“ Balancing the short versus the long term is the biggest challenge we have. How do you balance the trade-off between the short-term compensation lift from near-term performance and the investments—and therefore the depressed economics, short term—that make the long-term strategies pay off?
Comments (View)
—
One response deeper in the article is to build capacity in the plan and then reinvest in areas that will be longer-term growth areas. A business then has a portfolio of three areas: emerging opps/initiatives, mature/current businesses, and investments that help generate required cash flow
My take is that, from a marketing perspective, the risks and level of investment are so low in trying out new tactics that this level of caution and concern about balancing near v. long term profitability is bascially moot.
(That is to say, I’m not talking about risking the entire business on a new product or service, just how the company interfaces with new and current customers)
