Delian Asparouhov’s Lessons From Keith Rabois
Village Global Podcast
00:00
What Are the Differentiating Terms of the Payback Period?
Keith: Some people will just be focused on basically you know high level growth plus some level of positive contribution margin or even sometimes even negative contribution margin with the hope that it eventually goes positive. He says there are times where you should be willing to take on negative contribution margin businesses when there's a very clear and strong like you know network effect that will eventually allow you to get to positive. Keith: Even if like bird ends up making a really great scooter everybody else will buy the same one and it'll all just lower their prices and they'll all end up erasing their margin anyways.
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