business investment

Company capital allocation

Business investment is capital that companies spend on assets expected to generate future returns—equipment, facilities, technology, or expansion.

Economists track business investment as an indicator of economic confidence: Business investment rose 3% last quarter.

Distinguished from consumer spending and government expenditure, it reflects private-sector commitment to growth.

Opposites
purpose of capital allocation

business investmentconsumer spending

Household purchasing of goods

operating expenses · business expenses · overhead costs · liquidation

sphere of financial activity

business investmentpersonal savings

Individually accumulated wealth

personal finance · consumer savings · retirement savings · household budget · home ownership

capital movement direction

business investmentdivestment

Disposal of assets

disinvestment · liquidation · capital flight · asset stripping · downsizing

Family

business, investment

Familiarity
Top 200,000
Profile
Used worldwide · Timeless · Abstract · Everyday, not technical · Rated G