Harvard Business Review

MARCH 10, 2011

When executives evaluate a potential investment, whether it's to build a new plant, enter a new market, or acquire a company, they weigh its cost against the future cash flows they expect will spring from it. It's the opening paragraph of a Harvard Business Review article called "What's Your Real Cost of Capital?"

CAPM 15

CAPM Cost Discounted Cash Flow Cost of Capital 15

Harvard Business Review

NOVEMBER 4, 2014

The key argument for fossil fuel divestment is that the cost of carbon dioxide emissions and other pollutants are not being accurately priced by the market. For many companies, most of the capital expenditures are financed from internal cash flows and bank financing. Finance Sustainability'

Finance 8

Finance Cost of Capital Constraint Price 8

Harvard Business Review

NOVEMBER 4, 2014

The key argument for fossil fuel divestment is that the cost of carbon dioxide emissions and other pollutants are not being accurately priced by the market. For many companies, most of the capital expenditures are financed from internal cash flows and bank financing. Finance Sustainability'

Finance 8

Finance Cost of Capital Constraint Price 8

Harvard Business Review

APRIL 16, 2015

” A quarter century later, not much seems to have changed: fewer than five out of the 100 CEOs on HBR’s 2014 list of best-performing CEOs even mention “return on capital” on their official biography — and none of those five lead companies listed in the Dow Jones Industrial Average (DJIA) or in the EuroStoxx50.

CEO 8

CEO ROIC Cost of Capital Merton 8

Harvard Business Review

APRIL 26, 2017

The marketing, underwriting, and servicing of SME loans have largely taken a backseat. New digital entrants have spotted the market opportunity created by these dynamics, and the result is an explosion in online lending to SMEs from fintech startups. Banks’ cost of capital is typically 50 basis points or less.

Banking 12

Banking Stage-Gate Credit Scoring Competitive Advantage 12

Harvard Business Review

NOVEMBER 25, 2013

Marketing is in the midst of an ROI revolution. The arrival of advanced analytics and plentiful data have allowed marketers to demonstrate return on investment with a degree of precision that’s never been possible before. To date, however, the reality of marketing analytics has fallen short of the promise.

CFO 8

CFO Short-term Long-term Benchmarking 8

Harvard Business Review

NOVEMBER 7, 2012

Alfred Rappaport's article, " Stock Market Signals to Managers ," in the November-December 1987 issue of the Harvard Business Review, provides managers with a clear method for understanding how price reflects the market's expectations about the company's future financial performance. But very few executives or investors do.

Price 8

Price Analysis Cost of Capital Disruptive Innovation 8

Harvard Business Review

JUNE 18, 2015

We also know that private equity funds have outperformed public equity markets over the last three decades , even after the fees they charge are accounted for. In particular, we are interested in how many of their responses correlate with what academic finance knows and what it teaches.

CAPM 8

CAPM Discounted Cash Flow Company Rate of Return 8

Harvard Business Review

DECEMBER 13, 2017

This has been a remarkable year for the markets. Investors punish companies with a short-term orientation by applying higher discount rates to them, which increases the cost of capital for those companies. CEOs from rival firms); conversely not all inside CEOs have it (CEOs promoted from finance). MirageC/Getty Images.

Short-term 8

Short-term Decentralization Company Trends 8

Harvard Business Review

OCTOBER 25, 2018

To analyze the superstar dynamics of firms, our metric was economic profit, a measure of a firm’s profit above and beyond opportunity cost. (To To do this, we take the firm’s returns, deduct the cost of capital, and multiply by the firm’s total invested capital.)

Industry 13

Industry Company GDP Bottom-up 13

Harvard Business Review

FEBRUARY 2, 2012

An example was a discussion session of tired-looking European finance ministers, defensive and elusive about the speed of acting on the Euro crisis. I heard it in a session led by Professor Michael Porter and Dean Nitin Nohria of the Harvard Business School who were sharing a research project on declining American Competitiveness.

Competitive Advantage 15

Competitive Advantage Porter Goleman Emotional Intelligence 15

Harvard Business Review

OCTOBER 10, 2017

One reason for the paltry performance is that while other business areas, like sales or finance, are considered to be core functions, innovation is often considered to be something that’s “nice to have” rather than essential. Typically when firms are evaluating investments they look for large addressable markets.

Innovation 8

Innovation P&L ROI Long-term 8

Harvard Business Review

APRIL 2, 2014

He got his PhD at Yale under Shiller’s supervision in 1984, but since then he has also done a lot of work expanding on Fama’s ideas about risk and return, some of it co-authored with Fama’s son-in-law and University of Chicago finance colleague, John Cochrane. When the Riksbank Prizes in Economic Sciences (a.k.a. It goes back to the 1970s.

CAPM 8

CAPM Discount Price Finance 8

Harvard Business Review

MAY 4, 2012

Investors reward companies (such as Apple and Kimberly-Clark ) whose current performance or guidance for the future exceeds market expectations, and they punish companies (as they did Starbucks and Procter & Gamble ) whose performance or guidance fails to meet expectations. FD) constraints.

CFO 13

CFO Metrics Price Depreciation 13

Harvard Business Review

FEBRUARY 7, 2017

Among the firms we identified as focused on the long term, average revenue and earnings growth were 47% and 36% higher, respectively, by 2014, and market capitalization grew faster as well. public market capitalization over this period. In this case its capital charge is $800 times 8%, or $64.

Long-term 8

Long-term EPS Short-term Management 8

Harvard Business Review

OCTOBER 11, 2013

Competitive products came on the market, but none were as popular as the Express. Terranola’s market cap skyrocketed to $8.1 It seemed that many market players, notably Jeremiah Hughes, thought the Terranola story was too good to be true. Just then the chief marketing officer, Janet Washington, came in. Doom and Gloom.

Case Study 8

Case Study Hedge CFO PR 8

Harvard Business Review

MARCH 1, 2017

After all, how do you cut cost from a business or market whose structure has fundamentally changed? By reducing transaction costs among all participants in the economy, blockchain supports models of peer-to-peer mass collaboration that could make many of our existing organizational forms redundant.

Finance 8

Finance IPO Banking Venture Capitalist 8