Does Malcolm Gladwell’s Outliers Apply to Business?

I just finished reading Malcolm Gladwell’s new book Outliers: The Story of Success. While it details how a person’s environment, cultural background and lucky breaks have contributed to success, I could not help wondering how things such as the year in which you start year your business and the location of your company affect the chances for success.

We happened to start our second office in Ann Arbor, Michigan just as the auto industry was really tanking. This meant we had less competition in terms of other agencies which were left standing. We didn’t specialize in auto, therefore, we didn’t take a big hit. We did, however, focus on small to midsized technology companies which are plentiful in the southeast Michigan area, especially in college towns. I’d like to think some of our success was due to hard work and creative talent. But I have to wonder…how much was our success due to the factors discussed in Outliers?

What are your thoughts on lucky breaks vs. hard work?