Monday, January 8, 2018

The price of value?



It's commonly said "value is in the eye of the beholder", meaning: the price of value is what someone is willing to pay.

Fair enough. No willing buyer: no practical value. Many potential buyers: let demand drive the value (Some would call this phenomenon bubble economics .... perhaps)

If the market is "efficient" --  meaning everyone has access to all the relevant information -- then value, like water, should find it's own level.

Then, along comes this idea, usually tagged to an intangible:
"There is no right or wrong value. Value is only a matter of adoption and enthusiasm"
In other words: there's no comparable benchmark. The intangible is what it is to those who want it for whatever the reasons.

Now comes project management: How do you build a business case around outcomes with no benchmark; no idea of a right value -- whether too high or too low?

Answer: it's a crap shoot, and such risk separates the bold from the timid. No need to write a book for a business case; you can probably fill it out on a post card.

Perhaps the business can generate its own wind, stirring up demand (I didn't know I needed that!) where there is none, driving both adoption and enthusiasm. But, sometimes both just take off: the smart phone didn't need much of a kick!

Others:
  • Sony Walkman comes to mind, but it's a tangible. Similarly the personal computer. Who knew you needed a computer in your house ... didn't they belong in the rooms with the punch cards -- don't fold or staple?
  • Digital currencies come to mind. How do they work and what are they worth? And, who says the worth is this or that?
Since there are no objective answers to any of this, I can leave it here!



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