Measuring the immeasurable

Más información sobre el libro

An investment in knowledge pays the best interest. Benjamin Franklin (1706–1790) is not only recognized as a founding father of the United States but also as an inventor of enduring products like bifocals and the lightning rod. In today's knowledge-driven economy, his insights remain crucial. Knowledge creation, application, and protection are vital for a firm's success, making it a key asset in achieving a competitive edge. Strategic management research highlights that a leading market position, or even a monopoly, is essential for generating attractive economic rents. This underscores the value of knowledge as a resource. Furthermore, empirical evidence shows that investments in research and development are significant drivers of business success. Such expenditures lead to new products and more efficient production processes, resulting in higher sales volumes and improved profit margins. Ultimately, increased sales and lower costs contribute to a rise in overall company profits. As annual earnings grow, so does the market value of the company, illustrating the enduring relevance of Franklin's wisdom in the modern business landscape.