ECONOMICS & MACRO MARKET
While Consumer Price Index increased 0.2% in January, the index for all items less food and energy fell 0.1%, indicating that consumers are not willing to spend more money except paying for the necessary living costs amidst high unemployment rates, declining personal wealth due to the drop of home prices, and bearish news ranging from clogged foreclosure homes in supply and upcoming waves of the reset of the rates of accumulated adjustable rate mortgage to sovereign debt compound spirals in countries such as Greece. The anxiety fuel by the negative news sent Consumer Confidence Index from 56.5 in January to 46.0 in February (1985=100). Although signs of economic recovery have been detected here and there, the recovery is vulnerable as long as individuals’ consumption is not on a steady rise. Dow Jones Industry Average closed at 10,325 today. Given the great deal of uncertainty in economic growth, the stock market is likely to be volatile in 2010.
STRATEGY & MARKETING
Windows Phone 7 Spurs Microsoft's Mobile Strategy
Microsoft recently announced the new version of its phone operating system, Windows Phone 7. It’s a sweeping redesign, coupled with an aggressive new partnership with handset makers and mobile carriers. Initial reviews are not only positive but actually excited…
View the article
Is Nexus One's Rocky Start a Product of Google's New Approach?
Initial sales figure of Google’s Next One was not impressive. It was significantly lower than that of iPhone 3GS, Droid, and My Touch 3G. But Nexus One definitively is trying to be a different method of distribution, one done only by Google and directly to end users…
View the article
The Art of Persuasion - Aligning Consumer Goals with Level of Abstraction
Marketing professionals understand the roles of selective exposure, comprehension and retention in marketing communications. They are interested in finding out the most persuasive types of messages. For example, would you be more likely to buy a TiVo if an ad described it as offering you freedom or if it explained how you could replay sports events? Research indicates that the key to an effective message is finding the fit between the consumers’ goals and the level of abstraction…
View the article
INNOVATION IN BUSINESS & TECHNOLOGY
Innovation beyond Apple
Apple’s success in its new product, especially the iPhone, has triggered the “Apple thrill” – executives are increasingly interested in pushing product innovation in an attempt to replicate Apple’s success. However, experts are saying that focusing exclusively on product innovation may be a mistake for most companies and innovation is not only about product…
View the article
Why the Rock Band Network is the Greatest Innovation since Colored Buttons
Rock Band Network, which was announced last year, has just been released in open beta, which means anyone with the gall to hit up their multi-track recorders can begin programming songs into the system by downloading the software. Of course, this all comes at a price, since creating your own songs will technically classify you as a developer you'll have to register at the XNA Creator's Club for $100 a year before you can start running the software…
View the Article
How Google's Ad System Stifles Innovation
The European Commission has launched the first-ever official antitrust inquiry into Google's search and search advertising services. Despite Google's estimated 90 percent share of the European search advertising market, it hasn't necessarily done anything illegal. But its stranglehold may still be a prohibitive barrier to competitors, present and future…
View the article
LEADERSHIP & ORGANIZATION
Overcome Resistance with the Right Questions
You'll need different kinds of questions for different stages in the discussion. Here's a list of six categories of questions for a Socratic Dialogue, compiled by Richard Paul of the Center for Critical Studies: 1) questions that help clarify what the other person means; 2) questions that probe assumptions; 3) questions that look into the rationale, reasons and evidence the other person's using; 4) questions examining viewpoints and perspectives; 5) questions that probe implications and consequences; 6) questions get to the root of the other person's questions…
View the article
Air Marshals Say Service Roiled with Cronyism, Chaos
Despite calls from President Obama to beef up the program designed to provide security aboard U.S. flights, the Federal Air Marshal Service is in disarray, a CNN investigation has found. In more than a dozen interviews across the country, air marshals said the agency is rife with cronyism; age, gender and racial discrimination; and attempts by managers to make the agency appear more efficient than it is by padding numbers. Air marshals describe an agency in chaos, where bored and frustrated marshals focus more on internal squabbles than watching for bad guys. The marshals refused to let their identities be known, for fear of retaliation in an agency that is driven, they say, by intimidation and favoritism…
View the article
Don’t Stand by Me - The Role of Personal Connections in Failing Projects
When business leaders leave organizations following poor decisions, constituents often find comfort in replacing them with insiders — others familiar with the problem and original choices. "Vicarious entrapment," however, may prevent the new leader from making better decisions due to their psychological attachment to previous leaders or previous decisions.
