Harvard Business Review

AUGUST 11, 2011

When stock markets gyrate and growth prospects darken, it's tempting to rein in innovation programs and hoard cash. Management has made promises to senior executives about what a project will achieve, and fixed costs have built up because they looked prudent in comparison to planned revenues.

Innovation 15

Innovation Fixed Costs Airlines Business Model 15

Harvard Business Review

FEBRUARY 6, 2018

Consider its decision to pursue the market for pharmaceutical distribution, or the recent announcement that it will be teaming up with Berkshire Hathaway and JP Morgan Chase to create joint solutions for reducing the health care spending of more than 1 million employees and their families. .” So where is the link to health care?

Health Care 11

Health Care Retail Operations Insurance 11

Harvard Business Review

MARCH 28, 2014

Disruption is an explanation of how small nimble companies unseat industry giants – but it is simultaneously a story of market expansion and the provision of ever cheaper and more accessible goods and services. Virtual reality is not a disruption to the computing market, instead it stands poised to disrupt content consumption.

Disruptive Innovation 8

Disruptive Innovation Automotive Software Fixed Costs 8

Harvard Business Review

JULY 27, 2017

This meant that the company was leaving out huge innovation potential — thousands of startups with billions of funding — that could help BMW innovate anything from core vehicle technology (batteries, sensors, artificial intelligence software) to manufacturing innovations (internet of things, cybersecurity, robotics).

Venture Capitalist 8

Venture Capitalist Meyer Innovation Fixed Costs 8

Harvard Business Review

MAY 21, 2015

Over the past two decades, there have been many attempts to reform the electric utility market. But recent technological advances and new business models are now allowing nimble players to compete and provide consumers with cost-saving alternatives. Consider how Uber opened up the transportation market.

Energy 8

Energy Transportation Software Price 8

Harvard Business Review

MAY 19, 2015

The technology’s flexibility introduces synergies where none existed before. The company has invested heavily in 3D printing technologies that are flexible enough to produce a variety of products. Because the technology is still developing, they would need not only capital but also a good deal of technical expertise.

Engineering 8

Engineering Learning Curve Fixed Costs Finance 8

Harvard Business Review

MARCH 1, 2018

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. Insight Center.

Cost 8

Cost Insurance Incentives Policies 8

Harvard Business Review

AUGUST 8, 2014

So to cover his monthly fixed costs of student loan payments (on more than $100k in debt), rent, and health care he was driving for Uber. My driver’s job existed because a small group of venture-backed entrepreneurs created a technology platform that matched up cars and drivers with people who were willing to pay for a ride.

Long-term 10

Long-term Fixed Costs Short-term Technology 10

Harvard Business Review

DECEMBER 1, 2017

You have to consider salaries, marketing budget, office size, technology services, and on and on. Too often, assumptions about the potential market and its clients can cloud our judgement about expenses. Think about whether you are providing what they need in terms of technology, benefits, and a comfortable environment.

Strategy 9

Strategy Budgeting Cost Price 9

Harvard Business Review

OCTOBER 5, 2017

One answer to that first question shows up in study after study: superstar firms are succeeding in large part due to information technology. It could be because “software development typically requires large upfront fixed costs,” meaning that firms that are already pretty large are the ones who can afford to invest in it.

Document 8

Document Industry Software Fixed Costs 8

Harvard Business Review

JULY 22, 2011

To appreciate the truth of this claim, it's vital to understand one of Clayton Christensen's theories on marketing and product development: Jobs-to-be-done. It was in your home, had no shelf space limiting its inventory, and could beat Tower on price because of its lower fixed costs.

Christensen 16

Christensen Disruptive Innovation Price Business Model 16

Harvard Business Review

MAY 28, 2018

He asked one former major investor for a reaction to the company’s prediction (accompanying poor quarterly results): “that the [current] market contraction will bottom out soon and our profits will improve.” I assumed you had some further cost reduction up your sleeve.” What he heard was uncomfortable.

