It required 111 bloody stitches. Steven Bradbury would have died if he lost his consciousness. During the ice skating race at the Montreal World Cup, he was involved in a brutal collision. Another skater’s skates sliced through all 4 quadriceps of Bradbury’s right thigh as they both slammed into the wall. Because of the race, Bradbury’s heart rate was already high. Which made him lose 4 litres of blood!

It was touch and go for a moment. Bradbury got 111 stitches. For 3 whole weeks, he could not move his leg. And it took him 18 months for a full recovery.

But he didn’t give up competitive speed skating!

When Bradbury competed again, he found that he was not as good as before. And nowhere close to the folks who were winning races and medals. He did not even make it to the quarterfinals of the 1998 Winter Olympics.

The same Bradbury went on to win Gold in the 2002 Winter Olympics!

In 2002, Bradbury was 29 years old, when most of his competitors were around 20. He was slower than the best skaters and he knew it. In the quarterfinals, when only the top 2 skaters could make it to semifinals, Bradbury came in 3rd. But fortunately for him, one of the top 2 was disqualified for obstructing another skater.

Bradbury knew that based only on skillset, he could not win. So he decided to change his strategy. He decided to hang back and not rush to win. He knew he could not match his competitors pace, so he hoped that they would make a mistake. 

Hope springs eternal. Two skaters did collide. Bradbury came in 2nd in the semifinals and made it to the finals!

Where he continued his strategy. 

Bradbury hoped that even if 2 of the 5 skaters crashed again, he would at least win a bronze! All he had to do is hang back a bit and make sure he didn’t crash. 

As luck would have it, in the final turn, all 4 racers ahead of him collided! He crossed the finish line first and won himself an Olympics Gold!

How can you win as an underdog?

How can you win when your competitors are better than you? You hold back and let them make the mistakes. Two key things are needed.

1. Know where death occurs.

Legendary investor Warren Buffet’s partner Charlie Munger has a popular quote: “All I want to know is where I’m going to die so I’ll never go there.” It pretty much encapsulates Buffet’s investment strategy. Know where money is lost and don’t go there. 

There has not been a single year where Warren Buffet has outperformed and been the best investment manager. But over a long period of time, as his competition crashes and burns, he just carries along and wins.

Buffet doesn’t join the race. He famously has his office in Omaha, and not New York where all the action happens. He simply sells when markets seem over valued. And sits on massive cash reserves.

When the inevitable crash occurs, he is in a position to take advantage and buy great companies cheaply.

It’s what Bradbury did as well. He realized that all the skaters are under extreme pressure. The Olympics Gold is on the line. Everyone would take unnecessary risks. The crash was almost inevitable. So just don’t try to overtake others, and lag a bit behind the crowd.

2. Remain inefficient almost all the time.

You have to be like the crocodile. A crocodile sits still for hours at a time. It just sits and waits. When a prey comes nearby, it uses one short explosive burst of power to pounce at insane speeds.

That’s how crocodiles grow insanely fat. They can be 20 feet long and weigh 1000kg! By being lazy most of the time, but pouncing when the time is right.

That’s what Buffet does by holding massive amounts of cash, and Bradbury did by staying safely behind the main pack.

Conserve your energy to the point most onlookers feel you are wasting your opportunity. But then pounce when others err.

Because the only consistent way you can win when you are not the best is capitalize when others make mistakes.

Action Summary:

• You don’t have to hurry. You don’t have to be better or faster. You just have to make fewer mistakes. Avoid the crashes and you will win. Especially if the game lasts longer.

• Instead of thinking how to win, think how not to lose. Make a list of how one can die in your industry. And avoid going to those places.