Entrepreneurs are prone to self-deception

Entrepreneurs often operate in a state of semi-delusion. This is a necessary trait to persevere through the challenges of building a startup and to convince others to believe in a vision that is not yet a reality.

However, this same trait can be a significant liability if it leads to believing one's own hype. Unchecked self-deception can cause a founder to ignore reality until it's too late.

The antidote to this is data. Data provides an objective view of the business and helps to counteract the natural tendency towards self-deception. It's the necessary counterweight to the hype and storytelling that are essential to the early stages of a startup.

This doesn't mean that intuition is useless. Instincts are for inspiration, data is for validation.