Both optimism and pessimism
are two different forms of delusion and in business, the game is to treat
Triumph and Disaster with the same level of caution.
We
all know funding is critical for innovation and the survival of SMEs, A lot of
the funds spent for upstream research can be channeled back to the business
through downstream commercialization.
One
form of funding that should not be ignored is the government:
Google’s
algorithm was funded by the
National Science Foundation,
Iphone smart technologies were also funded by the U.S government; GPS,
touchscreen display and Siri. Apple also benefited from early stage finance
from the U.S. government's Small Business
Investment Company
program.
Venture
capitalist only got involved long after the proof of concept had been
established, in other words the government took more risk to spark innovation
in a strategic area.
Once
the business is running, the stock market can be an excellent source of funds
for expansion, growth and wealth. The same way Apple became the most valuable
company for a couple of years
.
.
An efficient market prices
things accurately. The more informed buyers and sellers who behave in a logical
fashion, the more efficient a market becomes.
The
stock market is somewhat efficient, meaning it prices stocks at rational levels
over the long term. But on any given day, the stock market is driven by
alternating cycles of fear and greed which distort prices away from their fair
value. Day traders are simply gamblers who are one trade from disaster and the
market is more efficient with investors.
A smart way to innovate and grow your
business is to spread the upstream investment risk for a triumphant downstream reward which should benefit all stakeholders
