Harvard Business Review

AUGUST 27, 2015

Companies in the top one-fifth of profitability earn, in aggregate, about 70 times more economic profit (accounting profit less cost of capital) than those in the middle three-fifths combined, according to McKinsey’s database of 3,000 large, publicly listed, nonfinancial U.S. Consider what’s happening among corporations.

ROIC 8

ROIC McKinsey GDP Company 8

Harvard Business Review

JUNE 27, 2012

A similar pattern hold for airlines. real revenue and profit growth and earning their cost of capital has steadily declined. My colleagues and I at Bain & Company have been tracking this for forty years, and we have never seen companies losing their leadership positions as quickly as they are today. And for telecom.

Creativity 14

Creativity Long-term Kotter Cost of Capital 14

Harvard Business Review

MAY 25, 2018

Likewise, the airlines have demonstrated that well-constructed alliances can be a powerful way to build market position and capitalize on scale. Today’s low cost of capital creates a powerful financial incentive to put money to work by investing in a portfolio of ideas and capabilities.

Incubator 8

Incubator Insurance Cost of Capital Competitive Advantage 8