Harvard Business Review

JUNE 27, 2012

Some of this, business historians might say, is simply due to what Joseph Schumpeter called "creative destruction" — a desirable culling of businesses that can't keep pace. Did it seem "creative" to Nokia shareholders when the company missed the smart phone wave despite having some of the early technology? And for telecom.

Creativity 15

Creativity Long-term Kotter Cost of Capital 15

Harvard Business Review

JULY 25, 2017

“Good marketing is not about winning creative awards or telling interesting stories,” Avery says. 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. Holding themselves accountable.

ROI 8

ROI Marketing Marketing Mix Short-term 8

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. Creative accounting measures. What would better measures be?

EPS 9

EPS Metrics Depreciation Short-term 9

Harvard Business Review

APRIL 23, 2015

The basic principles are: If you want to earn above the cost of capital (if you want to create value), you must get a higher return on your efforts than the average competitor. Your challenge in the face of stiff competition is not to rewrite his theory, but to be creative about applying it.

Strategy 8

Strategy Porter Price Cost of Capital 8

Harvard Business Review

SEPTEMBER 4, 2017

The forces of creative destruction inevitably will continue to eliminate some work through automation, digitalization, or the virtualization of work, but these same forces also create new types of work and jobs. As companies think about how to change this, they should focus on the jobs that will survive into the future.

Human Capital 15

Human Capital Kaizen Agility Energy 15

Harvard Business Review

NOVEMBER 25, 2013

CMOs must demonstrate and track marketing’s impact by focusing on key performance indicators (KPIs) that are important for shareholder value such as strong cash flow, cost of capital, return on capital, and operating margin. But it’s no good speaking the same language as the CFO if marketing itself is a Tower of Babel.

CFO 8

CFO Short-term Long-term Benchmarking 8

Harvard Business Review

OCTOBER 11, 2013

The business model centers on the old razor blade strategy: Sell the machine at just above cost and make high margins on the system’s consumable element – patented plastic pods. With the company’s share price sinking and its cost of capital rising, those deals might have to be put on hold.

Case Study 8

Case Study CFO Hedge PR 8