Production and processing create added value. Wealth is the accumulation of this added value. Distribution shares this added value among economic entities. Cultivating coffee trees generates added value for green coffee beans, while roasting those beans adds further value to the coffee product. Grinding the beans and extracting them with water creates and consumes the added value of a cup of coffee. Finance enables the distribution of the added value generated by this production and processing through the use of money, facilitating the easy accumulation of that value. However, finance can leverage its power only because there was prior production and processing. The challenge arises when the compulsory circulation power of currency enables the ownership of labor and resources that underpin production and processing, along with real estate, which is foundational to its existence. If production, processing, and distribution are dictated by money’s compulsory circulation power, who will g...
In a rapidly evolving technological market, companies thrive not by producing durable, long-lasting products but by continuously innovating new models. If car manufacturers create vehicles so robust that customers drive them for over 30 or 40 years, those companies risk failure. Therefore, product cycles are crucial in manufacturing: if they are too short, trust is lost; if they are too long, bankruptcy follows. Nevertheless, newcomers often aim to make them more robust. - Joseph’s “just my thoughts”