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Employee Equity: Options

A stock option is a security which gives the holder the right to purchase stock (usually common stock) at a set price (called the strike price) for a fixed period of time. Stock options are the most common form of [...]  Read more

Employee Equity: Options

A stock option is a security which gives the holder the right to purchase stock (usually common stock) at a set price (called the strike price) for a fixed period of time. Stock options are the most common form of [...]  Read more

Employee Equity: Appreciation

This is the third post in an MBA Mondays series on Employee Equity. Last week I talked about Dilution. This week I am going to talk about the antidote to Dilution which is Appreciation, specifically stock price appreciation. When you [...]  Read more

Outsourcing vs Offshoring

A lot of the discussion about last week’s MBA Mondays post on Outsourcing was about the differences between outsourcing locally and outsourcing outside your home country. A popular term for the latter approach is offshoring. The advent of modern electronic [...]  Read more

Bookings vs Revenues vs Collections

A reader suggested this topic for MBA Mondays. It is a good one. When a customer commits to spend money with your company, that is a “booking”.  A booking is often tied to some form of contract between your company [...]  Read more

Sunk Costs

Today on MBA Mondays we are going to talk about another form of costs; Sunk Costs.Sunk Costs are time and money (and other resources) you have already spent on a project, investment, or some other effort. They have been sunk [...]  Read more

Opportunity Costs

We are going to turn our attention on MBA Mondays to some costs that are important to recognize in business. First up is Opportunity Cost.Opportunity Cost is the cost of not being able to do something because you are doing [...]  Read more