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Two Forces Moving Business Closer to Climate Action

Harvard Business Review

The We Mean Business report cites an internal rate of return of 81% (that’s a ridiculous payback) on energy efficiency in the U.S., I get it — business does some nasty things and the obsession with short-term profit maximization above all other definitions of business value is a pathology that’s dangerous for society and for business.

IRR 8
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Capitalism’s Future Is Already Here

Harvard Business Review

Ronald Reagan and Margaret Thatcher gave the idea political cover. The tight focus on generating returns drove many gains. Incentives to maximize shareholder value pushed managers toward decisions that paid off in the short term but were devastating to the long term viability of firms.

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American CEOs Should Stop Complaining About Uncertainty

Harvard Business Review

The US economy has among the most fluid capital markets, the largest investment base, the most stable political system and the broadest base of consumers of any country in the world. They distinguish short term political winds from long term growth trends, and are prepared to deploy capital based on that distinction.

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3 Emerging Market Risks Companies Should Watch for in 2018

Harvard Business Review

When it comes to risk in Mexico, companies are paying attention to the fraught NAFTA negotiations, but not the domestic politics that could damage business plans far sooner than any NAFTA changes. Leftist presidential candidate Andrés Manuel López Obrador is well ahead in the polls.