At some point, the effort and cost are not worth it anymore. The Law of Diminishing Returns kicks in when building a business or even building a life. More investment of your time, money and attention may initially have high returns, but then at some point, the rewards taper.
Will more efficiency make a large impact on your revenue?
How many more relationships start to become a liability to manage rather than pure enjoyment?
Does more money create more happiness after a certain point? They say $75K is that point of diminishing return from research studies.
Sometimes, I can’t find the motivation to do more. Perhaps, that law of diminishing return is instinctive and I’m only responding. Or experience simply shows me that more does not equal better. In fact, more may mean cost.
I see it with business owners that add more headcount and find more headaches or layers of management to deal with. More cost, not less, for more effort and investment.
I see diminishing returns when we sign up for more activities for the kids. Fun can turn to drudgery when the calendar is packed to the brim. It’s different than getting good and focusing on just a…
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