This activity perform by individuals with substantial exper. Iience in shepherding young compa. Inies to maturity creates substantial value in the portf. Iolio company. Download working paper http hbs faculty Publication Files ea a d d b aef bc .pdf pdf Making the Numbers Short Termi. Ism the Puzzle of Only Occasional Disaster pdf By Rahmandad Hazhir Nelson P. Repenning and Rebec. Ica Henderson ABSTRACT.
Much recent work in strategy and popular
Discussion suggests that an excessive focus on managing the numbers ―delivering qua. Irterly earnings at the expense of longer term investm. Ients―makes it difficult for firms to make the investments necessary to build competitive advantage. Short te. mism has been blam for ever. Iything from the decline o. If the U.S. automobile industry to the low penetration of techniques such Hong Kong Phone Number List as TQM and continuous improvement. establishes that firms routinely sacrifice long term investment to manage earnings and are reward for doing so. This paper presents a model that reconci. Iles these appare. Intly contradictory perspectives. We show that if the source of long term advantage is model as a stock of cap.
When the firm operates above this threshold managing
Earnings smoothes revenue and cash flow with few long term consequences. Below it managing earnings can tip the firm into a vicious cycle of accelerating decline. Our India Phone Number results have important implications for understanding managerial incentives and the internal processes that create sustain advantage. Download working paper http hbs faculty Publication Files a eeeb c c cc b f c a.pdf pdf CASES COURSE MATERIALS HARVARD BUSINESS SCHOOL CASE Whole Foods The Path to Stores The case examines the operations strategy of Whole Foods one of the largest natural grocery chains in the Unit States.
