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.
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.