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# Rethinking the Norm: The Importance of First-Principles Thinking

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Chapter 1: The Power of Status Quo

A vivid childhood memory of mine stems from a summer camp on the German island of Langeoog. One day, the campers organized an "island competition" where teams of children faced off in various challenges. One particular task involved soaking a towel in water and throwing it as far as possible. Surprisingly, this proved to be quite difficult, given that a wet towel doesn’t have the best aerodynamic qualities. After several teams posted lackluster results, one of the later teams decided to approach the task differently by tying a knot in the towel before soaking it. This simple modification made the towel much easier to throw, allowing them to dominate the competition. The other campers accused them of cheating, but the team pointed out that there were no rules against tying knots. This anecdote serves as a reminder: we should always question established norms.

The Bias of Conformity

The status quo bias is a formidable human tendency. Our evolutionary history has programmed us to conform: aligning with the group was crucial for survival among early humans. Thus, deviating from established practices can feel inherently unnatural.

This bias isn't unique to humans. Dutch primatologist Frans de Waal has conducted insightful experiments demonstrating similar tendencies in chimpanzees. In one of his studies, he created "puzzle boxes" containing food, which could be opened using two equally challenging methods. After showing two alpha chimps one method, they quickly taught it to their groups. Interestingly, if a chimp accidentally discovered the alternative method, it would often revert to the established technique, believing that if everyone else was doing it, it must be the "correct" way.

"Everyone else is doing it" provides a sense of safety and comfort but can also confine us.

> "The five most dangerous words in business are 'Everybody else is doing it.'" — Warren Buffet

The Solution: First-Principles Thinking

To counteract the status quo bias, we can adopt first-principles thinking—an approach that involves starting from the ground up and questioning all previous assumptions that led to current solutions. It’s about returning to a clean slate.

Physics serves as an excellent illustration of first-principles thinking. For centuries, the understanding of the universe was based on Newton's principles, which stated that space and time are fixed, with forces dictating movement. However, Einstein revolutionized this view in the 20th century by proposing that space and time are intertwined in a single entity known as spacetime, which is influenced by mass. This conceptual shift has proven to be a more accurate reflection of how the universe operates.

What’s particularly striking is that Einstein didn’t simply tweak Newtonian gravity; he returned to the foundational concepts of space, time, and mass, exemplifying first-principles thinking.

Einstein's revolutionary theory of spacetime

The Business Innovation of SpaceX

A contemporary example of first-principles thinking in business can be seen with SpaceX. The aerospace industry has long upheld the belief that rockets are prohibitively expensive and single-use. Elon Musk challenged this notion by developing rockets that are not only reliable but also cost-effective and reusable. For instance, the Falcon 9, which regularly transports cargo to the ISS, has drastically reduced launch costs to approximately $60 million—far less than NASA's previous average of $152 million per launch. Musk envisions further reductions in costs to facilitate numerous trips to Mars, aiming to establish a colony there.

Musk's ambition to overcome the idea that "humans are a single-planet species" reflects his commitment to breaking free from the status quo. He asserts:

> "I think people's thinking process is too bound by convention or analogy to prior experiences... You have to build up the reasoning from the ground up—'from the first principles' is the phrase that's used in physics."

Chapter 2: Embracing First-Principles Thinking

By opting for the status quo, you essentially relinquish your critical thinking to others, following the paths they have carved out. If you aspire to make a difference in your career or personal life, return to the basics and contemplate first principles. Identify the hidden assumptions and rules that shape your current mindset. What are your actual goals? How much of your thought process is simply a reflection of conforming to established norms?

Adopt the mindset of a physicist: recognize that we can reuse rockets, approach problems from different angles, reassess gravity equations, and yes, even tie a knot in the towel to improve our outcomes.

Above all, muster the courage to challenge the status quo.

References and Further Reading

    1. Varol, Think Like a Rocket Scientist
    1. Vance, Elon Musk: Tesla, SpaceX, and the Quest for a Fantastic Future
    1. Sapolsky, Behave: The Biology of Humans at Our Best and Worst
  • First Principles: The Building Blocks of True Knowledge (link)

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