Capitalistic Renaissance     18: The big picture

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Let’s be absolutely clear of the simplicity and immediacy of implementing Product Equity Value© in the U.S. and globally.

The new public companies using Product Equity Value© are responding to an allocation of ownership change written into their by-laws where the customers are the new venture partners of every new public company.

Basically these new public companies are not bringing new products and services to the market place; they may bring new products and services to market and some will. New Businesses are buying from existing businesses. This is the reason for the B2B (business 2 business) and the VP (Venture Partners) in the first of several solution structures at b2bvp.com†.

From an accounting point of view the old public companies are constrained from using Product Equity Value® by the concern of the dissolution of the ownership percentages of existing shareholders when giving free customers stock options to gain guaranteed customers.

What is clear is that 364 new pubic companies at b2bvp.com† are buying products and services from old and non public companies with underutilized capacities. The less than 100% capacity is caused by existing companies not including the customers for the guaranteed of their sales. Therefore the speed of implementation of PEV is that the new public companies are not manufacturing and holding costly inventories.

In three simple and automatic steps the customers-partners are providing seven cents of start up cash, average purchase cash, and reaping the immediate increases in the share prices.

On average we can say that a $.07 investment + a $33 purchase price = $318.10 in PEV on the same day. The new public companies win, the older public companies win, and most important the customers win!

A consumer spending $12,000 with 364 new public companies will have instant equity value of $36,000, $60,000, $132,000, $240,000 or over $480,000. The consumer gets this value just for shopping at these new public companies that share the value created by the consumers with the consumers.

The management objective of these 364 new public companies is to optimize the earnings rate B with 14 million predictable sales to increase the stock price X. Some of these 364 new public companies will obtain share prices that are only 3 times the cash purchases. Other new public companies will achieve share prices that are 40 times the cash purchases by the consumer.

Product Equity Value© and “free customer stock options” give 14 million consumers, indeed 3.2 billion global citizens, the self-interested reason to learn about how value is created and to obtain the two values of utility and PEV© for their cash purchases.

The Capitalistic Renaissance calls for the increase in global public companies from 66,400 to 340,600 with 4,004 new public companies in the U.S.  46% owned by 154 million American labor units will cause the U.S. GDP to exceed $53 trillion!

Paul Douglas Katchings

2010 Copyright. All Rights Reserved.
March 19, 2010.

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