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  • 2020
  • Working Paper

Transaction Cost Economics in the Digital Economy: A Research Agenda

By: Frank Nagle, Robert Seamans and Steve Tadelis
Transaction Cost Economics (TCE) theory has played an important role in understanding when it is more efficient for a transaction between two parties to occur within the market or within an organization. However, as more transactions occur in a digitally-mediated... View Details
Keywords: Transaction Cost Economics; Digital Economy; Economics; Cost; Markets; Research; Digital Transformation
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Nagle, Frank, Robert Seamans, and Steve Tadelis. "Transaction Cost Economics in the Digital Economy: A Research Agenda." Harvard Business School Working Paper, No. 21-009, July 2020.
  • 2021
  • Working Paper

The Health Costs of Cost-Sharing

By: Amitabh Chandra, Evan Flack and Ziad Obermeyer
We use the design of Medicare’s prescription drug benefit program to demonstrate three facts about the health consequences of cost-sharing. First, we show that an as-if-random increase of 33.6% in out-of-pocket price (11.0 percentage points (p.p.) change in... View Details
Keywords: Cost-sharing; Impact; Health Care and Treatment; Insurance; Health; Consumer Behavior
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Chandra, Amitabh, Evan Flack, and Ziad Obermeyer. "The Health Costs of Cost-Sharing." NBER Working Paper Series, No. 28439, February 2021.
  • 07 Oct 2014
  • Working Paper Summaries

Lifting the Veil: The Benefits of Cost Transparency

Keywords: by Bhavya Mohan, Ryan W. Buell & Leslie K. John; Retail
  • 14 Oct 2011
  • Working Paper Summaries

The Cost of Capital for Alternative Investments

Keywords: by Jakub W. Jurek & Erik Stafford
  • December 2013
  • Article

Measuring the Value of Process Improvement Initiatives in a Preoperative Assessment Center using Time-driven Activity-based Costing

By: Katy E. French, Heidi W. Albright, John C. Frenzel, James R. Incalcaterra, Augustin C. Rubio, Jessica F. Jones and Thomas W. Feeley
Background: The value and impact of process improvement initiatives are difficult to quantify. We describe the use of time-driven activity-based costing(TDABC)in a clinical setting to quantify the value of process improvements in terms of cost, time and personnel... View Details
Keywords: Quality Improvement; Value Agenda; Time-Driven Activity-Based Costing; Accounting; Health; Measurement and Metrics; Value; Health Industry; North and Central America
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French, Katy E., Heidi W. Albright, John C. Frenzel, James R. Incalcaterra, Augustin C. Rubio, Jessica F. Jones, and Thomas W. Feeley. "Measuring the Value of Process Improvement Initiatives in a Preoperative Assessment Center using Time-driven Activity-based Costing." Healthcare: The Journal of Delivery Science and Innovation 1, nos. 3-4 (December 2013): 136–142.
  • May 2024 (Revised February 2025)
  • Teaching Note

Cost of Capital at DraftKings

By: Malcolm Baker and Sebastian Hillenbrand
Teaching Note for HBS Case No. 224-007. View Details
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Baker, Malcolm, and Sebastian Hillenbrand. "Cost of Capital at DraftKings." Harvard Business School Teaching Note 224-081, May 2024. (Revised February 2025.)
  • October 2012
  • Case

Winfield Refuse Management, Inc.: Raising Debt vs. Equity

By: W. Carl Kester and Sunru Yong
A small, publicly traded company specializing in non-hazardous waste management considers a major acquisition in the Midwestern U.S. The acquisition can provide entry into the region, help the firm compete in a competitive industry, and improve its cost position. The... View Details
Keywords: United States; Acquisitions; Capital Structure; Equity Capital; Debt Management; Expansion; Leveraged Buyouts; Financial Analysis; Administrative/Support/Waste Management/Remediation Services; Equity; Borrowing and Debt; Service Industry
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Kester, W. Carl, and Sunru Yong. "Winfield Refuse Management, Inc.: Raising Debt vs. Equity." Harvard Business School Brief Case 913-530, October 2012.
  • June 2018
  • Article

Cost of Experimentation and the Evolution of Venture Capital

By: Michael Ewens, Ramana Nanda and Matthew Rhodes-Kropf
We study how technological shocks to the cost of starting new businesses have led the venture capital model to adapt in fundamental ways over the prior decade. We both document and provide a framework to understand the changes in the investment strategy of VCs in... View Details
Keywords: Innovation; Investing; Abandonment Option; Technological Innovation; Venture Capital; Investment
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Ewens, Michael, Ramana Nanda, and Matthew Rhodes-Kropf. "Cost of Experimentation and the Evolution of Venture Capital." Journal of Financial Economics 128, no. 3 (June 2018): 422–442.
  • 2017
  • Working Paper

