article thumbnail

How Likely Is Your Industry to Be Disrupted? This 2×2 Matrix Will Tell You

Harvard Business Review

For the latter, we measured incumbents’ operational efficiency, commitment to innovation, and defenses against attack. But companies in this state often face increasing pressure to improve efficiency and reduce operating costs in their legacy businesses, and this pressure attracts opportunistic disruptors.

article thumbnail

When a Country is Facing Political and Human Rights Issues, Should Businesses Leave or Stay?

Harvard Business Review

After the murder of dissident Saudi journalist Jamal Khashoggi , many companies had to urgently decide whether to attend Saudi Arabia’s Future Investment Initiative, a global business conference scheduled to take place just days after news of Khashoggi’s killing broke. The compass that was guiding the bank was a financial one.

Insiders

Sign Up for our Newsletter

This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.

article thumbnail

Recommended Resources – An Interview with Paul Leinwand and Cesare Mainardi, authors of The Essential Advantage

Strategy Driven

These choices historically conferred advantage – first-mover, scale – but asset-based scale advantages have diminished in recent years, thanks to technology, cheap information, and outsourcing. Assets are important, but they are, increasingly, table stakes in most competitive industries; everyone in the game has them.

article thumbnail

Finally, Proof That Managing for the Long Term Pays Off

Harvard Business Review

New research, led by a team from McKinsey Global Institute in cooperation with FCLT Global , found that companies that operate with a true long-term mindset have consistently outperformed their industry peers since 2001 across almost every financial measure that matters. but we know the problem is a global one.

article thumbnail

What It Takes to Be a Great Employer

Harvard Business Review

For example, a Towers Perrin study conducted in 2007-2008 among 90,000 employees in 18 countries found that companies with the most engaged employees had a 19 percent increase in operating income during the previous year, while those with the lowest levels had a 32 percent decline.