Harvard Business Review

APRIL 5, 2017

Repaying such profits to shareholders through share repurchases is better than misinvesting that cash to diversify into unrelated businesses in which management has no expertise or overinvesting in projects that may not return cost of capital. As I said earlier, measuring a company’s short-term orientation is incredibly tricky.

EPS 8

EPS Metrics Depreciation Short-term 8

Harvard Business Review

MAY 14, 2013

The supply of carbon credits is fixed through 2020 — not by a regulator or a committee, but by law. Share prices for European utilities and industrial companies have fallen too, threatening a wave of credit downgrades and increasing companies'' cost of capital.

Price 8

Price Energy Politics Marketing 8

Harvard Business Review

MAY 24, 2017

Invest human capital just like you invest financial capital. For financial capital, the business world has developed concepts such as the opportunity cost of capital, which is reflected in a company’s weighted average cost of capital. One way to do this is to measure the cost of meetings.

Human Capital 15

Human Capital Management Company ROCE 15

Harvard Business Review

APRIL 2, 2014

In the long-version explanation of the prizes published by the Nobel committee last fall, Campbell was cited more often than anybody else, apart from the three winners. The capital asset pricing model was supposed to allow companies to calculate their cost of capital in a consistent way.

CAPM 8

CAPM Discount Price Finance 8