Harvard Business Review

JANUARY 15, 2014

In this case, accountability is not for correct ex-ante prediction, but for fast learning and contingent execution. Fundamentally, these are two different ways of doing business — processes that excel in one context fail miserably in the other — so the crux is trying to identify when prediction is possible.

Black-Scholes 9

Black-Scholes Products Productivity CAPM 9

Harvard Business Review

DECEMBER 22, 2016

The EFV represents a hypothetical “before the fact” calculation of what a CEO might eventually gain upon cashing in the stock options and stock awards that make up the overwhelming majority of most top executives’ pay.

CEO 8

CEO Black-Scholes Price Merton 8

Harvard Business Review

SEPTEMBER 29, 2014

Although many business executives sat through one, or perhaps several, courses in economics while in school, most probably took away little more than the supply and demand graphs to which they were introduced early in their first course. Admittedly, better pricing of options has been a mixed blessing.

Strategy 15

Strategy Black-Scholes Airlines Price 15