investments - Concepts
Explore concepts tagged with "investments"
Total concepts: 10
Concepts
- Net Present Value (NPV) - The value today of a future sum of money, accounting for the time value of money through discounting.
- Escalation of Commitment - The tendency to continue investing in a decision or course of action despite evidence that it's failing, due to prior investment of time, money, or effort.
- Defensibility - The degree to which a business or competitive position can be protected from attack by competitors over time.
- J-Curve Effect - The pattern where an investment or change initially produces negative results before yielding positive returns, creating a J-shaped performance curve.
- Down Payment - An initial partial payment made at the time of purchase, reducing the amount financed and signaling the buyer's commitment and financial capacity.
- Economic Moat - Sustainable competitive advantage that protects a company from competitors, like a moat protects a castle.
- Payback Period - The time required to recover the initial investment from a project's cash flows or benefits.
- Pricing Power - The ability of a company to raise prices without losing significant customer demand.
- Time Value of Money - The principle that money available now is worth more than the same amount in the future due to its earning potential.
- Intangible Assets - Non-physical assets such as brands, patents, proprietary knowledge, and customer relationships that provide durable competitive advantages.
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