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Are Bosses Always Over-Confident?

The Horizons Tracker

Strategic nonconformity was measured on any deviation from industry-level means across six categories, including inventory levels, advertising intensity, R&D intensity, and financial leverage. By contrast, when these bosses operate in environments that are not dynamic, they’re more likely to follow the pack.

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Private Equity’s New Phase

Harvard Business Review

In phase three, PE firms are not simply holding companies waiting to dispose of the property, nor are they operating companies seeking to integrate their acquisitions into an existing business. Though autonomous, they can improve their operating capabilities and speed up their time to reinvention by learning from each other.

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How To Really Measure a Company's Innovation Prowess

Harvard Business Review

Who is the world's most innovative company? Last year , number crunchers at Forbes found that Salesforce.com is the company with the highest "Innovation Premium" baked into its stock price. Perhaps a company's ability to innovate doesn't last long. There's no doubt: measuring "innovation" is a fuzzy business.

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How To Really Measure a Company's Innovation Prowess

Harvard Business Review

Who is the world's most innovative company? Last year , number crunchers at Forbes found that Salesforce.com is the company with the highest "Innovation Premium" baked into its stock price. Perhaps a company's ability to innovate doesn't last long. There's no doubt: measuring "innovation" is a fuzzy business.

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Stop Focusing on Profitability and Go for Growth

Harvard Business Review

And the average long-term ROE is more than 25%, reflecting improved efficiency combined with greater reliance on financial leverage at most companies. Some focus their best people on finding ways to squeeze out more profitability from existing operations, rather than creating new businesses.

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