Research Shows That Smaller M&A Deals Work Out Better

Harvard Business Review

WPP began the period in the middle of the pack, with an average economic profit of $8 million, but ended with a top-quintile-worthy $677 million and saw an 11% compound annual growth rate (CAGR) in total shareholder return over the decade. The company’s disciplined approach to M&A repositioned it solidly for the digital age and led to a 10% CAGR in total shareholder return over the decade. miragec/Getty Images. The myth that 75% of all mergers fail has long been dispelled.

How We Think About Innovation at Cisco

Harvard Business Review

In the manufacturing sector alone, market intelligence firm IDC expects the IoT market to grow to about $100 billion by 2018, a five-year combined annual growth rate (CAGR) of 18%. No one doubts that the future belongs to the Internet of Things.


3 Reasons Global Firms Should Keep Investing in India

Harvard Business Review

The country has over 350 million smart phones and this number is growing 25% CAGR. boris sv/Getty Images. A major debate has unfolded around India’s economic prospects. On the one hand, you have Prime Minister Modi declaring at the 2018 World Economic Forum that India’s economy, already the fifth largest in the world, will double to $5 trillion by 2025.

There Is Such a Thing as Too Much Incentive for Entrepreneurs

Harvard Business Review

Let''s say you earn $4 million after 5 years on the $100K you put in; assuming you give up $500K in total salary, this is a 100% CAGR). Many entrepreneurs have their entire net worth tied up in their companies. For a long time, this is exactly what most venture investors wanted: more to gain (and lose) means a stronger incentive, greater focus, and better performance - right? In many cases this lack of diversification is overkill and actually hampers performance.

A Model for Focusing Executives on Long-term Value Creation

Harvard Business Review

Revenue and earnings grew at over 12% CAGR over the last decade — accelerating though the recession. This blog post is part of the HBR Online Forum The CEO's Role in Fixing the System. We believe that capitalism will not survive if it continues its trend towards the redistribution of wealth and away from creation of wealth. To reverse this trend, executive compensation plans have to be designed. The Wine Group's plan can serve as a model for how to do that.


Which MBAs Make More: Consultants or Small-Business Owners?

Harvard Business Review

We’ll assume the salary in a traditional post-MBA job grows at a 12% compound annual growth rate (CAGR) so that it more than triples in the first 10 years, which is in line with post-MBA salary surveys we’ve done here at the Harvard Business School. HBR STAFF.


Make Your Work Resolutions Stick

Harvard Business Review

Susan has grown revenue over 100% CAGR since she took over, and the company has nearly 400 employees. Many people have resolutions on the brain during this time of year.