--- title: "Meaning & Key Takeaway of: The risk of a business being hit by a low…" description: "\"The risk of a business being hit by a low probability, high impact event is far higher than most boards realize because the number of potential wild ca..." image: "https://sms4smile.com/quotes/i/d76/patrick-dixon-18818_boards_the-risk-of-a-business-being-hit-by-a-lo_1721247.png" --- # The risk of a business being hit by a low probability… ![“The risk of a business being hit by a low probability, high impact event is far higher than most boards realize because the number of potential wild cards is so great.” quote by Patrick Dixon](https://sms4smile.com/quotes/i/d76/patrick-dixon-18818_boards_the-risk-of-a-business-being-hit-by-a-lo_1721247.png) [Download](https://sms4smile.com/quotes/i/d76/patrick-dixon-18818_boards_the-risk-of-a-business-being-hit-by-a-lo_1721247.png) [Open image](https://sms4smile.com/quotes/i/d76/patrick-dixon-18818_boards_the-risk-of-a-business-being-hit-by-a-lo_1721247.png) > “The risk of a business being hit by a low probability, high impact event is far higher than most boards realize because the number of potential wild cards is so great.” [Patrick Dixon](https://sms4smile.com/quotes/author/patrick-dixon/) ## About This Quote This interpretation was drafted with AI assistance. It is one reading of the quote, not the author's own explanation. Boards underestimate low‑probability, high‑impact risks because many potential wild cards exist. **In simple terms:** Boards often miss rare but huge risks. Key Takeaway Plan for unlikely catastrophes. Themes risk management board governance uncertainty Mood cautious strategic Type business risk assessment When to use this quote - corporate strategy Key Concepts scenario planning stress testing insurance Questions to Reflect On - How do you balance risk awareness with action? - What rare events could affect your business? A Different Perspective It may cause over‑cautiousness. ★ ★ ★ ★ ★ No ratings yet [Boards](https://sms4smile.com/quotes/about/boards/) [Business](https://sms4smile.com/quotes/about/business/) [Business Hit](https://sms4smile.com/quotes/about/business-hit-1340919/) [Cards](https://sms4smile.com/quotes/about/cards/) [Events](https://sms4smile.com/quotes/about/events/) [High Impact](https://sms4smile.com/quotes/about/high-impact-1340918/) [Higher](https://sms4smile.com/quotes/about/higher/) [Impact](https://sms4smile.com/quotes/about/impact/) [Lows](https://sms4smile.com/quotes/about/lows/) [Numbers](https://sms4smile.com/quotes/about/numbers/) [Probability](https://sms4smile.com/quotes/about/probability/) [Probability High](https://sms4smile.com/quotes/about/probability-high-1340916/) [Realizing](https://sms4smile.com/quotes/about/realizing/) [Risk](https://sms4smile.com/quotes/about/risk/) [Risk Business](https://sms4smile.com/quotes/about/risk-business-1012280/) [Wild Cards](https://sms4smile.com/quotes/about/wild-cards-1340917/) ## Related quotes > [I regard this conclusion as coming in the same sort of category, of historical probability so high as to be virtually certain, as the…](https://sms4smile.com/quotes/n-t-wright-2/i-regard-this-conclusion-as-coming-in-the-same-sort-of-category-of/) [N. T. Wright](https://sms4smile.com/quotes/author/n-t-wright-2/) > [Delicious... Everything I'd hoped for in a new Wild Cards book. The character interactions and plot twists have exactly the complexity, surprise, and unsentimental…](https://sms4smile.com/quotes/austin-grossman/delicious-everything-i-d-hoped-for-in-a-new-wild-cards-book-the/) [Austin Grossman](https://sms4smile.com/quotes/author/austin-grossman/) > [I'm not in the business to get hit and take concussions.](https://sms4smile.com/quotes/demetrious-johnson/i-m-not-in-the-business-to-get-hit-and-take-concussions/) [Demetrious Johnson](https://sms4smile.com/quotes/author/demetrious-johnson/) > [That's the nature of the business. You can have a hit and then nothing happens all of a sudden. But I don't resent it.