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A company lasts just 11 years on average on the S&P 500 now. Companies are surviving for shorter time periods now then they used to.
by eloff 7y ago
A company lasts just 11 years on average on the S&P 500 now. Companies are surviving for shorter time periods now then they used to.
- azernik 7y agoLike with pre-modern human lifespans, there's a VERY long tail on that number.
- vonmoltke 7y agoFirst off, what is your source for that average? This report (https://www.innosight.com/insight/creative-destruction/ https://www.innosight.com/insight/creative-destruction/) has a much higher average, and forecasts a fall to 12 years by 2027. Second, that's average time in the S&P 500 index. As noted and n the report, there are many reasons besides going under that companies drop off the index. That number doesn't really say much about longevity of the company.