View the article
Friday, February 26, 2010
Monday, February 15, 2010
Critical Insights Vol. 1 Issue 3
STRATEGY & MARKETING
Marketing In a Weak Economy
Experts' views from the Wharton Marketing Conference: 1) recent research shows that 80% to 90% of people are willing to trade off or trade down when it comes to shopping and many of those customers might not bounce back with the economy; 2) trading off and trading down is not happening across the board - the middle range of products has suffered far more than the top-of-the-line items; 3)general consumer pullback masks some interesting dynamics that marketers could benefit from. People are starting to change what they're doing with their time and that's where opportunites emerge. The experts discussed about the issues of high consumer anxiety, threat of private labels, and keeping up with consumers...
View the Article
Targeted Ads in the Works
Marketers have long dreamed of a day when they can stop blasting ads out to the world at large, and instead send TV commercials for Pampers, Chevrolet and Barbie dolls only to those people in the market for diapers, a new car or a child's toy. Comcast Spotlight, the ad-sales unit owned by Comcast Corp., and Starcom MediaVest Group, the media-buying unit of France's Publicis Groupe, have completed a second test of technology that delivers different ads to different households, and they say the ads in both cases have proved to be about one-third more effective in keeping audiences from tuning them out. They also believe the time is drawing nigh for discussions about creating a business model around the new ad format…
View the Article
Top 10 Tools to Measure User Experience
Pragmatic Marketing proposes 10 tools for user experience improvements: 1) heuristics; 2) expert review; 3) web hits/usage; 4) user testing; 5) session analysis; 6) online surveys; 7) A/B and multivariate testing; 8) eye tracking; 9) emotion/trust measurement; 10) neuro-marketing…
View the Article
INNOVATION IN BUSINESS & TECHNOLOGY
In the midst of Recession, People Want Value, Innovation
CEO Thomas Falk did things most executives ran from during the recession: He plunged money into innovation and marketing, and raised prices…
View the Article
Where innovation creates value
Value innovation is defined as delivering exceptional value to the most important customer in the value chain all the time, every time. Unlike other forms of innovation, the most important customer can be internal or external to the organization. Exceptional value can be delivered in many other ways besides a new product or service. It could be a new process, a new way of going to market or business model, a new way of delivering the product or service, new packaging, or new services. Any organization of any size, whether for-profit or not-for-profit, an association, a government agency, a school board and so on can use the value innovation methodology. Support groups within an organization such as IT, finance, purchase and human resource can use these tools to deliver much greater value to the most important customers in their business units…
View the Article
Is This Innovation Too Disruptive for My Firm
One of the trickiest decisions in business is to assess: is this innovation too innovative for my firm? You need to decide whether the core business will embrace the new product or service or reject it. Xerox, which invented the laser printer, Ethernet, and the personal computer, actually rejected the new computer and network — but adopted the laser printer. Why?
View the Article
A Little Chip Designed by Apple Itself
The most notable aspect of Apple's new iPad is the A4, the chip that powers the tablet device and was developed in house. As we first highlighted last week, the A4 chip is the first fruit to come of Apple's 2008 acquisition of P.A. Semi, a low-power chipmaker. Recent upticks in supplier and channel risk have made vertical integration an especially attractive strategic decision for many firms. In periods of increased volatility, a collection of diversified businesses provides executives visibility into currently volatile leading indicators of performance, and this information could lead to smarter capital-allocation decisions…
View the Article
LEADERSHIP & ORGANIZATION
Having Fun with Cutting Up Oxen
A cook was cutting up an ox for Lord Wen-Hui. With each blow of his hand, each hoist of his shoulders, each step of his foot, each thrust of his knee, each hiss of cleaved flesh, each howl of the axe, all were in perfect harmony – rhythmical like the dance of the mulberry groves, simultaneous like the chords of Ching-shou…
View the Article
Why Your Friend Becomes Hostile?