…](https://sms4smile.com/quotes/leo-sayer/that-s-the-nature-of-the-business-you-can-have-a-hit-and-then-nothing/) [Leo Sayer](https://sms4smile.com/quotes/author/leo-sayer/) > [My advice to every one expecting to go into business is to hit often and hit hard; in other words, strike with all your…](https://sms4smile.com/quotes/madam-c-j-walker/my-advice-to-every-one-expecting-to-go-into-business-is-to-hit-often/) [Madam C. J. Walker](https://sms4smile.com/quotes/author/madam-c-j-walker/) > [“Your job isn’t to build a product; it’s to de-risk a business model. Sometimes the only way to do this is to build something,…](https://sms4smile.com/quotes/alistair-croll/your-job-isn-t-to-build-a-product-it-s-to-de-risk-a-business-model/) [Alistair Croll](https://sms4smile.com/quotes/author/alistair-croll/) > [“In theory, the risk of business failure can be reduced to a number, the probability of failure multiplied by the cost of failure. Sure,…](https://sms4smile.com/quotes/randy-komisar/in-theory-the-risk-of-business-failure-can-be-reduced-to-a-number-the/) [Randy Komisar](https://sms4smile.com/quotes/author/randy-komisar/) > [“salesman and turned to politics to feed his family). . . . Businessmen are accustomed to taking risk, however business risk is often partially assigned, buffered, or…](https://sms4smile.com/quotes/joshua-green/salesman-and-turned-to-politics-to-feed-his-family-businessmen-are/) [Joshua Green](https://sms4smile.com/quotes/author/joshua-green/) > [Profit or loss is not guaranteed. That depends on the consumer and depends on the product. That's a risk that business people take.](https://sms4smile.com/quotes/mukesh-ambani/profit-or-loss-is-not-guaranteed-that-depends-on-the-consumer-and/) [Mukesh Ambani](https://sms4smile.com/quotes/author/mukesh-ambani/) > [Innovation implies high risk, and with high risk comes failure, so you've got to be prepared for that, but if you don't risk, then…](https://sms4smile.com/quotes/michael-grade/innovation-implies-high-risk-and-with-high-risk-comes-failure-so-you/) [Michael Grade](https://sms4smile.com/quotes/author/michael-grade/) > [I like high impact movies.](https://sms4smile.com/quotes/kathryn-bigelow/i-like-high-impact-movies/) [Kathryn Bigelow](https://sms4smile.com/quotes/author/kathryn-bigelow/) > [As a product of education, I have always believed in the power of education as the most powerful, high-impact catalyst for transformation. Look at…](https://sms4smile.com/quotes/shiv-nadar/as-a-product-of-education-i-have-always-believed-in-the-power-of/) [Shiv Nadar](https://sms4smile.com/quotes/author/shiv-nadar/) > [I do try to do high-impact work, and I try to think of ideas people haven't thought about that have broad implications, but I…](https://sms4smile.com/quotes/lisa-randall/i-do-try-to-do-high-impact-work-and-i-try-to-think-of-ideas-people/) [Lisa Randall](https://sms4smile.com/quotes/author/lisa-randall/) > [Blitzscaling is what you do when you need to grow really, really quickly. It's the science and art of rapidly building out a company…](https://sms4smile.com/quotes/reid-hoffman/blitzscaling-is-what-you-do-when-you-need-to-grow-really-really/) [Reid Hoffman](https://sms4smile.com/quotes/author/reid-hoffman/) > [The average individual lives in a high impact, complex, visual environment.](https://sms4smile.com/quotes/saul-bass/the-average-individual-lives-in-a-high-impact-complex-visual/) [Saul Bass](https://sms4smile.com/quotes/author/saul-bass/) ## More by Patrick Dixon > [The phrase "work-life balance" tells us that people think that work is the opposite of life. We should be talking about life-life