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> How are you going to convince folks in their 60s and 70s to invest hundreds of millions of dollars in something completely unproven if, at the very least, you
by irahul 15y ago
> How are you going to convince folks in their 60s and 70s to invest hundreds of millions of dollars in something completely unproven if, at the very least, you haven't studied corporate finance and corporate strategy at HBS or Wharton or wherever?
That doesn't make any sense at all. For something completely unproven, corporate finance doesn't even come into picture. I don't know how your wireless example relate to this, since wireless isn't completely unproven - more like "it works
and we have a lot of base to build onto.
Let's say we are talking about self-driving cars, as an example of something completely unproven which is well served by millions of dollars. Corporate finance and strategy aren't going to drive that car for sure.
- polymatter 15y agoI think folks will be more comfortable handing over vast sums into a business if the people at the helm have significant knowledge of responsibly handling vast sums of money. The MBA is one indication that a person is responsible handling* vast sums of money. Having some actual experience handling vast sums of money is even better. Without that experience though, the MBA is the next best thing. * By responsible handling of money, I mean things like having made concious decisions about the debt structure of the business, hedging risks (eg. use of forward contracts to hedge currency risks), care between capital and revenue expenditure for tax purposes. To say nothing of the other areas of the MBA to understand how the different functions of the business work together. And if you're building a large business you're going to have different functions of the business so folks feel more comfortable knowing that the guy in charge knows about these different functions and how they operate.
- ThomPete 15y agoI know several MBAs who have no experience handling large sums of money. The whole argument have no basis in reality.
- arethuza 15y agoI know a few people in the asset and treasury management areas and none of them are MBAs - they mostly qualified as accountants or actuaries early in their career (often on top of higher maths degrees) and then go on to become hyper specialized.