| Since people predict the future all the time, I'll assume you mean that it's a lot more difficult to make predictions in complicated systems like housing markets. Assuming that's what you meant, let's consider the "I" in "If I hire..." If you're hiring someone, whether it's for your home building business, or your tech company, you're not doing it unaware of the market you're operating in. No real estate developer is ignoring potential futures. Those that do fail fast. That someone is hiring is evidence of that someone is making predictions. They're predicting at least one potential future where the person they hire helps the company achieve their goals. Speaking from experience, when I hire people, I am most definitely thinking of the potential future that person helps steer a company towards. I'm also very aware of what will happen if I can't afford to hire someone. Sometimes it's worth risking potential market effects that'd make it so I can't afford to pay that person, but usually it's not. > No one can predict business cycles Happens all the time, and people frequently make accurate predictions. > they can be a superior macro investor and make billions. Tell me, how did the current crop of billionaires become billionaires? Certainly not by deciding that no one can predict the future. |
For large companies with public investors, there is a risk of not scaling at the right time.
History is filled with failed companies that didn't scale during 2012-2022 and were conservative.
History is also filled with idiots who claimed bubble and predicting crash every year.
If I have limited ambition of staying a $10 Million company, I can absolutely play it safe and hire very conservatively.
Scaling is a Risk/Reward play and that's what the investors pay the premium and expect rewards