The Investors concern about returns over a limited horizon is a pervasive feature of all business management decision making.
This is a core concept when the business invests to produce some value. When this investment takes place in the presence of uncertainty, the expected return from that investment is uncertain as well. When there are multiple choices to be made with regards to multiple investments and multiple returns, the decision making process falls into the realm of MicroEconomics and decision making, Real Options Theory, and Managerial Finance.
Applying these principles when spending other peoples money is the basis of good management. This does npt prevent things from going wrong. Nothing will prevent things from going wrong. But when managing in the presence of uncertainty, willfully ignoring the principles of Microeconomics and Managerial Finance, will certainty set you on the path to disappointment in the outcomes when the time and money run out.
