I chose to read Daniel Kahneman's "Thinking Fast and Slow"
1) The general theme/argument of this book was that people, for the most part, think in two different systems. System one is the system of thought that works automatically, and is more closely related to things that you "instinctively" know. This system is the "fast" system. This system makes sense of things as quickly as possible, and doesn't use much critical thinking. System two is the system that actually uses mental effort for the activities/occurrences that require it. This one is more related to things like concentration and thoughtful choice. This book spends time explaining the contrast of these two systems and how they work together in our daily lives. It also breaks down how sometimes these systems may hinder our decisions and judgments.
2) This book connected to what we're learning in ENT3003 because it made me step out of my own bubble of thought. According to the book, since System One is the one most often used, we make fast judgments that are filled with fallacies and biases. With entrepreneurship, since we are trying to basically bring life to an idea, I feel like I need to use System Two a bit more and be more analytical about my ideas and choices as it relates to the customer, rather than just assuming something is good/marketable because it is marketable to me.
3) If I had to design an exercise for this class based on the book, I would make students actively use system one and two in maybe 4 or 5 scenarios where, they could look at an idea or product and write down their first notion about it. Afterward, I would have them research more information about the subject and try to point out their own bias about it that created their preconceived notion.
4)Honestly, the entire book was an "a-ha" moment. It was very insightful and I think it made me more cautious. I think something that stuck out to me was the over-optimism bias. I feel like I have this constant swinging back and forth between being over-optimistic with ideas and then being crushed when they don't work out, or being over-pessimistic and assuming that I will crash and burn, ultimately hurting my confidence and security in my choice and decisions.
Great analysis of the book. I read the same one and took away some similar concepts. It is very true that the way we look at this class has to often be with a system two mentality, as we need to think critically about our products or services. The concept of over-optimism bias is great because I think it can harshly remind us to stay grounded.
ReplyDeleteHey Josh, I think this book is a very beneficial read because it provides important decision making measures. Making decisions is a huge part of the entrepreneurship process and being able to distinguish between system one and two can really set good entrepreneurs apart. I think the exercise you chose can really help young adults with decision making and applying their human capital.
ReplyDeleteWow this seems like something I'll have to read. I started learning a little about the two different systems of thought in regards to decision making in the Principles of Management class I'm taking this year so I was able to relate with your analysis. However, in management the instinctual thought process was presented in more of a negative light as it was referencing Managers who were making decisions without using rational thought processes.
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