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Walter Thompson Company for $566 million in 1987 and Ogilvy for $864 million in 1989 — big acquisitions that stretched the company’s balancesheet. Strength of productivity program. This means improving productivity at a rate sufficient to put you in at least the top 30% of your industry.
For example, Amazon earned only modest profits from 2004 to 2015, choosing instead to focus on increasing market share and developing new products. Arguments that categorically favour free trade by reasoning that decreases in domestic production are more than offset by increases in consumer surplus overlook this point.
Historical evidence shows that this rarely happens following a balancesheet recession. Productivity growth in advanced economies has been on a declining trend since well before the onset of the financial crisis, and the workforce is already shrinking in several countries as the population ages.
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