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Stop Trying to Predict Which New Products Will Succeed

Harvard Business Review

Is market performance predictable for a specific product or class of products? In this case, accountability is not for correct ex-ante prediction, but for fast learning and contingent execution. respectively, suggesting that market risk is the major driver of our inability to predict.

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If the SEC Measured CEO Pay Packages Properly, They Would Look Even More Outrageous

Harvard Business Review

The EFV represents a hypothetical “before the fact” calculation of what a CEO might eventually gain upon cashing in the stock options and stock awards that make up the overwhelming majority of most top executives’ pay.

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What an Economist Brings to a Business Strategy

Harvard Business Review

Although many business executives sat through one, or perhaps several, courses in economics while in school, most probably took away little more than the supply and demand graphs to which they were introduced early in their first course. Economists and market design. Admittedly, better pricing of options has been a mixed blessing.