Mr. A and Mr. B are good friends. Both started as gamblers with some working knowledge of gambling and betting on cricket matches. (Here assuming cricket gambling is legal They both have Rs 2 lakh as gambling capital and both have the same style of gambling i.e. they both bet on the Indian cricket team. They both knew that India would play a 10-match series. So they decided to do it.
Gambling standards are to place a bet of 1 rupee. If India wins it gets 2 rupees, and if India loses, it loses 1 rupees.
Mr. A is too excited to bet. He enjoys dreaming about how India wins every match and doubles his money on every bet. Although he was cautious about losing, he decided to put Rs 1 lakh on his first bet.
On the other hand, Mr. B studies the behavior of the Indian cricket team and finds out that India has a record of winning consecutively and when they start to lose, they lose constantly. Based on this study, he decided to put 20,000 rupees on each bet.
The next day’s streak begins, they both bet. The result is India’s loss. Mr. A loses every Rs 1 lakh while Mr. B loses Rs 20 thousand. It is hard to believe that India lost and now he is more eager to recover the loss in the next trade only. While Mr. B is calm, he has already made a gambling plan based on studies he had done in India.
Next game. Mr. A bets on whatever remains of Rs 1 lakh with great hope that India will win and get his lost capital back, while Mr. B is indifferent to the outcome, betting Rs 20,000.
The result of “Lost India”.
Now Mr. A has nothing to bet on. Out of the frustration of mowing, he approaches one of his friends to ask for Rs 2 lakh as loan. Incidentally, he is now confident that India will win the third match as they have already lost two matches. (Father to India har hi nahi sakti…!!
The third match. As a result, India lost.
This time Mr. A is completely broken. He left only a loan of Rs. 2 lakh and he decides to leave the gambling profession because now he thinks that “gambling is a very bad profession”, people only lose money here. Whoever he meets, he continues to blame gambling and discourages others from participating in it. “You will lose all your savings …” It frightens others. Now he does a 9 to 5 job where he has to pay off a loan to his friend.
But on the other hand, Mr. B is still in the game. After losing the third bet, he still has 1.4 lakh rupees, which is enough to place the fourth bet.
India loses the next three matches in a row. Every time he put in 20k and lost them. He is still alive and left with 80,000 rupees to place another bet. He is still acting on his plan which he set after studying the behavior of the Indian cricket team.
He placed his seventh bet in the seventh match and India won this time. He receives 40,000 rupees as a reward. India wins all three remaining matches in a row and receives Rs 40,000 for every bet placed Rs of Rs 20,000.
So even after losing a total of 1.20 lakh rupees on seven bets he survived, and on the next four bets he made 1.60 lakh. Overall, he made 40k in this series which is 20% of the total gambling capital. He is happy and waiting for the next series.
Case study: Both Mr. A and Mr. B had decent capital. Both had a betting system. The only difference was that they both had a different mental set. Mr. A wanted to double his capital on every bet and get rich fast. He had very poor money management. His subconscious was not accepting that India would lose and he had developed a ‘false hope’ that India would definitely win the next match.
Mr. B wanted to survive and let his system work for him. He never worried about the outcome of the match. He knew that if he kept betting, the odds would work in his favor and he would make a reasonable profit over time. Continue managing his money/risk and placing each bet. That’s it. He never dreamed of high returns and was happy with the realistic 20% return.
I hope you find it useful…