People absorb a tremendous amount of information and learn significant lessons from their earliest experiences. We begin our careers as almost empty notebooks, and as we progress our mind fills with notations and observations. The first pages of our mental notebook are filled with our first experiences.
The potential for difficulty arises, however, as we try to apply those early lessons to situations in which they are not relevant. Take note of experience, but realize there are situations where your experiences no longer apply.
Research on financial managers finds that 95 percent display a particular commitment to sectors in which they experienced their first success. Ultimately, this tendency leads to missed buying opportunities in other segments of the market and unrealistic enthusiasm for their chosen sector.