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The Real Reasons Companies Are So Focused on the Short Term

Harvard Business Review

Investors punish companies with a short-term orientation by applying higher discount rates to them, which increases the cost of capital for those companies. In contrast, companies with a long-term orientation are rewarded with a lower cost of capital, which allows them to afford more innovation—a virtuous cycle.

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How Blockchain Is Changing Finance

Harvard Business Review

Most firms cite opportunities to reduce friction and costs. After all, most financial intermediaries themselves rely on a dizzying, complex, and costly array of intermediaries to run their own operations. If the world of venture capital can change radically in one year, what else can we transform?