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Showing posts with the label Metcalfe

Just my thoughts #0595

Stocks represent trades that signify the future value of the present. The current price of a stock conveys insights about the company’s future. In essence, it involves the buying and selling of future potential. However, stock prices also reflect past performance. When a company announces its performance, it often includes disclosures about stock purchases and sales by major shareholders or executives. This practice has historical roots, but the public disclosure of such information now affects the stock’s current price. Time influences present value, whether it pertains to the past or the future. Ultimately, time is the most critical variable in asset valuation. - Joseph’s “just my thoughts”

Just my thoughts #0341

Metcalfe’s Law states that the value of a communication network is proportional to the square of the number of users connected to it, represented by the formula N(N-1)/2, where N is the number of terminals (users). In other words, if there is only one cell phone in the world, it holds no value. The same applies to computers and software. Consequently, mobile communication service providers strive to distribute mobile phones to consumers, even going so far as to subsidize them. The value of language follows the same principle. However, the impact can vary significantly depending on who is connected to this network. If you are in the business of building networks, you must implement a strategy to quickly attract the most influential users to your network. Therefore, an entrepreneur must clearly and concisely define who their customers are and why they should engage with their network. - Joseph’s “just my thoughts”