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What Netflix and Starbucks Know About Cash Flow

Harvard Business Review

business ended 2014 with 39.1 When customers can foresee their demand for a product or service rising and trust a company enough agree to a monthly payment (thus providing regular cash flow), they are essentially enabling the company to build what customers want. Improving cash flow is extraordinarily healthy for any business.

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What’s Missing from Annual Reports

Harvard Business Review

Take the example of Harvey Norman , an Australia-based household-goods retailer that operates under various brands and has stores in several countries. The company’s 2013 annual report contained the usual statements on income, changes in equity, and cash flows — standard stuff.

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Why Data Breaches Don’t Hurt Stock Prices

Harvard Business Review

While consumers are rightfully worried that their personal information may be compromised, shareholders and companies’ management have a wider set of concerns, including loss of intellectual property, operational disruption, decreased customer trust, tarnished brand, and loss of investor commitment.

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Finally, Proof That Managing for the Long Term Pays Off

Harvard Business Review

New research, led by a team from McKinsey Global Institute in cooperation with FCLT Global , found that companies that operate with a true long-term mindset have consistently outperformed their industry peers since 2001 across almost every financial measure that matters. The differences were dramatic. rate for other companies.

Manager 15
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Oil’s Boom-and-Bust Cycle May Be Over. Here’s Why

Harvard Business Review

The constantly fluctuating number of barrels of crude available from nimble shale operations is a primary driver, but so are the long-term impact of increased fuel efficiency and the fits and starts of the global transition away from fossil fuels on world demand. .—while The soaring U.S.

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How U.S. Businesses Can Succeed in India in 2015

Harvard Business Review

America’s largest insurer, Allstate, announced plans to invest $1 billion in its India operations. Choose the right India country manager: The role of country manager for India can mean many things depending on the scope of operations and the structure of an organization. But they need to be alert to the following four signposts.

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The Future of Cities Depends on Innovative Financing

Harvard Business Review

Investors from hedge funds to insurance companies are operating in an environment of low yields, near-zero interest rates, and a glut of savings. The main challenge is that investors are very good at understanding a single asset with standalone cash flows — a toll road, for example, or a power plant, or an apartment building.