Business debates who benefits most from time. When borrowing money, the debtor gains the benefit of time until the repayment date. Since the period before repayment favors the debtor, the debtor compensates the creditor with interest. However, as the repayment date approaches, time shifts to favor the creditor. After the due date, the debtor loses the benefit of time, known as ‘acceleration of debt,’ and must repay both the principal and interest. Time benefits debtors but poses risks to creditors. Therefore, lending money without interest results in a loss. All of this illustrates the power of time. Time is money, and money derives its value from time. The most important factors for CEOs to focus on are time and, next, opportunity cost. - Joseph’s “just my thoughts”
The reorientation and expansion of a business should be planned and decided in terms of customer synergies, not company synergies. It may be more successful to offer a customer who buys apple jam an extra slice of bread to spread it on than to provide a customer who buys apple jam an extra jar of peach jam. It's easier for the jam seller to give away an extra jar of jam, but for the customer, the bread is more valuable than the jam. - Joseph’s “just my thoughts”