"World of DaaS" Annie Duke - winning bets: decision science in venture capital
79 snips
Feb 25, 2025 
Annie Duke, a former World Series of Poker champion and bestselling author, dives into decision science, revealing how cognitive biases impact venture capital. She discusses loss aversion, the intricacies of reading people—both at the poker table and in business—and the dangers of trusting intuition. Exploring the psychological dynamics behind investment choices, Duke emphasizes the need for a structured decision-making approach. Tune in for insights on balancing risk perception and the art of understanding human behavior in high-stakes situations.
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Gut Feeling Over Data
- Venture capitalists often over-rely on "gut feelings" and the mystique of talent spotting.
- This can lead to neglecting data-driven decision-making and accurate record-keeping.
Long-Term Illusion
- VCs sometimes misattribute short-term outcomes to long-term cycles.
- They should carefully assess whether a decision truly has a long horizon or not.
Follow-on Decisions
- Follow-on decisions in VC are often driven by supporting founders, not value.
- Discerning value-based follow-ons require recognizing biases like the endowment effect.
