels - for our attention and time.

This effect, when a difference in the impact leads to a disproportionate reward, called the effect of "winner takes all".

It is enough to have the advantage of just one percent, one second, one ruble, to get 100% awards.

Any decisions related to limited resources such as time and money, naturally leads to a situation where the winner takes all.

The winner gets a large part of

The effect of "winner takes all", which is characteristic for individual competitions, often leads to the effect of "The winner gets a large part" in other spheres of life.

Caught in a better position (winning the gold medal and received the director's chair), the winner starts accumulating benefits that help him win again and again. What at first was only a small margin, it is now becoming more like a rule 20/80.

Victory in one increases the chances to win and in the other. And every subsequent success only reinforces the position of the winners.

Over time, all the rewards and benefits are among those who at first a little superior to the competition, and those who are a little behind, remain almost empty. This principle is also called Matthew effect as quoted from the Bible "... for every one that hath shall be given, and abundance; but from those with no it will be taken away and what is."

But now let us return to the question posed at the outset. Why still only some people and organizations have most of the advantages and benefits?

Typically one percent

Even a small difference in the course of time can lead to an uneven distribution of benefits. That is why it is so important right habits.

Suffice it to only 1% higher than competitors. But if you maintain their advantage today, tomorrow, day after day, you will win time and time again due to this advantage. And each victory will bring all the best results.

This is typically 1%. No need to be twice as good to get twice as much. It needs to be better by only 1%.