Harvard Business Review

OCTOBER 25, 2018

To analyze the superstar dynamics of firms, our metric was economic profit, a measure of a firm’s profit above and beyond opportunity cost. (To To do this, we take the firm’s returns, deduct the cost of capital, and multiply by the firm’s total invested capital.) and Chinese tech firms.

Industry 10

Industry Company GDP Bottom-up 10

Harvard Business Review

JULY 25, 2017

Track competitors’ MROI to gauge how your company is performing against others in the industry. Some companies establish a threshold for MROI that takes into account its risk tolerance and cost of capital, below which they are hesitant to make investments. Comparing marketing efficiency with competitors.

ROI 8

ROI Marketing Marketing Mix Cost of Capital 8

Harvard Business Review

FEBRUARY 1, 2018

The cost of capital is at historic lows, averaging below 6% for most large U.S. Indeed, for most companies, the value of accelerating growth greatly exceeds the value of returning capital to shareholders. Working with its franchisees, Dunkin’ Brands is planning to remodel its stores and bring in new equipment.

Supply Chain 8

Supply Chain CEO Discount Retail 8

Harvard Business Review

NOVEMBER 25, 2013

And at another — a consumer packaged goods company — a series of strong brands had evolved in separate silos. Only when they began to really analyze their marketing costs did the company realize that it was spending three times the industry benchmark on coupons and 50 percent more on research.

CFO 8

CFO Short-term Long-term Benchmarking 8

Harvard Business Review

OCTOBER 21, 2016

Managing risks therefore requires making investment decisions today for longer-term capacity building and developing adaptive strategies. Flooding in 2011 in Thailand, harmed 160 companies in the textile industry and halted nearly a quarter of the country’s garment production, increasing global prices by 28%.

Supply Chain 8

Supply Chain Price Loyalty Efficiency 8

Harvard Business Review

APRIL 26, 2017

However, the current meager market share held by online lenders masks immense potential: Morgan Stanley estimates the total addressable market for online SME lenders is $280 billion and predicts the industry will grow at a 47% annualized rate through 2020. Banks’ cost of capital is typically 50 basis points or less.

Banking 10

Banking Stage-Gate Credit Scoring Competitive Advantage 10