Value Creation != Value Capture

One thing I wish I understood earlier in my career is that value creation is not the same as value capture. You might create a lot of value (say, by growing a lot of berries on your farm) but you might not receive much of the profits (i.e. you can’t capture the value you’ve created). This is largely due to industry structure (see Michael Porter’s body of work) dictating where profits flow....

January 11, 2023 · 1 min · 151 words · Matt