What are externalized benefits?

Externalized benefits are the benefits that will result from a financial transaction or a business decision. However, these benefits do not directly invent any of the parties involved in the transaction; Rather, they benefit a third party or the world in general. A classic example of an externalized advantage can be found in the business of beekeeping, where beekeeping bees help pollinate plants and trees, making it good for the surrounding community. Many people divide externalities into harsh categories of negative externalities and positive externalities. Negative externalities are things that damage people outside the transaction, with industrial pollution to a well -known example of negative externality. Positive externalities, also known as externalized benefits, are externalities that are considered to be posituitive or good.

Since externalized benefits have a positive effect, some companies actually work to create externalized benefits to be considered more socially responsible, especially when consumers began to demandwith more environmentally friendly trading models at the end of the 20th century. Usually, however, externalized benefits are simply an event that could not be predicted.

mental ownership, such as inventions, often comes with externalized benefits, because people explore the invention and rebuild it or come with clarification. Sometimes people who have not been involved in the original process can sometimes be discovered by completely new inventions and many companies actually invest a large amount of energy and money in attempting to use such externalized benefits.

in another form of externalized benefits known as the externality of the network, so the Malidé in NY accepts a new technology that will become widely admitted, leading to extensive advantages for technology users and others. For example, when early fax machines were introduced, they were expensive and cumbersome to use, but as moreAnd more consumers bought, the fax network has expanded and companies responded by developing better technologies at lower costs, which provided technology to all.

Interesting interest in externalities has led to widespread attempts to monitor and measure positive and negative externalities in considering the company's overall contribution to the market and the world. For example, companies that cause a large number of negative externalities can be considered harmful to society, while companies that create externalized benefits are considered generally positive additions to society.