{"id":292,"date":"2019-04-08T20:04:24","date_gmt":"2019-04-09T01:04:24","guid":{"rendered":"https:\/\/gentropy.org\/blogs\/?p=292"},"modified":"2019-04-08T20:04:24","modified_gmt":"2019-04-09T01:04:24","slug":"the-superstar-effect-is-real-and-in-this-new-competitive-environment-strategy-matters-more-than-ever","status":"publish","type":"post","link":"https:\/\/gentropy.org\/blogs\/2019\/04\/08\/the-superstar-effect-is-real-and-in-this-new-competitive-environment-strategy-matters-more-than-ever\/","title":{"rendered":"The superstar effect is real, and in this new competitive environment, strategy matters more than ever."},"content":{"rendered":"<p><a href=\"https:\/\/www.mckinsey.com\/featured-insights\/innovation-and-growth\/what-every-ceo-needs-to-know-about-superstar-companies\">What every CEO needs to know about superstar companies | McKinsey<\/a><\/p>\n<blockquote><p>Among the world\u2019s largest companies, economic profit is distributed unequally along a power curve, with the top 10 percent of firms capturing 80 percent of positive economic profit.<\/p><\/blockquote>\n<blockquote><p>As economic profits grow larger, so do economic losses at the other end of the distribution. The bottom 10 percent of companies destroy as much value as the top 10 percent create, and today\u2019s bottom-decile companies have 1.5 times more economic loss, on average, than their counterparts of 20 years ago (Exhibit 1). That means for every company that creates economic value, there is another company that destroys economic value. Yet these value-destroying companies continue to survive, holding on to their resources for increasingly longer durations and continuing to attract capital. A growing number are turning into \u201czombie\u201d companies, unable to generate enough cash flow even to sustain interest payments on their debts. The impact of these economic losses goes beyond these companies\u2019 investors, managers, and workers: it drives down the returns for healthy companies that compete for the same resources or profits.<\/p><\/blockquote>\n","protected":false},"excerpt":{"rendered":"<p>What every CEO needs to know about superstar companies | McKinsey Among the world\u2019s largest companies, economic profit is distributed unequally along a power curve, with the top 10 percent of firms capturing 80 percent of positive economic profit. As economic profits grow larger, so do economic losses at the other end of the distribution. [&hellip;]<\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[],"class_list":["post-292","post","type-post","status-publish","format-standard","hentry","category-uncategorized"],"_links":{"self":[{"href":"https:\/\/gentropy.org\/blogs\/wp-json\/wp\/v2\/posts\/292","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/gentropy.org\/blogs\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/gentropy.org\/blogs\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/gentropy.org\/blogs\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/gentropy.org\/blogs\/wp-json\/wp\/v2\/comments?post=292"}],"version-history":[{"count":1,"href":"https:\/\/gentropy.org\/blogs\/wp-json\/wp\/v2\/posts\/292\/revisions"}],"predecessor-version":[{"id":293,"href":"https:\/\/gentropy.org\/blogs\/wp-json\/wp\/v2\/posts\/292\/revisions\/293"}],"wp:attachment":[{"href":"https:\/\/gentropy.org\/blogs\/wp-json\/wp\/v2\/media?parent=292"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/gentropy.org\/blogs\/wp-json\/wp\/v2\/categories?post=292"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/gentropy.org\/blogs\/wp-json\/wp\/v2\/tags?post=292"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}