Remove Brand Remove IPO Remove Management Remove Network Economy

Profit Is Less About Good Management than You Think

Harvard Business Review

Benjamin Graham , the father of value investing, seldom met the managers of the companies he invested in because he felt they would tell him only what they wished him to hear and because he didn’t want to be influenced by impressions of personality. Revenue moats are usually linked to intangible assets (including brands and patents), high switching costs, and network economies. So is there something different about the managers who do succeed?

What Uber’s China Deal Says About the Limits of Platforms

Harvard Business

On August 1 Uber announced that it is selling its Chinese brand and operations to Didi Chuxing for $1 billion, its annual burn rate in that market, in exchange for a 20% stake in the local competitor. The $1 billion burn rate in China was reportedly holding up its IPO, not just its expansion in other parts of the world. And in addition to tangible assets, one has to think about investments in people, systems, brands, and intangibles. Are there really global network economies?