Ray Dalio Profile picture
Nov 3 6 tweets 2 min read
If they choose to have a primarily win-win cooperative-competitive relationship, they must take into consideration what is really important to the other and try to give it to them in exchange for them reciprocating. #changingworldorder #principleoftheday (1/6) Image
In that type of win-win relationship, they can have tough negotiations done with respect and consideration, competing like two friendly merchants at a bazaar or two friendly teams at the Olympics. (2/6)
If they choose to have a lose-lose mutually threatening relationship they will primarily think about how they can hurt the other in the hope of forcing the other into a position of fear in order to get what they want. (3/6)
In that type of lose-lose relationship they will have more destructive wars than productive exchanges. (4/6)
Having win-win relationships is obviously better than having lose-lose relationships, but they are often very difficult to have, which brings me to the prisoner’s dilemma dynamic. (5/6)
For the complete picture of how things work and where we are, my book, Principles for Dealing with the Changing World Order, is available here: amazon.com/Changing-World… (6/6)

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More from @RayDalio

Nov 5
It is harder to run an idea meritocracy in which disagreements are encouraged than a top-down autocracy in which they are suppressed. #principleoftheday (1/5) Image
But when believable parties to disagreements are willing to learn from each other, their evolution is faster and their decision making is far better. (2/5)
The key is in knowing how to move from disagreement to decision making. It is important that the paths for doing this are clear so that who is responsible for doing what is known. (3/5)
Read 5 tweets
Nov 2
Having power is good because power will win out over agreements, rules, and laws all the time. #changingworldorder #principleoftheday (1/8)
When push comes to shove, those who have the power to either enforce their interpretation of the rules and laws or to overturn them will get what they want. (2/8)
It is important to respect power because it’s not smart to fight a war that one is going to lose... (3/8)
Read 8 tweets
Oct 19
If you don't mind being wrong on the way to being right you'll learn a lot--and increase your effectiveness. #principleoftheday (1/4) Image
But if you can't tolerate being wrong, you won't grow, you'll make yourself and everyone around you miserable, and your work environment will be marked by petty backbiting and malevolent barbs rather than by a healthy, honest search for truth. (2/4)
You must not let your need to be right be more important than your need to find out what's true. (3/4)
Read 4 tweets
Oct 19
Write Down Your Principles! The two most powerful practices that radically improved my life were meditation and writing down my principles. If you do these two things I guarantee you a much better life. (1/5)
Writing down your principles will lead you to 1) reflect on the best ways to handle the issues you face, 2) think at a higher, more principled level to make decisions like a ninja... (2/5)
3) systemize your decision-making criteria so they can be stress-tested and conveyed well to others, and 4) turn that into decision-making systems. (3/5)
Read 5 tweets
Oct 16
For example, most people will operate in a way that maximizes the amount of money they will get and that minimizes the amount of work they have to do to get it.
#principleoftheday (1/4)
To see this, just leave someone unsupervised and allow them to bill you for what they have done. Be especially wary of this conflict of interest when people are advising you on matters that will affect how much money they earn... (2/4)
...such as the lawyer who spends a lot of billable hours giving you advice, or the salesperson who advises you on what to purchase while receiving a commission on the amount that you spend. You can't imagine how many people I meet who are eager to "help" me. (3/4)
Read 4 tweets
Oct 15
When there were just a few of us, we had meaningful relationships because we knew and liked each other. When we grew to between fifty and a hundred people, we had a community... #principleoftheday (1/4)
...when we grew beyond that, the sense of community began to slip because we didn't all know each other in the same way. (2/4)
That's when I realized that having groups (departments) of around a hundred (give or take about fifty) that are bound collectively by our common mission was the best way to scale the meaningful relationship. (3/4)
Read 4 tweets

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