opportunity cost

I always heard this term ‘opportunity cost’ being thrown around in conversation whenever I was talking to a CEO or a VC. Started to bother me because I didn’t know what it exactly meant.

So I took it upon myself, and I went to ChatGPT University to learn ‘microeconomics for dummies’.

(trust me, you should try it)

So, after a day of learning and weeks of applying and finding what the fuss is all about, here is what ‘Opportunity Cost’ is all about, and what it means for you.

Imagine you have $5, and you're at the candy store.

You can either buy a chocolate bar or a bag of gummy bears. You can't have both - you only have enough for one.

If you choose the chocolate bar, your opportunity cost is the gummy bears you didn't get to enjoy. It's that simple.

Or think about your Saturday afternoon. You can either play video games or go to the park.

If you choose video games, you're giving up that sunny afternoon at the park. That's opportunity cost - what you give up when you choose something else.

Now, let's get real about what this actually means in adult life, because this concept is far more brutal than choosing between candies or weekend activities.

Every single "yes" you say is actually multiple "nos" to other possibilities.

That's the hidden weight of opportunity cost that most people never fully grasp.

When you say yes to that "quick" coffee meeting that turns into a 2-hour conversation about nothing substantial, you're saying no to:

• Deep, focused work on your main project

• Time with your family

• That workout you've been postponing

• The book you've been meaning to read

• The business idea you've been wanting to explore

The real kicker? Time, unlike money, is non-renewable.

You can't earn back those hours.

I see too many people saying yes to $50/hour work while turning down opportunities that could pay $500/hour, simply because the $50 work is comfortable and immediate. That's opportunity cost slapping you in the face.

But it's not just about the money.

It's about life trajectories. Every major decision you make is a fork in the road.

Choose Path A, and you're not just giving up Path B - you're giving up Paths C through Z as well.

This is why top people are often ruthless with their nos.
They understand that saying yes to everything means being exceptional at nothing.

I've learned this the hard way. Every time I've said yes to projects that didn't align with my core goals, I've lost time and potential growth in areas that actually mattered.

Focus on the one thing that will give you the highest ROI (output) with the least time and effort (input).

Simple.

The most successful people aren't the ones who chase every opportunity.

They're the ones who are brutally honest about opportunity costs and religiously protect their time and energy.

Start asking yourself: "If I say yes to this, what am I saying no to?"

Better yet, start flexing your "no" muscle more. It's probably weak from underuse.

Because at the end of your life, you won't regret the mediocre opportunities you turned down…

You'll regret the great ones you never had time for because you were too busy saying yes to everything else.

Let me perfectly blunt with you for a sec:

While you're reading this, someone else is making the hard choices you're avoiding.
They're saying no to the good stuff so they can say yes to the great stuff.
They're playing chess while you're playing checkers.

The opportunity cost of overthinking is higher than the cost of making the wrong choice.

At least wrong choices teach you something. 🤷‍♂️

You win some, you lose some, but at least you're winning and losing consciously.

Make your choices count.

Your time and energy are finite resources. Treat them that way.

Every yes has a price. Make sure you're willing to pay it.

Godspeed ⚡️