Cash flow –Masterpiece on Economics: A lesson for fresh entrepreneurs

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One day a tourist comes to the only hotel in a debt ridden town in Kenya. He lays a 100 dollar note on the table & goes to inspect the rooms.

 Hotel owner takes the note & rushes to pay his debt to the butcher.

 Butcher runs to pay the pig farmer.

 Pig farmer runs to pay the feed supplier.

 Supplier runs to pay the prostitute, who in these hard times gave her services on credit.

 Prostitute then runs to pay off her debt to the hotel owner for the rooms she rented for her clients.

 Hotel owner then lays the 100 dollar note back on the counter.

 The tourist comes down, takes his money & leaves as he did not like the rooms.

 No one earned anything. But that group of people is now without debt & looks to the future with a lot of optimism.

And that is how the world is doing business today!


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About Suvendu Narayan Roy 36 Articles
Author and Faculty member of Finance Analyst -Financial and Political Reputed Article writer Director - Knowgen Educational Services Pvt.. Ltd Co-editor JCBR, a cross functional business research journal