Creative Destruction | Outperform
the market on a sustainable basis? Most executives would say that this one of
their key objectives and most consultants promise to help them achieve it at one
time or another. Sadly, Creative Destruction shows that
this aspiration is often illusory! Only a tiny fraction of companies manage to
surpass market performance over the long term. This is because financial markets
do not hesitate to break with the status quo and sell off unprofitable assets,
while companies primarily seek continuity. The McKinsey consultant authors invite
companies to learn from the venture capital model and develop many opportunities
simultaneously, knowing that some will fall by the wayside. They also offer valuable
advice on how to implement this strategy. |
|
Richard
N. Foster and Sarah Kaplan, Currency Doubleday, 2001. | |
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| Corporate-Level Strategy | This
book explores how corporate headquarters can create value for group divisions
and subsidiaries, and focuses particularly on four key ways to do this:
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| Michael
Goold, Andrew Campbell and Marcus Alexander, Wiley, 1993. | |
| | Competing for the Future | Sony,
NEC, and Motorola are examples of companies that prepare years in advance to conquer
markets that do not yet exist. This book describes the approach used by these
companies, using examples to explain how they develop their vision of future markets
and what they do to position themselves on these markets. |
| Gary
Hamel and C. K. Prahalad, Harvard Business School Press, 1990. | |
| | Valuation Measuring and Managing the Value of Companies |
This book
presents the tools to measure the shareholder value that companies create, and
particularly stresses the importance of business tracking based on present cash
flow, which effectively helps:
|
| Tom
Copeland, Tim Koller and Jack Murrin, John Wiley & sons, 1991. | |
| | Synergy |
This book
describes a pragmatic approach to take advantage of potential synergies between
the different units of a corporate group. After warning managers about how frequently
companies fail in this endeavor, the authors then offer an approach to help them
analyze opportunities, avoid false synergy traps, and concentrate efforts on truly
promising projects. |
|
Andrew Campbell
and Michael Goold, Capstone, 1997. | |
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