Economic Cooperation Organization – Explained

by TheBusinessProfessor | Feb 23, 2025 | Global Business, International Law & Relations

What is the Economic Cooperation Organization (ECO)?The Economic Cooperation Organization (ECO) is an intergovernmental regional organization which was established in 1985 by Iran, Pakistan and Turkey. It was preceded by the Regional Cooperation for Development (RCD),...

Earnings Before Interest Taxes Depreciation and Amortization (EBITDA) – Explained

by TheBusinessProfessor | Feb 23, 2025 | Business Finance, Personal Finance, and Valuation Principles

What is Earnings Before Interest Taxes Depreciation and Amortization?EBITDA is simply a acronym for the words Earnings before interest, tax, depreciation, and amortization. Simply put, is the measurement of company’s operating profitability. It excludes these...

Early Stage (Business) – Explained

by TheBusinessProfessor | Feb 23, 2025 | Strategy, Entrepreneurship, & Innovation

What is an Early Stage Business?Early-stage is a term used to characterize a startup business venture. It generally concerns the phase of startup development generally preceding the rapid growth phase. The early stage is characterized by activities such as research...

Early Exit (Startup) – Explained

by TheBusinessProfessor | Feb 23, 2025 | Strategy, Entrepreneurship, & Innovation

What is an Early Exit?An early exit simply means for owners of a startup entity to leave the business by selling their ownership. It is early, because the exit takes place before the owners intended. It is generally a strategic decision based upon the startups...

Economies of Scale – Explained

by TheBusinessProfessor | Feb 23, 2025 | Economic Analysis & Monetary Policy

What are Economies of Scale?Economies of scale is an economic term, also known as diminishing marginal cost, that implies that the cost per unit of production decreases as the firm enlarges its production. Economics of scale usually occurs when the firm expands its...

Economic Profit – Explained

by TheBusinessProfessor | Feb 23, 2025 | Economic Analysis & Monetary Policy

What is Economic Profit?Economic Profit is defined as the difference between total revenue and total cost of inputs. Revenue is the amount derived from the sale of goods or the delivery services. The total costs of inputs include all expenses and all profits forgone...

Expatriation Tax – Explained

by TheBusinessProfessor | Feb 23, 2025 | Business Taxation

What is an Expatriation Tax?An expatriation tax is a rate of tax or fee that is charged on the property or estate of citizens who has renounced citizenship. This tax is enacted and charged on property located in the United States. The expatriation tax is laid down...

Advantages and Disadvantage of VC Funding – Explained

by TheBusinessProfessor | Feb 23, 2025 | Strategy, Entrepreneurship, & Innovation

What are the Advantages and Disadvantages of Seeking Venture Capital?There are many advantages and disadvantages to pursuing venture capital investment. The disadvantages are such that, if possible, most entrepreneurs prefer to grow organically. That is, they prefer...

Risk and Risk Perception in Negotiations – Explained

by TheBusinessProfessor | Feb 23, 2025 | Business Communications & Negotiation

What does risk perception affect a negotiation?Risk is the probability of an undesirable outcome. Rarely is a negotiation outcome certain. Conceding value related to one interest in hopes of claiming greater value related to a separate interest entails an inherent...

Strategic Objectives in a Negotiation – Explained

by TheBusinessProfessor | Feb 23, 2025 | Business Communications & Negotiation

What is a strategic objective in a negotiation?Effective strategic planning will incorporate an orientation and method for achieving a particular outcome or objective. Notably, the motivation to negotiate and the sources of power in a negotiation relate closely to the...