Thursday, January 8, 2015

Businesses Burning their Products

Some organisms reproduce only once before dying. Others reproduce multiple times within their lifespan. Those that reproduce only once before they die use all their resources and energy to reproduce. Others that reproduce multiple times within their lifetime only invest considerably lower energy and resources in reproducing.

In some situations, a company might 'burn' out one of its products in the market, getting enough cash to start other lines of business. This is similar in a way to the organisms that consumes all its energy in reproduction then dies.