balance.](https://sms4smile.com/quotes/patrick-dixon/the-phrase-work-life-balance-tells-us-that-people-think-that-work-is/) [Patrick Dixon](https://sms4smile.com/quotes/author/patrick-dixon/) > [You can have the greatest strategy in the world but what is the point if no one cares?](https://sms4smile.com/quotes/patrick-dixon/you-can-have-the-greatest-strategy-in-the-world-but-what-is-the-point/) [Patrick Dixon](https://sms4smile.com/quotes/author/patrick-dixon/) > [The paradox of innovation is this: CEO's often complain about lack of innovation, while workers often say leaders are hostile to new ideas.](https://sms4smile.com/quotes/patrick-dixon/the-paradox-of-innovation-is-this-ceo-s-often-complain-about-lack-of/) [Patrick Dixon](https://sms4smile.com/quotes/author/patrick-dixon/) > [Take hold of the future or the future will take hold of you - be futurewise.](https://sms4smile.com/quotes/patrick-dixon/take-hold-of-the-future-or-the-future-will-take-hold-of-you-be/) [Patrick Dixon](https://sms4smile.com/quotes/author/patrick-dixon/) > [To every trend there is a counter-trend. There are a number of pendulums operating and each creates new business opportunities.](https://sms4smile.com/quotes/patrick-dixon/to-every-trend-there-is-a-counter-trend-there-are-a-number-of/) [Patrick Dixon](https://sms4smile.com/quotes/author/patrick-dixon/) > [“Great wealth is usually toxic to the well-being of children and family harmony. There is no evidence that people who have great wealth are…](https://sms4smile.com/quotes/patrick-dixon/great-wealth-is-usually-toxic-to-the-well-being-of-children-and/) [Patrick Dixon](https://sms4smile.com/quotes/author/patrick-dixon/) > [The future of marketing belongs to honest information, accurate data and clear claims based on truth.](https://sms4smile.com/quotes/patrick-dixon/the-future-of-marketing-belongs-to-honest-information-accurate-data/) [Patrick Dixon](https://sms4smile.com/quotes/author/patrick-dixon/) > [The key to understanding the future is one word: sustainability.](https://sms4smile.com/quotes/patrick-dixon/the-key-to-understanding-the-future-is-one-word-sustainability/) [Patrick Dixon](https://sms4smile.com/quotes/author/patrick-dixon/) > [When you have been close to death it makes you think about life.](https://sms4smile.com/quotes/patrick-dixon/when-you-have-been-close-to-death-it-makes-you-think-about-life/) [Patrick Dixon](https://sms4smile.com/quotes/author/patrick-dixon/) > [In banking or insurance trust is the only thing you have to sell.](https://sms4smile.com/quotes/patrick-dixon/in-banking-or-insurance-trust-is-the-only-thing-you-have-to-sell/) [Patrick Dixon](https://sms4smile.com/quotes/author/patrick-dixon/) > [Volunteering is a window into the passions of the soul.](https://sms4smile.com/quotes/patrick-dixon/volunteering-is-a-window-into-the-passions-of-the-soul/) [Patrick Dixon](https://sms4smile.com/quotes/author/patrick-dixon/) > [Strong ethics keep corporations healthy . Poor ethics make companies sick. Values are the immune system of every organisation.](https://sms4smile.com/quotes/patrick-dixon/strong-ethics-keep-corporations-healthy-poor-ethics-make-companies/) [Patrick Dixon](https://sms4smile.com/quotes/author/patrick-dixon/) > [Business strategy is the battleplan for a better future.](https://sms4smile.com/quotes/patrick-dixon/business-strategy-is-the-battleplan-for-a-better-future/) [Patrick Dixon](https://sms4smile.com/quotes/author/patrick-dixon/) > [The future is about emotion: reactions to events are usually far more important than the events themselves.](https://sms4smile.com/quotes/patrick-dixon/the-future-is-about-emotion-reactions-to-events-are-usually-far-more/) [Patrick Dixon](https://sms4smile.com/quotes/author/patrick-dixon/) > [You will learn more about the people you work with in three minutes by asking them