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Creating value: An interactive tutorial

In this video presentation, McKinsey partner Tim Koller explores the four guiding principles of corporate finance that all executives can use to home in on value creation when they make strategic decisions.

If investors and managers should have learned anything from the turbulence both in markets and in the real economy in recent years, it’s that there is no substitute for real value creation. Financial engineering, excessive leverage, the idea during inflated boom times that somehow the old rules of economics no longer apply—these are the misconceptions upon which the value of companies are eroded and entire economies become inefficient. Conversely, real value creation builds stronger companies, economies, and societies.

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