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George Has Come Up with a New Computer Program to Help

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George has come up with a new computer program to help sellers manage online auctions at sites such as eBay.It is more efficient than just using a spreadsheet to track auctions.He would like his program to become the dominant design,but he also wants to earn a profit from all his hard work.What can George do to most effectively meet both these objectives?


Definitions:

Dividend Growth Model

A valuation method used to estimate the price of a company's stock by assuming that dividends grow at a constant rate in perpetuity.

Rate of Growth

The percentage increase in the size or value of something over a specific period.

Risk-free Rate

The theoretical rate of return on an investment with zero risk, typically represented by the yield on government bonds.

Flotation Costs

The expenses incurred by a company in issuing new securities, including underwriting, legal, registration, and printing fees.

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