#夜话Matt--Irving shared excerpts from the book "A Brief History of Business" from Matt City's online reading club

#夜话Matt--Irving shared excerpts from the book "A Brief History of Business" from Matt City's online reading club

The evolution of business

The evolution of business can be understood from two dimensions:

Network density: refers to the density of connections between suppliers and demanders of goods or services. The higher the network density, the more efficient the circulation of goods or services.

Transaction costs: refer to the costs of transacting goods or services. The lower the transaction costs, the more efficient the transaction of goods or services.

type of business

Based on differences in network density and transaction costs, businesses can be divided into the following four types:

Line segment business: low network density and high transaction costs. For example, business in ancient serfdom societies.

Central business: high network density and medium transaction costs. For example, modern department stores.

Decentralized commerce: high network density and low transaction costs. For example, modern online shopping.

Fully connected business: network density 100%, transaction cost 0. This is an idealized business model that has not been realized yet.

business concept

The core concept of business is value creation. The purpose of business activities is to create value through the exchange of goods or services.

business operations

For business operations, the following factors need to be considered:

Business model: refers to the way business activities operate.

Business strategy: refers to the goals and means of business activities.

Business operations: refers to the specific implementation of business activities.

business trends

With the development of technology, the trend of business is towards decentralization and low transaction costs.

Business options

In business activities, we can choose the following four roles:

Laborers: Provide labor force for enterprises.

Winners: Profit in business bonuses.

Arbitrage: Taking advantage of business opportunities to earn the difference.

Trend takers: creating new business models.

Reading club experience

This book club gave me a deeper understanding of business. I believe that business is an activity that creates value and can help us improve our living standards. In business activities, we can choose different roles to achieve our goals.

Here are some specific thoughts:

The evolution of business is a process from complexity to simplicity. With the development of network technology, business network density is getting higher and higher, and transaction costs are getting lower and lower. This makes business activities simpler and more efficient.

The concept of business is value creation. The purpose of business activities is to create value through the exchange of goods or services. Therefore, when we conduct business activities, we should think about how to create value.

Business operations require consideration of many factors. When we conduct business operations, we should formulate reasonable business models and strategies and implement them specifically.

The trend of business is towards decentralization and low transaction costs. With the development of technology, business activities will become more decentralized and efficient.

In business activities, we can choose different roles. We can choose suitable roles based on our abilities and interests.

I hope that through my understanding of business, I will be able to achieve success in my future business endeavors.

Today’s Poap:

https://floats.city/event/0x535fc8c7e1a61627/1431600253

The next book club will discuss the "Price Beacon Effect"

The price beacon effect means that price fluctuations will have a chain reaction on society and even trigger social unrest.

In our next book club, we might discuss the following:

The concept of price beacon effect

Historical cases of price beacon effect

The impact of the price beacon effect

We will discuss these contents to understand the mechanism of price beacon effect and how to deal with price fluctuations.

**Night talk Matt--Irving book club time: tentatively scheduled for February 2024 (before going to Istanbul, Turkey) 8:00 pm

**Reading Club Location: Weekend Night Talk on Matt--Matt City Online Reading Club

**Reading Club Book: "The Price Beacon Effect: From the Financial Crisis to the Post-Epidemic Era, the Signal of the Next Wave of Chaos in the World"

Everyone is welcome to attend!