Are You Investing Enough In Research?
Jeff Bezos, CEO of Amazon, spent nearly $23 billion on Research & Development in 2017.
Amazon started out as a low-margin online bookseller. Fast forward to 2018, and it made a profit of $11.2 billion. What's more, it managed to became the world's most valuable public company.
It's mainly Amazon’s approach to investment in new ideas that has put the firm in this leading position.
But it's not just the huge corporation that puts a huge focus on research.
We caught up with Hugo Renaudin, CEO of LGO Markets, a premium cryptocurrency exchange designed for institutional investors, who told us that despite being a new company (launched this year), it has invested $7 million so far on research.
Hugo said: "We are a financial business - but 50% of our head count is in the tech team. We’re a tech company, it’s how we can change the way of financial services. It should be transparent.
"We guarantee this transparency by using blockchain technology. We did a lot of research and found out about how people trade - using blockchain.
"You have to think about how to apply new technology to something that has been the same for decades. It takes a lot of effort. But research is crucial for our business."