Adapting to Endure – Sequoia Capital [pdf] • Hacker News Board

Re: Adapting to Endure – Sequoia Capital [pdf]

#81

Post by throwawaylinux » Wed, Jun 01, 2022, 12:01 AM UTC

bcassedy wrote: post #80

throwawaylinux wrote: post #77

Earlier quoted context omitted.

Sorry, "greed" simply doesn't explain anything. It's intellectually lazy. So is "you can find quotes...". Unless you actually have some evidence or reasoning that "greed" has increased somehow. This has nothing to do with profit increasing faster than inflation which I'm not saying is false, mind you. Again, if you had a shred of evidence or logic to say prior to 2021 that corporations did not and would choose not to…

We're talking economics, there is very little evidence in general. The entire field is essentially observations and storytelling. The evidence is profits increasing faster than inflation and examples of C-suites saying straight up that this environment is letting them raise prices. The story is that when inflation is low, consumers are more intolerant of price hikes. They'll shop around and try out your competitors.…

There is good evidence that it's not greed though, because people didn't suddenly start to become greedy, and nobody _needs_ any "cover" to raise prices, prices get raised all the time based on profit maximization.

Re: Adapting to Endure – Sequoia Capital [pdf]

#82

Post by bcassedy » Thu, Jun 02, 2022, 8:40 AM UTC

throwawaylinux wrote: post #81

bcassedy wrote: post #80

Earlier quoted context omitted.

We're talking economics, there is very little evidence in general. The entire field is essentially observations and storytelling. The evidence is profits increasing faster than inflation and examples of C-suites saying straight up that this environment is letting them raise prices. The story is that when inflation is low, consumers are more intolerant of price hikes. They'll shop around and try out your competitors.…

There is good evidence that it's not greed though, because people didn't suddenly start to become greedy, and nobody _needs_ any "cover" to raise prices, prices get raised all the time based on profit maximization.

Of course people are always greedy. The "cover" provided by an inflationary environment just boils down to people are less price elastic when the environment primes them to expect price hikes so those that want to raise prices for greed (profit maximization) can do so to a greater degree than they could in other market conditions. I don't know why you're being so dense, it's really straightforward psychology and there's a fair bit of data to support this.

Re: Adapting to Endure – Sequoia Capital [pdf]

#83

Post by Apofis » Thu, Jun 09, 2022, 3:10 AM UTC

Sylveste wrote: post #68

Apofis wrote: post #52

Earlier quoted context omitted.

Me thinks you're overstating it because you don't understand how VC's function. Venture Capitalists borrow money from Investment Bankers based on percentages. The market has lost all of its gains during the pandemic, that trend is still bearish. The risk percentages were adjusted, and now there's less money to go around. It's seriously basic math.

>The market has lost all of its gains during the pandemic No it hasn't. Not even close.

I'm assuming you don't really follow the news or the market due to your response.

Here:

- https://www.cnbc.com/2022/05/10/amazon-stock-has-lost-nearly...

- https://www.marketwatch.com/investing/index/ndxt?countrycode...