Shares of Tesla rose more than 20 percent in one week, raising Elon Musk’s personal net worth to $ 195 billion, $ 10 billion more than the former world’s richest man Jeff Bezos, according to the Bloomberg Billionaires Index on January 8th.
When Tesla Owners of Silicon Valley tweeted the news, Musk’s response was just six words, “How weird,” followed by “Well, back to work …” It might seem like a pretty ho-hum response to becoming the world’s richest person. But it was a perfect answer and a useful lesson in emotional intelligence for every leader.
You know, he knows just how random and changeable this little bit of good news is, just like any news related to the share price of his companies. Tesla shares closed at more than $ 880 at the time of writing, but less than two years ago they were worth about $ 38. (Go ahead and kick yourself if you’ve never bought one before, it’s me for sure.)
As for Musk, it is difficult to judge how new his membership is among the richest people in the world. He has earned only $ 150 billion in the past year – more than three-quarters of his mega-fortune. It is probably not difficult for him to remember the days when he slept in the office – not because he could spend the maximum amount of time at work, as is the case these days, but because he could not afford an apartment. to go home. .
He also knows how quickly fortunes can change, especially when linked to the whims of the financial markets. Over the past few years, he has faced short sellers (investors falling on a company’s share price) because of Tesla’s bad mouth, perhaps in a cunning attempt to make quick money. He has seen legitimate stock analysts question Tesla’s prospects and predict their downfall time and time again – one such firm has only publicly acknowledged that he has things very, very wrong. And Musk also learned how the Securities and Exchange Commission can cut its wings, even if everything else goes right.
In other words, he incorporated a bit of wisdom that every business leader should remember. Some days you are the hero and other days you are the goat, and it is much smarter to ignore the ups and downs in people (and markets) of you. Rather, do what Musk says all CEOs should do – focus on making your product “as amazing as it can be”.
If you get a rising share price, or a business goal, or an award, you feel like you’re on top of the world, you can crash if you miss your goals, or lose a major customer, or get public criticism. The best leaders do not take any of this seriously. Instead, they do what Musk says he does – they go back to work.