Meir Ezra: Why Businesses Fail

They look at the statistics and they see that there is some action that they’re doing that actually improved the situation. So if the situation improved and they did some kind of action, they look and they say, “Oh! Huh! It works!”

So they just do more of that - it is the successful action. 

Well, here’s the bad news… if you do the same thing, you will fail - and I’ll explain why. This is very amazing. 

A statistic can behave only in six ways.

I will not go into explaining right now what are those ways, but let’s say that the statistic goes down. Let’s say, we are looking at my sales, and I see less and less and less and less. They go down, and I look, and I know that I need to do certain actions.

Let’s say I need to promote, and I promote, promote, promote, promote, and I get more sales. Now, the condition, the situation, has now changed! If I were to continue to do the same actions, while the situation changed, I will get “down” statistics back again.

It is like, let’s say, if I make $1,000 per month and that’s my income, and I do certain actions, and I work very hard, and I move from $1,000 to $10,000 per month. Big change! If I continue to behave and continue to act like a person who makes $1,000 per month, guess what? I will crash.

It’s a very, very interesting observation. You need to learn the six ways that the statistic can behave. You need to learn what the exact formulas are that you need to undertake. You need to recognize that those statistics have changed and you need to understand that you need to change your actions.

What to measure, what to do once the statistic changes, what are those six ways that the statistic can behave... This is life-saving information. This is life-saving information. If you want to succeed, you need to understand how to manage by statistics and not by opinions.