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Definition
Firm's theory to generate a sustainable competitive advantage. |
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What is what a company does better than rivals that leads to making greater profits than rivals? |
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What is the basic equation for profit? |
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What do you do to Revenue to increase profit? |
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What do you do to Costs to increase profit? |
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Why is making greater profits NOT enough for maximizing the value of shareholders? |
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You need to find how to balance short-term and long-term investments.
Ultimately we want to create a sustainable competitive advantage. |
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What are the principal drivers of shareholder value? |
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Definition
Profitability + Profit Growth |
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Those with an interest or concern in a company. |
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Stockholders who own shares of the company. |
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