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Fool Me Once Or Fool Me All The Time

Martinka Consulting

First, five points from the article I found interesting and then some comparisons to other areas of business. A 1932 research paper showed firms had loaded up with cash and post-crash, “companies were flush with cash and investors beleaguered,” which they wouldn’t pay out. Zweig asks, “Can “Ebidtdaft” be far behind?”.

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How Competition Is Driving AI’s Rapid Adoption

Harvard Business

In comparison, absorption of AI might reach today’s level of digital absorption by 2027—in roughly ten years. Even if a technology race develops, some companies will adopt rapidly, but others less so—and the benefits of AI will vary accordingly. Our simulation suggests that it may reach 70% by 2035.

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Is Corporate Short-Termism Really a Problem? The Jury’s Still Out

Harvard Business

The observation that many “unicorn” companies with no profits — and sometimes no revenues or even fully developed products — get valued so highly makes me skeptical of the idea that the capital market is systematically myopic. McKinsey tries to address this issue by doing comparisons within industries.

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How Incentives for Long-Term Management Backfire

Harvard Business

Why isn’t more of that cash going into developing businesses for long-term gains — the big, outsized gains that come from big bets on the future? Another company, in the agricultural technology sector, chose free cash flow as the primary long-term incentive measure.

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A Refresher on Marketing ROI

Harvard Business

“The MROI of social media activity often looks very high if you only count financial resources, but if you look at the human resources required to develop content and respond to consumers’ posts 24/7, the number goes down,” she says. To do this, you need to establish your sales baseline.

ROI 28
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How Banks Can Compete Against an Army of Fintech Startups

Harvard Business

By comparison, online lenders face capital costs that can be higher than 10%, sourced from potentially fickle institutional investors like hedge funds. In these options, the critical question is whether the bank wants to keep its own underwriting criteria or use new algorithms developed by its digital partner.

Banking 49
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5 Ways the Best Companies Close the Strategy-Execution Gap

Harvard Business

Following the company’s go-private transaction in October 2013 , Dell put in place new models for strategy development, resource allocation, and performance management. Strategy development at Dell is no longer a batch process tied to some planning calendar; it is a continuous process. Value flexibility.