7/10 Decision Rule
Share
A decision-making framework about quickly making "good enough" choices rather than optimizing for perfection. Based on Warren Buffett's philosophy and practical applications.
Core Philosophy
- Don't try to optimize every decision
- Accept the first option that meets a "good enough" threshold (7/10)
- Save mental bandwidth for truly important decisions
- Better to be decisive than perfect
Warren Buffett's People Assessment Method
- At a cocktail party of 100 people with 5 minutes each:
- Can identify 5 outstanding people
- Can identify 5 terrible people
- Puts remaining 90 in "too hard" pile
- Focuses only on obvious good choices
- Avoids trying to perfectly assess everyone
- Cost of being wrong about someone is higher than missing out on someone good
Practical Applications
-
Restaurant Ordering
- Scan menu top to bottom
- Pick first 7/10 option
- Stop looking and don't second guess
- Removes decision fatigue
-
Marriage/Relationships
- Don't need perfect match
- Find someone "good enough" and build from there
- Similar success rates in arranged marriages vs love marriages
-
Business/Investment
- Example: Bill Ackman's 4-hour Wachovia decision
- Made $500M+ by quickly assessing situation
- Acted decisively while others panicked
- Didn't need perfect information
Key Benefits
- Reduces decision fatigue
- Saves mental energy for important decisions
- Leads to faster action
- Removes endless optimization
- Creates bandwidth for things that truly matter
Sam Parr
Host of MFM and fitness influencer
Sam Parr is a serial entrepreneur and business media pioneer.
In 2016, he founded The Hustle, a business news media company that started in his kitchen with just $12 and grew to eight figures in revenue.
Sam led the charge in making newsletters popular when few believed in their potential.
After four successful years, he sold The Hustle to HubSpot, a publicly traded company. Now operating as HubSpot Media, The Hustle reaches 3 million readers daily, employs a team of nearly 100, and has been the launchpad for dozens of its staff to found their own media companies and newsletters.
Sam remains the host of the popular business podcast, My First Million, and continues to start and sell companies. He also co-founded Hampton, a highly vetted community for entrepreneurs, founders, and CEOs, and teaches people to write better through his platform, Copy That.