Secret Millionaires Club: Warren Buffett's 26 Secrets to Success in the Business of Life

SECRET #24

Confidence Comes with Understanding

SECRET #24 Don't get involved in a business you don't understand.

There's a lot of power in understanding others—and yourself.

Good managers truly understand their business, understand what their competitors are doing, and understand what their customers want. This kind of understanding helps successful businesses adapt to change.

And understanding is also important for success in life! For example, understanding what is needed to complete a task or being able to understand another person's point of view. And while you're at it, be prepared to change your mind if their point of view makes good sense.

Remember: Learn to understand something before you do it. In other words, think things through before you act.

Radley, the techno-geek member of Secret Millionaires Club, learned this secret when he, Starty, Lisa, Jones, and Elena visited ROCKET INCORPORATED. It was a brand-new business that planned to launch tourists into space!

Radley was the most excited among the club members because he dreamed of becoming an astronaut. The owner of Rocket Incorporated, ZACH Z. ZACHARY, invited Radley to try out its astronaut-training program but, unfortunately, Radley failed each and every step of the course.

This happened just as all three of Rocket ...