Cost of Experimentation and the Evolution of Venture Capital

By: Michael Ewens, Ramana Nanda and Matthew Rhodes-Kropf
We study how technological shocks to the cost of starting new businesses have led the venture capital model to adapt in fundamental ways over the prior decade. We both document and provide a framework to understand the changes in the investment strategy of VCs in... View Details
Keywords: Innovation; Investing; Abandonment Option; Technological Innovation; Venture Capital; Entrepreneurship; Investment
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Ewens, Michael, Ramana Nanda, and Matthew Rhodes-Kropf. "Cost of Experimentation and the Evolution of Venture Capital." Harvard Business School Working Paper, No. 15-070, February 2015. (Revised March 2017, Forthcoming in the Journal of Financial Economics.)
  • Research Summary

Cost Management Systems

By: Robert S. Kaplan
Robert S. Kaplan continues to explore the design and use of activity-based cost management systems for manufacturing and service companies. His most recent work, done collaboratively with Professor Michael E. Porter, applies time-driven activity-based costing (TDABC)... View Details
  • October 2004
  • Case

Costing Alternative Choices

By: David F. Hawkins and Jacob Cohen
Discusses the role of differential cost and revenues in solving alternative choice problems. View Details
Keywords: Cost Accounting; Revenue
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Hawkins, David F., and Jacob Cohen. "Costing Alternative Choices." Harvard Business School Case 105-035, October 2004.
  • 2006
  • Article

Capital Budgeting: The Role of Cost Allocations

By: Ian D. Gow and Stefan Reichelstein
A common issue for firms is how to allocate capital resources to various investment alternatives. An extensive and long-standing literature in finance has examined various aspects of capital budgeting, including capital constraints, the determination of discount rates,... View Details
Keywords: Capital Budgeting; Resource Allocation; Performance Evaluation; Cost Management; Research; Investment; Cash Flow; Risk Management; Performance Capacity
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Gow, Ian D., and Stefan Reichelstein. "Capital Budgeting: The Role of Cost Allocations." Operations Research Proceedings (2006): 115–122.
  • June 2021
  • Article

Symmetric Ignorance: The Cost of Anonymous Lemons

By: Amar Bhidé
Rules that restrict information required in negotiated private transactions have spurred a vast increase in the scope of anonymous financial markets, particularly in the United States. The subtle costs of the information‐restricting rules raise questions about the... View Details
Keywords: Information Asymmetry; Liquidity; Regulation; Securities Markets; Securitization; Information; Financial Liquidity; Financial Markets; Governing Rules, Regulations, and Reforms
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Bhidé, Amar. "Symmetric Ignorance: The Cost of Anonymous Lemons." European Financial Management 27, no. 3 (June 2021): 414–425.
  • October 2016 (Revised March 2022)
  • Background Note

Cost Variance Analysis

By: Robert S. Kaplan and Susanna Gallani
This note was written to provide students with fundamental concepts and methods for the analysis of cost variances. It focuses on the decomposition of cost variances into price, quantity, and mix variance components, an approach that allows students to identify the... View Details
Keywords: Cost Accounting
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Kaplan, Robert S., and Susanna Gallani. "Cost Variance Analysis." Harvard Business School Background Note 117-006, October 2016. (Revised March 2022.)
  • May 1991
  • Background Note

Interpretation and Analysis of Stockholders' Equity

By: David F. Hawkins
Keywords: Equity; Stocks
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Hawkins, David F. "Interpretation and Analysis of Stockholders' Equity." Harvard Business School Background Note 191-143, May 1991.
  • July 1978
  • Article

On the Cost of Deposit Insurance When There Are Surveillance Costs

By: Robert C. Merton
Keywords: Cost; Insurance; Banking Industry
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Merton, Robert C. "On the Cost of Deposit Insurance When There Are Surveillance Costs." Journal of Business 51, no. 3 (July 1978): 439–452. (Chapter 20 in Continuous-Time Finance.)
  • February 1998 (Revised March 1998)
  • Case

Marriott Corporation: The Cost of Capital

By: Richard S. Ruback
Presents recommendations for hurdle rates of Marriott's divisions to select by discounting appropriate cash flows by the appropriate hurdle rate for each division. View Details
Keywords: Cost of Capital; Asset Pricing
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Ruback, Richard S. "Marriott Corporation: The Cost of Capital." Harvard Business School Case 298-101, February 1998. (Revised March 1998.)
  • 19 May 2011
  • Research & Ideas

Empathy: The Brand Equity of Retail

agreed, sharing the story of a woman whose luggage was lost on the eve of her husband's funeral. Staff at a local Nordstrom store responded by staying open so she could purchase a few outfits, and her family... View Details
Keywords: by Carmen Nobel; Health
  • January 1988
  • Background Note

Costs of Capital Investment Proposals

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Hertenstein, Julie H. "Costs of Capital Investment Proposals." Harvard Business School Background Note 188-060, January 1988.
  • 16 Nov 2011
  • Working Paper Summaries

Private Equity and Employment

Keywords: by Steven J. Davis, John C. Haltiwanger, Ron S. Jarmin, Josh Lerner & Javier Miranda
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