what they do for nothing, than by working…](https://sms4smile.com/quotes/patrick-dixon/you-will-learn-more-about-the-people-you-work-with-in-three-minutes/) [Patrick Dixon](https://sms4smile.com/quotes/author/patrick-dixon/) [Explore all 34 Patrick Dixon quotes ](https://sms4smile.com/quotes/author/patrick-dixon/) ## More Boards quotes > [One of the worst things to come out of the Consumer Protection Board's misleading claims is the impression that government resources are to hard…](https://sms4smile.com/quotes/matthew-lesko/one-of-the-worst-things-to-come-out-of-the-consumer-protection-board/) [Matthew Lesko](https://sms4smile.com/quotes/author/matthew-lesko/) > [I am somewhat influenced by the years that I've spent trying to actually get things done, whether it was reforming education in Arkansas or…](https://sms4smile.com/quotes/hillary-clinton/i-am-somewhat-influenced-by-the-years-that-i-ve-spent-trying-to/) [Hillary Clinton](https://sms4smile.com/quotes/author/hillary-clinton/) > [Cows are a lot smarter across the board than bulls.](https://sms4smile.com/quotes/thomas-haden-church/cows-are-a-lot-smarter-across-the-board-than-bulls/) [Thomas Haden Church](https://sms4smile.com/quotes/author/thomas-haden-church/) > [Some guys need to see things on a grease board, ... I like when you can see it in your mind. And that's what…](https://sms4smile.com/quotes/peyton-manning/some-guys-need-to-see-things-on-a-grease-board-i-like-when-you-can/) [Peyton Manning](https://sms4smile.com/quotes/author/peyton-manning/) > [I am formally accountable to the steering board of the PIC, and I meet with nine ambassadors from the PIC every week. I have…](https://sms4smile.com/quotes/paddy-ashdown/i-am-formally-accountable-to-the-steering-board-of-the-pic-and-i-meet/) [Paddy Ashdown](https://sms4smile.com/quotes/author/paddy-ashdown/) > [You are also asked to take an oath, and that's the oath of service. The oath of service is not to secrecy, but to…](https://sms4smile.com/quotes/edward-snowden/you-are-also-asked-to-take-an-oath-and-that-s-the-oath-of-service-the/) [Edward Snowden](https://sms4smile.com/quotes/author/edward-snowden/) > [When his highness sends a ship to Egypt, does he trouble his head whether the mice on board are at their ease or not?](https://sms4smile.com/quotes/voltaire/when-his-highness-sends-a-ship-to-egypt-does-he-trouble-his-head/) [Voltaire](https://sms4smile.com/quotes/author/voltaire/) > [Perhaps we have failed as human beings. Perhaps we have embarrassed ourselves to the natural world. We have been rigorous and willful in all…](https://sms4smile.com/quotes/sufjan-stevens/perhaps-we-have-failed-as-human-beings-perhaps-we-have-embarrassed/) [Sufjan Stevens](https://sms4smile.com/quotes/author/sufjan-stevens/) > [Once scouting fully opens its doors to all who desire the same experience that so fully enriched me as a young person, I will…](https://sms4smile.com/quotes/steven-spielberg/once-scouting-fully-opens-its-doors-to-all-who-desire-the-same/) [Steven Spielberg](https://sms4smile.com/quotes/author/steven-spielberg/) > [Politicians should be dedicated to the welfare of the people, but sometimes politics becomes like a game of chess, in which the sole aim…](https://sms4smile.com/quotes/nirmala-srivastava/politicians-should-be-dedicated-to-the-welfare-of-the-people-but/) [Nirmala Srivastava](https://sms4smile.com/quotes/author/nirmala-srivastava/) > [This world is not a platform where you will hear Thalberg-piano-playing. It is a piano manufactory, where are dust and shavings and boards, and…](https://sms4smile.com/quotes/henry-ward-beecher/this-world-is-not-a-platform-where-you-will-hear-thalberg-piano/) [Henry Ward Beecher](https://sms4smile.com/quotes/author/henry-ward-beecher/) > [He is nothing more than one of my pawns. However, he is not a normal pawn. He