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Why Financial Statements Don’t Work for Digital Companies

Harvard Business

Similarly, Microsoft paid $26 billion for loss-making LinkedIn in 2016, and Facebook paid $19 billion for WhatsApp in 2014 when it had no revenues or profits. This becomes clear when you look at a company’s two most important financial statements: the balance sheet and the income statement.

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Inequality Isn’t Just Due to Market Forces — It’s Caused by Decisions the Boss Makes, Too

Harvard Business

An organizational focus is associated with stable employment with low turnover, extensive use of training, and the dominance of internal considerations, such as a desire for equity in pay. Firms varied in the extent to which frontline operators were responsible for programming these machines, versus engineers maintaining control.