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Why Some Digital Companies Should Delay Profitability for as Long as They Can

Harvard Business Review

As long as there are strong increasing returns to create , it’s possible that the net present value of my profit harvesting is indefinitely larger if deferred to the future. The Refresher: Net Present Value. Today, AWS is a much more valuable business for the company’s long-termism. So is Google.

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How to Quantify Sustainability’s Impact on Your Bottom Line

Harvard Business Review

We found that sustainable and deforestation-free practices created significant financial benefits for all players in the industry’s value chain. Specifically, our analysis found that the net benefits to ranchers ranged from $18 million to $34 million (12% to 23% of revenues) in net present value projected over 10 years.

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How Marketers Can Avoid Big Data Blind Spots

Harvard Business Review

These estimates can then help determine the Net Present Value (NPV) of the long term effect of marketing in terms of future sales. typically are short-term calls to action and contribute little to building the brand and consumer loyalty. customer surveys). Marketing analytics is far from a monolithic approach.

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How CMOs Can Get CFOs on Their Side

Harvard Business Review

CFOs are more interested in capital investment estimates, net present values, and a clear outline of the trade-offs of any investment. For instance, CMOs often focus on brand awareness, TV ad impressions, or share of voice in the market, which do not easily translate into financial impact.

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