Remove Development Remove Net Present Value Remove Technology
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Why Some Digital Companies Should Delay Profitability for as Long as They Can

Harvard Business Review

In the world of technology: the more of something you make, the more valuable it can become. For years, AWS has invested in driving developer and company adoption of its platform by driving down prices and introducing low cost features to make developer’s lives easier. The Refresher: Net Present Value.

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How to Choose the Ideas Your Company Should Invest In

Harvard Business Review

Can we get to the market without any technological miracles? Note what isn't part of the decision: an idea's net present value or return on investment. Consider some combination of the following criteria: Does what we hope to do fit our strategy? (If If you don't have an innovation strategy , go and create one.).

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What Xerox PARC Learned About Executing on Open Innovation

Harvard Business Review

Companies knew how to engage a design firm, license IP, and form joint ventures, but few knew how to truly co-develop innovations with external partners, such as PARC. At that time it was hard for PARC to understand how much we needed to invest in a new technology before approaching partners to work together in commercialization.

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Why We Need to Update Financial Reporting for the Digital Era

Harvard Business Review

In our recent HBR article , we argued that financial statements fail to capture the value created by modern digital companies. Since then, we interviewed several chief financial officers (CFOs) of leading technology companies and senior analysts of investment banks who follow technology companies.

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An Unexpected Lesson from Mandela: Why Context Matters

Harvard Business Review

This would be a breakthrough communication technology, with the power of connecting an excluded and fragmented continent with itself, with the world, and to this newly emerging phenomenon — that none of us quite understood at the time — called the Internet. I told them my story. They agreed that the Mandela proposal was nonsense.

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Shape Strategy With Simple Rules, Not Complex Frameworks

Harvard Business Review

Next, ALL's CEO assembled a cross-functional team to develop simple rules for prioritizing capital spending. To prioritize projects, for instance, the ALL team could have forecast future cash flows for every potential investment and ranked all proposals on the basis of their net present value. reuse existing resources.