In 1943, military commanders showed statistician Abraham Wald a diagram of returning B-29 bombers covered in red dots on the wings and tail. They wanted to add armor to these damaged areas, assuming that’s where the Germans were hitting them most often.

Wald stopped them with a terrifying insight: "The armor must go where the bullet holes are not." He realized the planes with holes in the wings were the ones that survived to make it back; the planes hit in the cockpit or engines were at the bottom of the English Channel, completely missing from the data.

This is Survivorship Bias: the dangerous error of focusing only on the visible winners while ignoring the invisible losers. In business, we clone the strategies of "unicorns" like Slack or Notion, forgetting that thousands of failed startups used the exact same playbook but went to zero.

Why do we keep cloning the unicorns?

We are constantly staring at the survivors everywhere. We look at Slack, Dropbox, or Figma, and we treat their history as a recipe. We reverse-engineer their Product-Led Growth (PLG) motions, their viral loops, and their pricing tiers.

We tell ourselves a comforting lie: "If we do what Slack did, we will get what Slack got."

This is dangerous because specific tactics are often context-dependent. Slack grew through viral word-of-mouth in a specific era of workplace communication fatigue. If you copy their "freemium" model today without their specific market conditions, you aren’t replicating their success; you are just replicating their expenses.

We ignore the thousands of failed startups that used the exact same "viral loop" strategy but went to zero. Because they died, their data is invisible. We don’t see the blog posts about "How We Failed to scale with PLG." We only see the victory laps.

What are we missing when we only study winners?

When you only study the winners, you learn what they did right, but you rarely learn what actually mattered for survival.

1. The Role of Luck and Timing

Survivors often attribute their success to skill or strategy. "We were geniuses for betting on remote work," they say on podcasts. In reality, they might have simply been lucky enough to launch Zoom right before a global pandemic. If you try to replicate their roadmap without their timing—the invisible variable—you will fail.

2. The Hidden Risky Bets

A survivor might have taken three massive risks. Two paid off, one didn’t. In the retrospective, the risky bet that worked is hailed as visionary. The failed startup that took the exact same risk but rolled a different number is forgotten. You might be copying a strategy that has a 99% failure rate, simply because the 1% who survived are the only ones visible to you.

How can you avoid this trap?

To build a resilient business, you need to stop staring at the wings of the returning planes and start thinking about the engines of the ones that crashed.

Seek Out Failure Stories: Don’t just read Zero to One. Read post-mortems. Sites like Autopsy.io or Failory are goldmines of information. Understanding why a competitor in your space failed is often more valuable than understanding why the market leader succeeded. Did they run out of cash? Did they scale sales too early?

Test for Causality, Not Correlation: Just because a successful company does X, doesn’t mean X caused their success. Google hires people with high GPAs; that doesn’t mean checking GPAs is the secret to building a search monopoly. Test your hypotheses in your specific context rather than blindly adopting "best practices."

Look for the ‘Bullet-Free’ Zones: If every successful competitor in your niche has a massive enterprise sales team, maybe that’s the "cockpit" that ensures survival. If none of the survivors are doing pure PLG, maybe PLG is the shot to the engine that kills companies in your specific vertical.

Success leaves clues, but failure leaves receipts. Don’t just look at the planes that came home.