Greed is one of those deep dark human emotions that raises its’ ugly head at the worst of times. Generally it shines brightest at moments of opportunity. Sounds strange, why get greedy when there’s an opportunity you ask? Well it’s human nature, when we get offered something our natural reaction is to want more.
It works both ways, especially in business sales. Take a buyers position for example. A business is on the market at $1million dollars for example. What’s your instant reaction of what you would offer? $700,000, maybe $800,000 if you felt generous. This is even before seeing anything, we judge what something is worth based on human nature, or instinct.
Now let’s look at a sellers’ position. You’ve received an offer in the first week of marketing your business for sale. It’s full ask price. How do you react? You’d be lying if you felt anything different from “we priced it too cheap, can we get more?”
See greed is driven by our levels of education on a topic and therefore our ability to determine fairness or value. It doesn’t matter how desperate your are to buy or sell, greed will always play a factor. Understand that greed is an emotion and controlling it requires logical grounding.
How many times have you had an opportunity and lost it as a result of greed? We’ve all done it and then lived to regret it. So why do we keep acting greedy. We’ll never change as it is a human instinct however we can follow a principle to manage it.
Managing greed is simple. Every time you have a reaction to want more. Stop and think about the logical outcome. Think back over all the times you’ve been greedy and lost. Think back over all those opportunities you wish you would’ve taken. Then make the logical decision. Is this the best outcome right now and does it fix my problem? If so go with it, if not follow the rational route not the emotional one.