The Future of Capital: Smart Capital
Digital technology breakthrough at breakneck speed over the last decade had produced significant innovations and plenty of disruptions across almost all industries. We have seen such transformational experiences such as in large-scale automation in manufacturing processes, logistics, digital transformation in consumer retails, machine learning, transportation and AI to name a few. This is one of the Megatrends in the 21st century which will change how societies and consumers behave with impacts on both businesses and the government.
In the word of BlackRock, identifying the potential for change is a key driver of investment decision-making. Thus, we had seen plenty of funds being set aside both from the public and private sectors, to capture innovative ideas and to invest in them in hope of higher returns in the future.
In such saturated ‘capital supply’ market, how does an Innovative Idea or Start-up distinguish one from another. The answer might be lying with the ‘Smart Capital’ concept. Quite unheard of before, this concept was relatively new in that, a Venture Capital (VC) does not only provide the (seed) funds and business guidance, but also along with technical know-how and expertise on how to ‘transform’ the idea into a long term viable business. These technical know-how and knowledge could range from the VC’s proprietary products (self-developed digital technology/products/ tools) such as digital payment and solutions to the VC’s in-house engineering teams (services) deployed to enhance your business processes (and profits) by utilising either customised in-house products or newly created automation tools and others.
Pioneering Start-ups such as Go-Jek and Grab had even ventured out to become VC of their own ironically being a start-up themselves in their earlier days, and it is such firms with their own in-house products and services and their war chest which could well define what ‘Smart Capital’ is. It is such firms and ventures who could help other promising ideas to quickly scale up and possibly help to ‘transform’ businesses and societies by either making it more efficiently run through ‘improved processes’ or ‘disrupting’ current existing businesses though digital technology.
Going forward, more start-ups and innovative ideas would have to carefully select which VC to go with, and not just any VC or investors with huge funding or capital backings. Even for investors or venture capitals, disruptions are coming your way.
https://straitsjournal.com/the-future-of-capital-smart-capital/Digital TechnologyGlobalLatest ThinkingThe Futurecapital,disruption,future,smart,technologyDigital technology breakthrough at breakneck speed over the last decade had produced significant innovations and plenty of disruptions across almost all industries. We have seen such transformational experiences such as in large-scale automation in manufacturing processes, logistics, digital transformation in consumer retails, machine learning, transportation and AI to name...escveritas [email protected]AdministratorThe Straits Journal
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