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Tesla Shows How Traditional Business Metrics Are Outdated

Harvard Business

At the core of the confusion over a company like Tesla is that traditional business metrics are outdated and can create overconfidence or underestimation. Classic metrics like market penetration and market share, which many leaders are measured on, are the very things causing us to miss market opportunities and threats.

Metrics 28
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Using Experiments to Launch New Products

Harvard Business

To see how this can be valuable, consider how Uber rolled out its Express Pool service in 2018. In 2018, in the run-up to the launch of Express Pool, Uber tasked one of us (Duncan, who manages a group of economists and data scientists within the company) with assessing how likely it was to succeed.

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A Blueprint for Digital Companies’ Financial Reporting

Harvard Business

On June 25, 2018, Facebook lost market capitalization of more than $100 billion in just two hours of trading after it announced its quarterly performance, despite exceeding analysts’ earnings forecasts. The level and trend of a company’s top-line metric is an advance indicator of the success of its business model.

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3 Ways M&A Is Different When You’re Acquiring a Digital Company

Harvard Business

times Vormetric’s sales. For sector and company screening, the data provider CB Insights helps develop information-rich company profiles, visualize competitive dynamics and uncover nonfinancial performance metrics. Publicis now gets 50% of its revenue from digital—that’s ahead of its 2018 target.

Company 28