Company 9

Company ROIC CFO ROE 9

Harvard Business Review

APRIL 6, 2016

For instance, the cost of building and equipping a leading-edge semiconductor fab has climbed to $7 billion, as the technology required to make more advanced chips is getting more complex. In many industries, the capital required to build an asset of minimum efficient scale is growing.

Co-Opetition 8

Co-Opetition Operations Cost Cooper 8

Harvard Business Review

APRIL 5, 2017

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. What if concentrated market power of a few companies in an industry has made these companies more profitable than usual? Are all share repurchases myopic?

EPS 9

EPS Metrics Depreciation Short-term 9

Harvard Business Review

DECEMBER 25, 2013

Companies are investing millions of dollars in business intelligence technology. Similarly, business intelligence must be viewed against the backdrop of a clear vision, goals, and strategy, and used as a means to getting there, rather than viewed in isolation or as a technology initiative. Information & technology'

Business Intelligence 8

Business Intelligence Information Technology Uncertainty Fixed Costs 8

Harvard Business Review

NOVEMBER 18, 2013

For instance, larger scale has enabled many hospital systems to lower their per-patient operating costs significantly. However, reform and other market changes are altering the scale equation for hospital systems, so some of the traditional advantages that larger scale has traditionally brought them may no longer apply.

Health Care 8

Health Care System Cost Price 8

Harvard Business Review

NOVEMBER 10, 2016

By tapping into that excess capacity and making it available on a network they generated new market demand, which led to UberX and a thriving community of 160,000 drivers conducting one million rides a day. On any given day in America, 40% of hospital beds lie empty, their enormous fixed costs weighing heavily on the system.

Health Care 9

Health Care Power Hotels Transportation 9

Harvard Business Review

OCTOBER 13, 2015

These include the widespread adoption of health plans like Silver plans on state exchanges that require subscribers to share at least 30% of the costs up to a specified limit and the introduction of technology to allow consumers to make informed decisions such as Castlight Health’s price-transparency tools. Insight Center.

Health Care 8

Health Care Insurance Price Cost 8

Harvard Business Review

NOVEMBER 29, 2013

A fascinating business dynamic will unfold as health care providers in the United States shift from a reimbursement system that has historically paid for procedures performed to one that rewards population health — providing the total care of a community at a fixed cost and improving its members overall health.

Health Care 8

Health Care Committee Cost Operations 8

The Horizons Tracker

MARCH 23, 2023

” The Matthew Effect Indeed, far from technology being found to disrupt incumbent operators, the data suggests that investments in digital technology are largely ensuring that dominant incumbents can entrench their strong market position and fight off any upstarts.

Creativity 124

Creativity Innovation Trends Decentralization 124

Harvard Business Review

AUGUST 31, 2018

Is digital technology a democratizing force, allowing smaller, newer companies to compete against giant ones? has slowed , and that in most industries the biggest firms have higher market share than they did a decade ago. has slowed , and that in most industries the biggest firms have higher market share than they did a decade ago.

Technology 10

Technology Agility Fixed Costs Software 10

Harvard Business Review

MARCH 21, 2013

The economic theory is that when different markets have different price sensitivities, producers must adjust their prices to optimize profits. for an energy bar at the airport, which would have cost about $2.00 That's because price discrimination only works when markets can be kept separate. For example, I just paid $3.00

Price 16

Price Open-book Retail Content 16

Harvard Business Review

MARCH 21, 2013

The economic theory is that when different markets have different price sensitivities, producers must adjust their prices to optimize profits. for an energy bar at the airport, which would have cost about $2.00 That's because price discrimination only works when markets can be kept separate. For example, I just paid $3.00

Price 9

Price Open-book Retail Content 9

Harvard Business Review

JANUARY 5, 2017

Political campaigns are marketing campaigns, messages aimed at selling a product. Media companies are experiencing an extreme form of competition that comes with digital technologies: Everyone is a media company today. Yet by 2004 its market share was down to 3%. Bigger marketing budgets may not pay off.

Media 12

Media Advertising Fixed Costs Content 12