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Ask for the Cash: Convince Your Customers to Pay You in Advance

Growth Institute

He would put down the cash required to get the parts and inventory to make the computers, and then wait for customer sales. This however meant a lot of cash was swallowed up into inventory without knowing when the next sale would come in. Before long, his company ran short of cash and almost shut down as a result.

Cash Flow 246
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How To Really Measure a Company's Innovation Prowess

Harvard Business Review

MIT Technology Review didn't pick a winner, but on its recent list of top 50 "disruptors," the magazine mixed stalwarts such as General Electric and IBM with up-and-comers, Square and Coursera. Return on equity (net income divided by equity) results from multiplying three key operating ratios: Profitability (net income over sales).

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Marketing for the Extremely Shy

Harvard Business Review

Plenty of people, including me, grew up with messages about sales being a tacky activity that seeks to put a false sheen on substandard products — because if they were good enough, their reputation would speak for itself. I've worked with plenty of businesses to create better, more automatic sales and referral systems.

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Four Steps to Measuring What Matters

Harvard Business Review

The statistics that companies use most often to track and communicate performance include financial measures such as sales and earnings per share growth. The three commonly cited financial drivers of value creation are sales, costs, and investments. They had been measuring the wrong thing, and executives may be making the same mistake.

Banking 18
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How To Really Measure a Company's Innovation Prowess

Harvard Business Review

MIT Technology Review didn't pick a winner, but on its recent list of top 50 "disruptors," the magazine mixed stalwarts such as General Electric and IBM with up-and-comers, Square and Coursera. Return on equity (net income divided by equity) results from multiplying three key operating ratios: Profitability (net income over sales).

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What the Media Industry Can Teach Us About Digital Business Models

Harvard Business Review

The basic point was that online advertising was too small, and that transaction sizes were too insignificant to be anything other than a step down for companies used to rich cash flows. Zooming in on the sales challenge helps to highlight the difficulty of business model innovation. Unfortunately, it’s not that simple.

Media 14
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Shape Strategy With Simple Rules, Not Complex Frameworks

Harvard Business Review

Negotiated decision criteria didn't eliminate difficult trade-offs: ALL's engineers still favored elegant solutions over quick fixes, and the sales team wanted anything that made customers happy. This blog post was excerpted from the authors' article " Simple Rules for a Complex World " in the September issue of the magazine.