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Entrepreneurship Suffers When Well-Paid Jobs Are Plentiful

The Horizons Tracker

The author believes that while lower costs of capital would certainly help raise the entrepreneurship rate, it would be most beneficial to entrepreneurs with lower skills. This would have less of an impact on higher-skilled entrepreneurs, for whom the decline has been most pronounced. in 2012.

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What Private Equity Investors Think They Do for the Companies They Buy

Harvard Business Review

We also know that private equity funds have outperformed public equity markets over the last three decades , even after the fees they charge are accounted for. Rather, they rely on internal rates of return and multiples of invested capital. Our results on capital structure are more consistent with academic theory and teaching.

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Desperately Seeking Simplicity

Harvard Business Review

Today, only 9% of businesses in the world have achieved even a modest level of sustained, profitable growth over the past decade on average (5.5%, earning cost of capital) and that is declining — even though virtually all the businesses aspire to something like this or more.

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What If Companies Managed People as Carefully as They Manage Money?

Harvard Business Review

In contrast, today’s scarcest resource is your human capital, as measured by the time, talent and energy of your workforce. Time, whether measured by hours in a day or days in a career, is finite. Invest human capital just like you invest financial capital. Difference-making talent is also scarce.

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Is Your Business Biased Against Innovation?

Strategy Driven

The logic of NPV is to project cash flows into the future and then discount those flows back into today’s dollars at a given cost of capital. With Discovery-Driven Growth , Rita and Ian offer managers everywhere a time-tested blueprint for planning and executing a strategic growth agenda with confidence – in any market.