The Fortune 100 is a highly regarded list that features the top 100 companies in the United States based on their total revenues, serving as a subset of the broader Fortune 500 list. Published annually by Fortune magazine, the Fortune 500 has ranked the largest U.S. public and privately held companies since 1955. The elite status of the Fortune 100 is not just limited to their financial success; it showcases the companies that significantly impact the U.S. economy and global markets.
Understanding the Fortune 100
Fortune published its inaugural Fortune 500 list in 1955, establishing a benchmark by which the largest U.S. corporations could gauge their performance in terms of revenue. The Fortune 100, while often referenced, is considered an unofficial classification within this esteemed list, highlighting the top 100 companies in order of revenue.
Key Features of the Fortune 100
- Annual Revenue Ranking: Companies are ranked based on their reported gross revenues for their fiscal year, which is submitted to governmental agencies.
- Diverse Industries: The list has seen a transition over the decades, particularly since 1994 when it began including service-based companies, thus expanding the breadth of industries represented.
- Industry Dominance: In recent years, technology, energy, and healthcare sectors have increasingly dominated the top positions.
Historical Context
When the Fortune 500 debuted, General Motors claimed the top spot with revenues exceeding $9.82 billion, a position it held for over three decades. Other prominent companies at the time included Exxon Mobil and U.S. Steel. The evolution of the Fortune 500 reflects broader economic trends and shifts in consumer behavior.
For example, the tech industry has emerged as a powerhouse in recent years, with Amazon and Apple ranking consistently in the top 10. This trend underscores the shift towards digital and service-based economies where technology plays a pivotal role.
Requirements for Inclusion
To qualify for the Fortune 100, companies must meet certain basic criteria: - They must be publicly or privately held entities that file financial statements with the government. - Companies should be incorporated and operational within the United States. - Traditionally, the focus was primarily on manufacturing, mining, and energy sectors. However, the shift in 1994 allowed higher-revenue service companies to take their place among the top ranks.
This transformation has led to an uptick in the revenue thresholds necessary to join the ranks of the Fortune 100, making it increasingly competitive.
The 2023 Fortune 100: Top 10 Companies
For the year 2023, the Fortune 100 list highlights the following companies: 1. Walmart 2. Amazon 3. Exxon Mobil 4. Apple 5. UnitedHealth Group 6. CVS Health 7. Berkshire Hathaway 8. Alphabet (Google) 9. McKesson 10. Chevron
These companies represent a mix of retail, technology, healthcare, and energy sectors, demonstrating the diverse landscape of American business.
Difference Between Fortune 100 and Fortune 100 Best Companies to Work For
It’s important to distinguish between the Fortune 100 and the Fortune 100 Best Companies to Work For. The latter is evaluated based on employee surveys focusing on company culture, employee satisfaction, and workplace initiatives, rather than solely financial metrics. To be eligible for the best companies list, organizations must have at least 1,000 employees and cannot include government entities.
Conclusion
The Fortune 100 is a prestigious ranking that highlights the largest U.S. companies based on annual revenue, representing the pinnacle of business success. It serves not only as an indicator of financial success but also provides insights into industry trends and corporate evolution. Achieving a position on the Fortune 100 list is a significant milestone for any company, signaling growth, robustness, and economic impact within the competitive American marketplace.