Is it meaningful to say that some companies are growing exponentially when the markets they take part in are growing exponentially? https://ourworldindata.org/grapher/world-gdp-over-the-last-two-millennia?time=1913..2015
After a quick Google, Microsoft was $500bn market cap in it’s 2000 peak and now is about $1tn, but world GDP has almost doubled in that time also (60tn → 110tn).
Great point.
I think it makes sense:
Revenues of the Fortune 500 increased from 58% to 73% of US GDP
Bigger, Fortune 100, corps grew even faster: from 33% to 46% of GDP. Their share of Fortune 500 revenues increased from 57% to 63%
That means that the larger the corporation the larger its growth.
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Is it meaningful to say that some companies are growing exponentially when the markets they take part in are growing exponentially? https://ourworldindata.org/grapher/world-gdp-over-the-last-two-millennia?time=1913..2015
After a quick Google, Microsoft was $500bn market cap in it’s 2000 peak and now is about $1tn, but world GDP has almost doubled in that time also (60tn → 110tn).
Great point.
I think it makes sense:
Revenues of the Fortune 500 increased from 58% to 73% of US GDP
Bigger, Fortune 100, corps grew even faster: from 33% to 46% of GDP. Their share of Fortune 500 revenues increased from 57% to 63%
That means that the larger the corporation the larger its growth.