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The longer I do this the more I believe that value isn't created by doing. It's created by selling. You can't sell something that doesn't have value to the buy
by a-priori 13y ago
The longer I do this the more I believe that value isn't created by doing. It's created by selling.
You can't sell something that doesn't have value to the buyer. Therefore, if someone buys a thing from you, it already had value before you sold it.
But don't get me wrong here, effective sales is an essential part of the value-creation process. It's the other side of the coin. Like the old tree-in-a-forest adage, if someone made a valuable thing and no one bought it, did it really have value? It's hard to say.
Selling something may not create value, but it does realize it: it quantifies the value -- value that already existed -- and turns it into money.
- jmathai 13y agoSelling something may not create value, but it does realize it Well put. What we have to be careful of is being fooled into thinking we're creating value if in the end that value can never be realized. Essentially, not having value.
- freigeist 13y agoSelling something may not create value, but it does realize it. I like PG's distinction of wealth (i.e. value) and money: http://www.paulgraham.com/wealth.html http://www.paulgraham.com/wealth.html So, while selling realizes a monetary gain, it does not necessarily create wealth also. Here is why I still think it does create wealth: * there is economic value in allocating resources efficiently * (non-monetary) user acquisition increases the value of network effect driven products * money goes to work when infused into a productive company (instead of being idle, money is invested in wealth creating assets)