is a pawn that can get across…](https://sms4smile.com/quotes/yana-toboso/he-is-nothing-more-than-one-of-my-pawns-however-he-is-not-a-normal/) [Yana Toboso](https://sms4smile.com/quotes/author/yana-toboso/) > [Corporations are totalitarian institutions. Board of directors at the top of managers give orders, everyone follows orders… At the very bottom of command, if…](https://sms4smile.com/quotes/noam-chomsky/corporations-are-totalitarian-institutions-board-of-directors-at-the/) [Noam Chomsky](https://sms4smile.com/quotes/author/noam-chomsky/) > [Our current use of time is not rational. There is therefore no point in seeking marginal improvements in how we spend our time. We…](https://sms4smile.com/quotes/richard-koch/our-current-use-of-time-is-not-rational-there-is-therefore-no-point/) [Richard Koch](https://sms4smile.com/quotes/author/richard-koch/) > [When I was in college, I lost my scholarship one year. I had enough money for tuition, but not room and board. So I…](https://sms4smile.com/quotes/robert-hass/when-i-was-in-college-i-lost-my-scholarship-one-year-i-had-enough/) [Robert Hass](https://sms4smile.com/quotes/author/robert-hass/) [Browse all 1,220 Boards quotes ](https://sms4smile.com/quotes/about/boards/) ```json { "@context": "https://schema.org", "@graph": [ { "@type": "Quotation", "text": "The risk of a business being hit by a low probability, high impact event is far higher than most boards realize because the number of potential wild cards is so great.", "creator": { "@type": "Person", "name": "Patrick Dixon" }, "isPartOf": { "@id": "https://sms4smile.com/quotes/#website" }, "url": "https://sms4smile.com/quotes/patrick-dixon/the-risk-of-a-business-being-hit-by-a-low-probability-high-impact/", "about": { "@type": "Thing", "name": "Boards" }, "@id": "https://sms4smile.com/quotes/patrick-dixon/the-risk-of-a-business-being-hit-by-a-low-probability-high-impact/#quotation", "image": { "@type": "ImageObject", "@id": "https://sms4smile.com/quotes/i/d76/patrick-dixon-18818_boards_the-risk-of-a-business-being-hit-by-a-lo_1721247.png", "contentUrl": "https://sms4smile.com/quotes/i/d76/patrick-dixon-18818_boards_the-risk-of-a-business-being-hit-by-a-lo_1721247.png", "url": "https://sms4smile.com/quotes/i/d76/patrick-dixon-18818_boards_the-risk-of-a-business-being-hit-by-a-lo_1721247.png", "width": 1080, "height": 1080, "caption": "“The risk of a business being hit by a low probability, high impact event is far higher than most boards…” — Patrick Dixon", "creditText": "SMS4Smile Quotes", "creator": { "@id": "https://sms4smile.com/quotes/#organization" } } }, { "@type": "BreadcrumbList", "itemListElement": [ { "@type": "ListItem", "position": 1, "name": "Home", "item": "https://sms4smile.com/" }, { "@type": "ListItem", "position": 2, "name": "Quotes", "item": "https://sms4smile.com/quotes/" }, { "@type": "ListItem", "position": 3, "name": "Patrick Dixon", "item": "https://sms4smile.com/quotes/author/patrick-dixon/" }, { "@type": "ListItem", "position": 4, "name": "The risk of a business being...", "item": "https://sms4smile.com/quotes/patrick-dixon/the-risk-of-a-business-being-hit-by-a-low-probability-high-impact/" } ], "@id": "https://sms4smile.com/quotes/patrick-dixon/the-risk-of-a-business-being-hit-by-a-low-probability-high-impact/#breadcrumb" }, { "@type": "WebSite", "@id": "https://sms4smile.com/quotes/#website", "name": "SMS4Smile Quotes", "url": "https://sms4smile.com/quotes/", "publisher": { "@id": "https://sms4smile.com/quotes/#organization" } }, { "@type": "Organization", "@id": "https://sms4smile.com/quotes/#organization", "name": "SMS4Smile Quotes", "url": "https://sms4smile.com/quotes/", "logo": { "@type": "ImageObject", "url": "https://sms4smile.com/quotes/wp-content/themes/sq/assets/icons/icon-512.png", "width": 512, "height": 512 } } ] } ```