Problem Solving Vincent Teo Problem Solving Vincent Teo

Second Order Thinking

Second-order thinking is the practice of going beyond immediate consequences to consider the long-term ripple effects of a decision. Where first-order thinking stops at “what’s the immediate result?”, second-order thinking goes further: “and then what?”

It’s the difference between quick wins and wise moves.

This model forces you to play out future scenarios - a critical habit in investing, policy-making, product design, and life.

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Satisficing

Satisficing is a decision-making strategy where you opt for a solution that meets your needs - even if it’s not the absolute best. Instead of exhaustively analyzing every option in search of the optimal, you choose the first option that’s good enough.

Coined by economist and cognitive psychologist Herbert A. Simon in the 1950s, satisficing blends two ideas: satisfy and suffice. Simon argued that in real life, we rarely have perfect information or unlimited time. So, rather than trying to maximize every outcome, it’s often more rational to satisfice - to choose what works and move on.

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Strategic Ignorance

Strategic Ignorance is the intentional act of not knowing - of choosing not to engage with information, opinions, or content that doesn’t meaningfully impact your goals, values, or peace of mind.

In a world where information is abundant but attention is scarce, strategic ignorance becomes a competitive advantage.

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BATNA

In simple terms, BATNA is your backup plan - the course of action you’ll take if the current negotiation fails. It’s not just about walking away; it’s about walking away to something better.

Knowing your BATNA gives you confidence, clarity, and leverage. Without it, you risk agreeing to unfavorable terms simply out of fear, pressure, or uncertainty. The stronger your BATNA, the stronger your negotiation position.

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Abstraction Laddering

Abstraction Laddering is a mental model that helps you reframe problems by shifting between different levels of abstraction - zooming out to understand the big picture, and zooming in to identify actionable next steps. It helps ensure you’re solving the right problem, not just the most obvious one.

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Talent Stack

Rather than trying to outdo the top 1% in a single field, the Talent Stack approach is about creating a unique edge by stacking diverse, complementary abilities. In today’s fast-changing world, adaptability often beats specialization.

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Hell Yeah Or No

Hell Yeah or No is a mental filter for decision-making, designed to help you protect your time, energy, and focus. The concept was popularized by entrepreneur and author Derek Sivers, who argued that if you're not enthusiastically saying "Hell yeah!" to something, you should feel free to say "no."

This model is especially powerful in a world where burnout, decision fatigue, and FOMO are the norm. Most people are overwhelmed not because they have too little time, but because they say yes to too many things that don’t matter.

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Box Breathing

Box Breathing is a simple yet powerful breathing technique used to calm the nervous system, sharpen focus, and regain emotional control - especially under pressure.

Originally developed and popularized by Navy SEALs to stay calm and focused in high-stakes environments, it has since been widely adopted by athletes, CEOs, therapists, and anyone seeking more mental clarity.

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Mental Time Travel

Mental Time Travel is your ability to mentally step outside the present moment, to revisit your past experiences or project yourself into the future.

By imagining past wins or visualizing future outcomes, you gain perspective, reduce anxiety, and make better decisions. It’s a powerful way to escape the emotional noise of now and access the clarity that often only time provides.

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Action Precede Motivation

We often think we need to feel motivated before taking action. But psychology and real-world experience say the opposite is more often true:

Motivation is the result of action; not the cause.

Once you start, even in a small way, your brain begins to engage, your resistance drops, and your momentum builds. This is known as the activation energy principle; it takes the most effort to start, but far less to keep going.

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Cognitive Reframing

Cognitive Reframing is the mental act of changing how you interpret a situation—so you can respond with more clarity, calm, and control. The idea is simple:

The story you tell yourself about what’s happening matters more than the event itself.

When you change your interpretation, you change your emotional response. This model doesn’t ignore reality—it reframes it to reduce unnecessary stress and unlock more empowering action.

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Fail Small Not Big

View each day as four quarters (morning, midday, afternoon, evening) to make it easier to bounce back quickly from setbacks or distractions. By failing small, you can always recover in the next quarter.

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