Remove Finance Remove IPO Remove Marketing Remove Short-term
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Preview Thursday: Benefit Corporation Law and Governance: Pursuing Profit with Purpose

Lead Change Blog

Yet the introduction of the “benefit corporation” gives leaders an opportunity to remake our business culture, and perhaps save the planet from our very human short-term bias. This paradigm is often called the “ shareholder primacy ” model, and it underlies our capital markets and business models.

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The Financial Industry Needs to Start Planning for the Next 50 Years, Not the Next Five

Harvard Business Review

Closing this gap requires much more than short-term fixes, like adopting new technologies. Businesses need to organize around long-term strategies for growth and partnership in a sustainable way. The current innovation model in the finance sector is designed to generate the highest possible short-term returns.

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Entrepreneurs Need a Better Way to Cash Out

Harvard Business Review

It is incredibly hard to hold an IPO. But analysts are judging EBITDA, P/E ratios, quarterly growth, and cashflows – which don’t always correlate with long-term value creation. And, too often, our obsession with these short-term metrics has the opposite effect. Entrepreneurship Finance'

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Should Dual-Class Shares Be Banned?

Harvard Business Review

Some of the largest companies of recent times by market capitalization, such as Facebook, Alphabet, and Alibaba, carry dual class-shares. Firms with growth opportunities as well as the need for external equity financing often convert to dual-class shares. So do some older, family-controlled firms, such as Ford Motor Co.

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Subscription Businesses Are Booming. Here’s How to Value Them

Harvard Business Review

went public in June, then saw its stock price fall 70%, making it the worst performing IPO of a major company so far in 2017. They argue that the market has become saturated because of the barriers to entry are low (do we really need 53 subscription box companies offering sex products?) that aggregate sales in the U.S.

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Many CEOs Aren’t Breakthrough Innovators (and That’s OK)

Harvard Business Review

Innovation is widely regarded as important to long-term business performance. We’ve found that CEOs of big pharmaceutical companies, for example, are more likely to have a background as company lawyers, salespeople, or finance managers, than one in medicine or pharmaceutical R&D. Pharmaceuticals. tax jurisdiction.

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What Happened to Goldman Sachs?

Harvard Business Review

The Weinberg trademarks, which became the Goldman trademarks, were (1) hard-nosed prudence, (2) an extreme emphasis on the partnership , with partners generally able to make serious money only after decades at the firm, and (3) the long-term cultivation of relationships with business executives and politicians.

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