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Robert Farrar Capon (Kingdom, Grace, Judgment: Paradox, Outrage, and Vindication in the Parables of Jesus)
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Carl Sagan (The Demon-Haunted World: Science as a Candle in the Dark)
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My wife has a sweet tooth but is also very health conscious. Over more than two decades, she has followed a simple yet powerful way of avoiding the enticement of desserts. Our fridge just doesn’t have any. In my view, the best way to avoid investing in bad businesses is to ignore them and their stock prices. We never discuss what we consider bad companies or industries in our team meetings. Never. It doesn’t matter if an airline has declared spectacular results recently or if every analyst recommends buying airline shares. We are indifferent to a public sector bank that has hired a new CEO from the private sector and has pushed its stock price to an all-time high. We ignore an infrastructure business that has been awarded a new multibillion-dollar contract and a gold loan business that has announced 30 percent ROE in its latest quarterly result and is touted by the bulls to be the next billion-dollar opportunity. No one on our team is allowed to utter the famous last words of many investors: “This time, it’s different.” If we never discuss a business, how will we ever buy it? No sweets in the fridge: no snacking possible.
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Pulak Prasad (What I Learned About Investing from Darwin)
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Paradoxical as it may seem, the riches of nations can be measured by the violence of the crises which they experience,’ opined the nineteenth-century French economist Clément Juglar.13 Once creative destruction is taken into account, Juglar’s observation doesn’t appear so puzzling. Some economists take a ‘pit-stop’ view of recessions, seeing them as periods when efficiency measures are most likely to be undertaken.14 Business failures, which soar during economic downturns, are seen as essential to the economy’s evolution over time. As the saying attributed to the former astronaut and airline boss Frank Borman goes, ‘capitalism without bankruptcy is like Christianity without hell.’ If that is the case, then monetary policy should not interrupt a recession’s cleansing effect.fn4 Put another way, if financial stability is destabilizing (as Hyman Minsky maintained), too much economic stability induces sclerosis.
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Edward Chancellor (The Price of Time: The Real Story of Interest)
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The flow of the user experience is to give the end user something of value, build trust in the relationship and then engage in commerce once we’re comfortable with each other. The industrial ethic had the opposite approach. Its approach was to say, ‘Here’s this item and this is the price. So let’s transact. You buy something and if you buy it often enough I might reward you for your loyalty later on’. Airline frequency flyer programs operate in this way.
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Steve Sammartino (The Great Fragmentation: And Why the Future of Business is Small)
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lihanalessy
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Many of the best and most conspicuous examples of strategic principles come from companies that were founded on them, companies such as eBay, Dell, Vanguard, Southwest Airlines, and Wal-Mart (“Low prices, every day”). The founders of those companies espoused a clear guiding principle that summarized the essence of what would become a full-blown business strategy.
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Orit Gadiesh (HBR's 10 Must Reads on Strategy)
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Today’s equivalent is probably ‘get an engineering degree’, but it will not necessarily be as lucrative. A third of Americans who graduated in STEM subjects (science, technology, engineering and maths) are in jobs that do not require any such qualification.52 They must still pay off their student debts. Up and down America there are programmers working as office temps and even fast-food servers. In the age of artificial intelligence, more and more will drift into obsolescence. On the evidence so far, this latest technological revolution is different in its dynamics from earlier ones. In contrast to earlier disruptions, which affected particular sectors of the economy, the effects of today’s revolution are general-purpose. From janitors to surgeons, virtually no jobs will be immune. Whether you are training to be an airline pilot, a retail assistant, a lawyer or a financial trader, labour-saving technology is whittling down your numbers – in some cases drastically so. In 2000, financial services employed 150,000 people in New York. By 2013 that had dropped to 100,000. Over the same period, Wall Street’s profits have soared. Up to 70 per cent of all equity trades are now executed by algorithms.53 Or take social media. In 2006, Google bought YouTube for $1.65 billion. It had sixty-five employees, so the price amounted to $25 million per employee. In 2012 Facebook bought Instagram, which had thirteen employees, for $1 billion. That came to $77 million per employee. In 2014, it bought WhatsApp, with fifty-five employees, for $19 billion, at a staggering $345 million per employee.54 Such riches are little comfort to the thousands of engineers who cannot find work. Facebook’s data servers are now managed by Cyborg, a software program. It requires one human technician for every twenty thousand computers.
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Edward Luce (The Retreat of Western Liberalism)
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After one year by the end of May, 2007 Vijay Mallya of Kingfisher airlines announced to acquire 26 percent stake in Deccan aviation. The stock price slowly inched back to Rs 145, almost the IPO price.
