Companies collect and analyze a great deal of information in order to estimate their value-creation potential. But in our experience, that information doesn’t always help them answer the most important questions when it comes to creating a detailed value-creation strategy. Below are eight questions that we believe should inform every company’s strategy to create value. If you don’t know the answers to these questions, you don’t really have a value creation strategy.
How has our historical value creation compared with that of our peers and our plan’s value creation?
What factors drive valuations for our company and our peers?
What types of investors align best with our business and financial strategies?
How much value does our business plan create?
What fundamental performance drives with the market?
What is the impact of different choices and sensitivities on our ability to create value?
How do different businesses and strategies contribute to our value creation?
How should we allocate capital?
Authors: Daniel Stelter, Eric Olsen, Frank Plaschke, Gerry Hansell, Hady Farag, Jeff Kotzen
Source: Improving the Odds: Strategies for Superior Value Creation
Subjects: Finance Questions, Management Questions, Strategy Questions
Source: Improving the Odds: Strategies for Superior Value Creation
Subjects: Finance Questions, Management Questions, Strategy Questions
Like this content? Why not share it?
There Are No Comments
Click to Add the First »
Click to Add the First »