What Is Compound Effect And How Does It Work?

"Don't read it like a story, read it like a learner"

Hello guys, I hope you all are doing well in your life. Today's topic is "Compound Effect". The power of compounding is one of Warren Buffett's success factor. So, firstly, in this blog, we will understand that what is the compound effect and then we will try to understand how does it work. 

Well, we can say that the compound effect is the second step in the journey of consistency. If you are not properly aware of the effects of consistency and don't know what Virat Kohli thinks about consistency, and also how we can maintain consistency for a long period, then must read this article first.
Click on this,  How to be consistent: 5 steps to get things done 


I hope you have read it. Now let's continue. Consistency doesn't only mean doing things consistently, while it means learning from the work and improving your skills on a daily basis. And if we want to achieve mastery in any field then we need to follow consistency with compound effect. Wait, wait, but, what does the meaning of compound effect?

The compound effect means to start learning something from basic steps and then on the second day, give your double response from the previous day, on the third day, again give your double response from the previous day, again on the fourth day, give your double response from the previous day and this particular process will go on. Right now, you can't imagine your improvement. But I am telling you it will be drastically unbelievable. Okay, let me explain to you by using an example.

"There were two friends name A and B. One person gave an offer to both of them to whether take 30 lakh rupees on 1st day or take rupee 1 on the first day and then you would get double from the previous day, on each day till 31st day. Person A chose the first option and took 30 lakh rupees and Person B chose the second option. Of course, right now we are thinking that does person B have a mind or not? But wait, let's complete this analysis. Person A was very happy as he had 30 lakh rupees while B was patiently waiting for his turn. 

On 5th day, A still had approx 30 lakh rupees(as he had started spending his money), while B had only 16 rupees.
On the 20th day, A still had approx 10 lakh rupees, while B had only 5243 rupees.
On the 29th day, A had approx 5 lakh rupees left, while B now had 27 lakh rupees (are you surprised? Wait).
On the 31st day, A had some amount left, while B now had some, can you imagine?
Now, B had 1 crore 7 lakh rupees. Isn't it very surprising? Are you able to see the drastic change? That's how the compound effect works. This is the power of compounding. Einstein said, "Compound effect is the 8th wonder of the world".

But you can acquire this power only when you learn to be patient. As we have seen in the above example, where we were not able to see the much changes in starting days, but after some days we had seen an incredible change. That's how everything works. Be patient, be consistent, focus on the journey instead of focusing on the destination. You will surely feel that drastic change in your life.
"ध्यान अगर काम पर होगा तो काम अच्छा ही होगा,
 पर ध्यान अगर अंजाम पर होगा तो काम ही क्या होगा | "
“Great things are not done by impulse, but by a series of small things brought together.”
If you want to know more about the compound effect, then I highly recommend you to buy this book, named as Compound Effect by Darren Hardy. But wait, before doing this I request you to give a test just by reading this small article, 80% Mindset 20% Skill, now if you are Joe, then you can leave it from here but if you are Moe, then congratulations, you are the one who will bring the change in the society, and I request you to buy this book, this will surely help you to grow, but again, don't just read that book, work on implementing that habits too. Please click on the name of the book, Compound Effect

Thanks a lot for giving your valuable time. Keep Smiling, be healthy and always be grateful for whatever you have because most of the people are working hard day and night to live life as yours.

My Youtube Channel : Kratika Dixit