Remove Efficiency Remove Fixed Costs Remove Innovation Remove Marketing
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The More Climate Skeptics There Are, the Fewer Climate Entrepreneurs

Harvard Business Review

But how does the presence of climate skeptics affect the market for climate-related innovation? A drug company must incur a large fixed cost to do the basic research, so it has strong incentives to predict what the demand for the drug will be if its research succeeds. Suppose that there was only one bald man in the world.

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We Can’t Study Short-Termism Without the Right Metrics

Harvard Business Review

However, firms can efficiently increase margin growth without much revenue growth by managing to squeeze out their fixed costs to service the same level of output. So this measure may mislabel efficient companies as myopic. In essence, the measure labels firms with large share repurchase programs as myopic.

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Bringing the Power of Platforms to Health Care

Harvard Business Review

Innovating for Value in Health Care. Exploring cutting edge ways to lower costs and improve quality. In healthcare, the need for administrative automation is viscerally felt – and the potential for alleviating burden and draining cost from the system is significant. Insight Center. Sponsored by Medtronic.

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Is Rooftop Solar Finally Good Enough to Disrupt the Grid?

Harvard Business Review

Over the past two decades, there have been many attempts to reform the electric utility market. Consider how Uber opened up the transportation market. In both cases, the two goods (car and real estate) are given value-creating potential through a process of market fragmentation and consumer empowerment.

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The Get-Big-Quick Fallacy

Harvard Business Review

When through our venture investment arm we seek to evaluate the profitability prospects of a young business, we look to see whether its team can credibly answer two questions: How will you charge enough for a transaction to cover the costs related to producing and delivering a good? There are times when a company chooses to be unprofitable.

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Will Personalized Medicine Mean Higher Costs for Consumers?

Harvard Business Review

Consequently, if we want new medical innovations to be financially viable for the patients who need it most, health insurance markets need to be regulated to eliminate the perverse financial incentives that limit patients’ coverage. Insurance markets are failing to deliver. First, a little background.

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How the U.S. Can Reduce Waste in Health Care Spending by $1 Trillion

Harvard Business Review

Even if the United States implemented all the approaches whose effectiveness has been measured, only 40% of the estimated $1 trillion of wasteful spending would be addressed, leaving a significant opportunity for innovation in all areas of health care. Measuring Costs and Outcomes in Healthcare. Insight Center. Sponsored by Medtronic.