The Daily Stat: Weakening Firms Focus on Cuts, Not New Products

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Are you having trouble viewing this email? If so, click here to see it in a web browser. HOME   |   BLOGS   |   THE MAGAZINE   |   BOOKS   |   AUTHORS   |   STORE RSS   |   Mobile MARCH 29, 2010 Weakening Firms Focus on Cuts, Not New Products Few companies that expect profits to decline this year seem to be planning to remedy the situation by introducing new products or services, according to a McKinsey executive survey. Those weakened companies appear to be focusing more on cutting operating costs. The good news is that most executives see a brighter year ahead: Some 74% of the respondents say they expect their companies' profits to rise over the next 12 months, up from 46% in December 2009. Source: Economic Conditions Snapshot, February 2010: McKinsey Global Survey results Copyright © 2010 McKinsey & Company. All rights reserved. Reprinted by permission. Share Today's Stat: RELATED PRODUCT Cutting Costs Without Drawing Blood Harvard Business Review Article When looking for ways to cut costs, most managers reach for the head-count hatchet, and the markets usually roar with approval. But a company can almost always create far more sustainable value by rigorously evaluating the small-ticket capital items that often get rubber-stamped. ADVERTISEMENT Follow the Stat: BEST SELLERS 10 Must-Read Articles from HBR Guide to Better Business Writing HBR 2009: A Year of Management Ideas HBR's Must-Reads on Managing Yourself How to Get the Right Work Done PREVIOUS STATS Little Rest for the Weary Vietnamese Business Owner Gender Parity: Not a Corporate Priority Nike Goes to Court to Fight Cybersquatting Most Doctors Admit to Practicing Defensive Medicine Mergers Market Seems Poised to Accelerate All-Day Snacking Starts Very Young A Dramatic Decline for Leveraged Buyouts Being Green: The Power of Strong Winds Real Health Costs About the Same as Car Ownership To Improve Business in the Developing World, Educate Women HBR Online Trial Access HBR's in-depth business archives FREE for 14 days. Register today » UNSUBSCRIBE   |   UPDATE YOUR PROFILE   |   MORE EMAIL NEWSLETTERS   |   PRIVACY POLICY Was this email forwarded to you? If so, sign up to start receiving your own copy. ABOUT THIS MAILING LIST You have received this message because you subscribed to the "The Daily Stat" email newsletter from Harvard Business Review. If at any point you wish to remove yourself from this list, change your email address, or sign up for other email newsletters and alerts, please visit the Harvard Business Review Email Newsletter Preference Center. ADVERTISE WITH HBR This enewsletter is read by thousands of decision makers every day. Learn more about connecting your brand with this audience. Copyright © 2010 Harvard Business School Publishing, an affiliate of Harvard Business School. All rights reserved. Harvard Business Publishing | 60 Harvard Way | Boston, MA 02163 Customer Service: 1-800-545-7685 (617-783-7600 outside the U.S. and Canada)