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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. Positive or negative? This would have less of an impact on higher-skilled entrepreneurs, for whom the decline has been most pronounced. “We

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The Complexity of Business Communication

CoachStation

Compare Michael Porter’s competitive advantage definition: “Competitive advantage, sustainable or not, exists when a company makes economic rents, that is, their earnings exceed their costs (including cost of capital).” Is change communication in your organisation more like the first example or the second?

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The Rise of FinTech in Supply Chains

Harvard Business Review

The use of FinTechs allows suppliers to access funding at the multinationals firm’s lower cost of capital.). The supplier gives the buying firm a discount on the invoice amount at the buyer’s lower cost of capital. The buying firm benefits through longer payables, which positively impact its working capital.

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Strong Dollar, Weak Thinking

Harvard Business Review

The standard concern is that the high US dollar hurts America’s manufacturing cost position because US production costs are inflated by the dollar’s appreciation. The way to do that is to build market share in international markets at a level of profitability that is higher than the cost of capital.

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How to Quantify Sustainability’s Impact on Your Bottom Line

Harvard Business Review

For slaughterhouses and retailers (Brazilian operations), we also projected positive benefits: $20 million to $120 million (0.01% to 0.1% These values can be estimated credibly and cost-effectively, and we set about applying them to the Brazilian beef sector. of revenues) and $13 million to $62 million (0.01% to 0.7% of revenues).

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What U.S. CEOs Should Do with the Money from Corporate Tax Cuts

Harvard Business Review

based companies by anywhere from 10% to 20% , depending on their current tax position. The cost of capital is at historic lows, averaging below 6% for most large U.S. Indeed, for most companies, the value of accelerating growth greatly exceeds the value of returning capital to shareholders. Emma Innocenti/Getty Images.

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A Refresher on Marketing ROI

Harvard Business Review

In its simplest form, it looks like this: The goal, as with any ROI calculation, is to end up with a positive number, and ideally as high a number as possible. 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.

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