How we can take big risk carefully

Before we start, we should understand that what risk is. It has a lot of speeches. We define that risk is the consequences of an event, with the associated uncertainties. Furthermore, risk is the possibilities of something bad happening. Risk involves uncertainty about the implication of an activity with respect to something that human value (such as health, well-being, wealth, property or the environment). It seems that taking risk is not a good choice. Nevertheless it makes us braver, stronger, and more confident. In addition, failure will teach us how to think and plan strategically. However, the most important thing of taking risk is how we take risks carefully. Indeed, risk can be described by specifying the events that may occur and their consequences. We can also specify the probability of events, how probable it is that they will occur. If we take risk effectively, we have to know information about cases. Let me explain with one example. Imagine that Peter balancing on a wire. The most obvious event in this scenario is that Peter falls off the wire. If this is happen, what are the consequences? Peter could suffer a severe injury or, in the worst case, die. But we don’t know how far above the ground the wire is it could be 1. 5 meters or 20 meters. In the other hand, describing risk is to access the probability of the event. How probable is it that Peter will fall off this wire? If we don’t know about Peter, it may have many probabilities. It is possible that Peter is a tightrope walking expert. It is also possible that he has only been practicing for one week. There are numerous uncertainties in this situation, and an insufficient knowledge can make us the worst. Besides this I would like to discuss how to avoid losses and reduce uncertainty. And how to take big risks carefully. Remember that you should always follow the law. While stealing money from a bank is a risk, it is illegal and should not be done. And do not do anything extremely dangerous. Free falling from a high cliff is not a good risk to take. The important thing is you should not take a risk that is not worth for you. Before we take a big risk we should start small. There is no reason you have to jump right into a huge risk right away but start small is to just take a single step towards the risk you want to take. You have to have faith in yourself that you have made the proper preparations and don’t let fear holy you back. Always weigh the risks and benefits. It was mentioned above. Moreover, you carefully compare the possible consequences with the possible benefits in order to determine if a risk is worth it for you. You should maintain a safety net. For example, if you want to start a business, your knowledge and experience can protect you from failure. If you want to swim with sharks, a cage can protect you from being eaten. You should have a plan for failure. Before you take a risk that has potentially serious consequences, plan out how you will handle the worst case scenario. The finally thing is you should consider others. Whenever you take a risk, it is important to think of the way your decision may affect others. In conclusion, I already described that about the risk and how to prepare before we take a risk. Think about probability and uncertainty. In spite of taking risk, you become empowered to make choices in your life.