An investor who invests prior to, during and following a company's initial public offering. This investment strategy aims to increase returns by investing in a good company at numerous stages of its business life cycle. Crossover investing strategies are popular within the technology industry.
A project-management technique that lays out all the activities needed to complete a task, the time it will take to complete each activity and the relationships between the activities. Also called the "critical path method", critical path analysis can help predict whether a project can be completed on time and can be used to reorganize the project both before starting it, and as it progresses, to keep the project's completion on track and ensure that deliverables are ready on time. Either manually or using computer software, the project manager first lists each activity, the order it must be completed in and how long it is expected to take, and then diagrams the process. The critical path refers to the way the diagram shows those activities that must be completed, and complete in a specific order, so that the project can be completed successfully and on time. A series of lines and circles visually depict the critical path. Each circle represents an activity that needs to be completed and each line shows the relationship between two activities. The critical path will be the longest path through the diagram, and will show how long a project is expected to take if the scope does not change and everything goes according to plan.
A type of an industry that is sensitive to the business cycle, such that revenues are generally higher in periods of economic prosperity and expansion, and lower in periods of economic downturn and contraction.Companies in cyclical industries can deal with this type of volatility by implementing cuts to compensations and layoffs during bad times, and paying bonuses and hiring en masse in good times. Cyclical industries include those that produce durable goods such as raw materials and heavy equipment. For example, the airline industry is a fairly cyclical industry; in good economic times, people have more disposable income and, therefore, they are more willing to take vacations and make use of air travel.Conversely, during bad economic times, people are much more cautious about spending. As a result, they tend to take more conservative vacations closer to home (if they go at all) and avoid expensive air travel.
An expression used in online retailing to describe the Monday following U.S. Thanksgiving weekend. Cyber Monday is generally thought of as the start of the online holiday shopping season. Similar to Black Friday, (the unofficial start of the holiday season for offline businesses), online retailers will usually offer special promotions on this day. Also known as "Black Monday". There are a couple of theories as to why online sales increase on Cyber Monday, although some debate whether all retailers experience the same trend. One theory suggests that people see items in the shopping malls over the weekend and wait until Monday to buy them online, where they can compare prices, avoid lines and/or take advantage of free shipping or other offers. Another theory states that people have faster internet connections at work and, therefore, wait until then to make online purchases.
The point at which an investor decides whether or not a particular security is worth purchasing. The cutoff point is very subjective and will be based on the personal characteristics of the individual investor. Some examples of personal characteristics that may determine the cutoff point include the investor's required rate of return and his or her risk aversion level. Because cutoff points are largely subjective, they will vary widely among investors. For example, if an investor has a lower required rate of return, he or she will likely pay more for the same security than a person with a higher required rate of return. This translates into a higher cutoff point for the first investor.A cutoff point may also be considered a good "rule of thumb" when considering particular securities, as it may help the investor make more consistent investment decisions.
A type of business model that facilitates interaction between customers. Customer to customer businesses provide individuals with a place to converse, exchange and interact with other people.Also sometimes referred to as "C2C". Many C2C businesses have online operations. online auctions and classifieds such as Ebay and Craig's List are examples of very successful customer to customer business models. These sites don't look to directly sell goods to their members, instead the customers are exchanging with other customers.
Trading that occurs outside of general market regulations. Curb trading commonly occurs through computers or telephones after the official exchanges have closed. Also known as "kerb trading". In the past, stocks that were considered unfit to trade on the New York stock Exchange were bought and sold on the street curb. This led to the formation of the American Stock Exchange, so curb trading now commonly refers to any trades outside of exchange regulations.
A feeling of uncertainty, confusion or anxiety that people experience when visiting, doing business in or living in a society that is different from their own. Culture shock can arise from a person's unfamiliarity with local customs, language and acceptable behavior, since norms can vary significantly across cultures. The feeling of culture shock can dissipate over time. Visitors to a new country, for example, will at first be unfamiliar with the nuances of local culture, but will learn how to adapt as interactions with people continue. Culture shock can be daunting for those who do business abroad due to the added pressure of maintaining or developing a profitable business relationship. Many international companies provide cultural training to help reduce cultural gaffes by employees, which can affect business.