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Chellamuthu Kuppusamy (The Science of Stock Market Investment - Practical Guide to Intelligent Investors)
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Third, the idea that venture capitalists get into deals on the strength of their brands can be exaggerated. A deal seen by a partner at Sequoia will also be seen by rivals at other firms: in a fragmented cottage industry, there is no lack of competition. Often, winning the deal depends on skill as much as brand: it’s about understanding the business model well enough to impress the entrepreneur; it’s about judging what valuation might be reasonable. One careful tally concluded that new or emerging venture partnerships capture around half the gains in the top deals, and there are myriad examples of famous VCs having a chance to invest and then flubbing it.[6] Andreessen Horowitz passed on Uber. Its brand could not save it. Peter Thiel was an early investor in Stripe. He lacked the conviction to invest as much as Sequoia. As to the idea that branded venture partnerships have the “privilege” of participating in supposedly less risky late-stage investment rounds, this depends from deal to deal. A unicorn’s momentum usually translates into an extremely high price for its shares. In the cases of Uber and especially WeWork, some late-stage investors lost millions. Fourth, the anti-skill thesis underplays venture capitalists’ contributions to portfolio companies. Admittedly, these contributions can be difficult to pin down. Starting with Arthur Rock, who chaired the board of Intel for thirty-three years, most venture capitalists have avoided the limelight. They are the coaches, not the athletes. But this book has excavated multiple cases in which VC coaching made all the difference. Don Valentine rescued Atari and then Cisco from chaos. Peter Barris of NEA saw how UUNET could become the new GE Information Services. John Doerr persuaded the Googlers to work with Eric Schmidt. Ben Horowitz steered Nicira and Okta through their formative moments. To be sure, stories of venture capitalists guiding portfolio companies may exaggerate VCs’ importance: in at least some of these cases, the founders might have solved their own problems without advice from their investors. But quantitative research suggests that venture capitalists do make a positive impact: studies repeatedly find that startups backed by high-quality VCs are more likely to succeed than others.[7] A quirky contribution to this literature looks at what happens when airline routes make it easier for a venture capitalist to visit a startup. When the trip becomes simpler, the startup performs better.[8]
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Sebastian Mallaby (The Power Law: Venture Capital and the Making of the New Future)
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Privatisation of government-owned enterprises is crucial to the project [neoliberalism]. One of the appealing features of tax cuts for neoliberal governments is that reduced revenue provides them with an excuse to sell state assets to meet the sudden budget shortfalls. The sale of state assets creates more lucrative business opportunities for the corporations that can afford to buy such things as power stations, water treatment plants, telecommunications providers, government banks and airlines. It's something of a windfall for a business to acquire an asset that will always deliver a return so long as citizens still need things like water or power supplied to their homes, a bus to catch from one place to another, or a telephone connection. And - unlike a state-owned asset - a private corporation never has to adjust its services due to democratic prompting from the electorate. Why do power prices keep going up across Australia? Because most of the power supply is now owned and operated by private corporations. They're free to price gouge on the supply of an essential service, because they can't be voted out of office. p.58-9
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Sally McManus (On Fairness)
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Privatisation of government-owned enterprises is crucial to the project [neoliberalism]. One of the appealing features of tax cuts for neoliberal governments is that reduced revenue provides them with an excuse to sell state assets to meet the sudden budget shortfalls. The sale of state assets creates more lucrative business opportunities for the corporations that can afford to buy such things as power stations, water treatment plants, telecommunications providers, government banks and airlines. It's something of a windfall for a business to acquire an asset that will always deliver a return so long as citizens still need things like water or power supplied to their homes, a bus to catch from one place to another, or a telephone connection. And - unlike a state-owned asset - a private corporation never has to adjust its services due to democratic prompting from the electorate. Why do power prices keep going up across Australia? Because most of the power supply is now owned and operated by private corporations. They're free to price gouge on the supply of an essential service, because they can't be voted out of office.
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Sally McManus (On Fairness)
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Plus when you get down to important moments in life like this your upbringing always seems to kick into over-drive no matter what religion or philosophy you happen to prefer as an adult or as an older kid like me. In a crunch us Christians like to think God even sets the price of airline tickets.
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Russell Banks (Rule of the Bone)
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Steven Magee
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Let’s consider what Kelleher and O’Leary did to the airline industry. In essence, they said, “Who needs all these operating costs? We—and our customers!—certainly don’t.” By leaving no stone unturned to take ever-increasing swathes of operating cost out of their businesses and by lowering their prices, they brought hordes of new passengers to air travel.
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John W. Mullins (Getting to Plan B: Breaking Through to a Better Business Model)
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Joe Coulombe (Becoming Trader Joe: How I Did Business My Way and Still Beat the Big Guys)
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Benjamin Graham (The Intelligent Investor)
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