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Will You Be Writing Off Your Investment in Egypt?

Harvard Business Review

In both places, we know the instability will worsen macroeconomic performance in the short term. If that is the case, and the faster growth generates higher profits for them over the long term, that might well compensate for any short-term losses from the disruption. Tunisia and Egypt are cases in point.

NPV 12
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Case Study: Should a Hotelier Invest in a New Kind of Online Travel Agency?

Harvard Business Review

” “I have Carly running the ROI — both short-term and long-term,” he said, referring to Carly Janssen, his finance director, “but I have to say that I find it intriguing. In her short time at Ervaring, she’d come to rely on him for help with investment decisions.

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Stop Focusing on Profitability and Go for Growth

Harvard Business Review

So, in real terms, debt financing is essentially free. Next time you're deciding about a big investment, NPV can help you make a more informed decision. Equity cash flows, in turn, are a function of a company’s long-term return on equity (ROE), growth, and the value of shareholders’ equity on its books.

ROE 14