Charles Koch believes Koch Industries could not have achieved its success as a public company because its principle-based, capability-bounded strategy would be misunderstood by public market analysts.

Charles Koch stated that Insightec, a company in the Koch Disruptive Technologies portfolio, has a business structure that makes it difficult to be profitable despite its technological achievements.

Koch Industries' core strategy is to be 'capability bounded, not industry bounded,' focusing on leveraging core competencies into new industries.