You are a caring person and you love to help people when they face difficulties. Then an unexpected episode happened. A person you have helped wholeheartedly became hostile to you out of the blue, accusing you of being exploitative and manipulative – a conspirator all along. “How could you do that to me? I wish I had found it out earlier” the distressed person says while you are shocked by the attack. How could that happen? A very interesting series of research reported on Science recently shed lights on the weird things like this one…
View the Article
How to Get Along With Frenemies
Here are what you should do: 1) stick to the facts; 2) don't take it personally; 3) talk it out; 4) if you can't talk it out, work it out; 5) while you are working it out, spread it out; 6) if all else fail, relax; 7) rinse and repeat…
View the Article
Marketing In a Weak Economy
Experts' views from the Wharton Marketing Conference: 1) recent research shows that 80% to 90% of people are willing to trade off or trade down when it comes to shopping and many of those customers might not bounce back with the economy; 2) trading off and trading down is not happening across the board - the middle range of products has suffered far more than the top-of-the-line items; 3)general consumer pullback masks some interesting dynamics that marketers could benefit from. People are starting to change what they're doing with their time and that's where opportunites emerge. The experts discussed about the issues of high consumer anxiety, threat of private labels, and keeping up with consumers...
View the Article
Targeted Ads in the Works
Marketers have long dreamed of a day when they can stop blasting ads out to the world at large, and instead send TV commercials for Pampers, Chevrolet and Barbie dolls only to those people in the market for diapers, a new car or a child's toy. Comcast Spotlight, the ad-sales unit owned by Comcast Corp., and Starcom MediaVest Group, the media-buying unit of France's Publicis Groupe, have completed a second test of technology that delivers different ads to different households, and they say the ads in both cases have proved to be about one-third more effective in keeping audiences from tuning them out. They also believe the time is drawing nigh for discussions about creating a business model around the new ad format…
View the Article
Top 10 Tools to Measure User Experience
Pragmatic Marketing proposes 10 tools for user experience improvements: 1) heuristics; 2) expert review; 3) web hits/usage; 4) user testing; 5) session analysis; 6) online surveys; 7) A/B and multivariate testing; 8) eye tracking; 9) emotion/trust measurement; 10) neuro-marketing…
View the Article
INNOVATION IN BUSINESS & TECHNOLOGY
In the midst of Recession, People Want Value, Innovation
CEO Thomas Falk did things most executives ran from during the recession: He plunged money into innovation and marketing, and raised prices…
View the Article
Where innovation creates value
Value innovation is defined as delivering exceptional value to the most important customer in the value chain all the time, every time. Unlike other forms of innovation, the most important customer can be internal or external to the organization. Exceptional value can be delivered in many other ways besides a new product or service. It could be a new process, a new way of going to market or business model, a new way of delivering the product or service, new packaging, or new services. Any organization of any size, whether for-profit or not-for-profit, an association, a government agency, a school board and so on can use the value innovation methodology. Support groups within an organization such as IT, finance, purchase and human resource can use these tools to deliver much greater value to the most important customers in their business units…
View the Article
Is This Innovation Too Disruptive for My Firm
One of the trickiest decisions in business is to assess: is this innovation too innovative for my firm? You need to decide whether the core business will embrace the new product or service or reject it. Xerox, which invented the laser printer, Ethernet, and the personal computer, actually rejected the new computer and network — but adopted the laser printer. Why?
View the Article
A Little Chip Designed by Apple Itself
The most notable aspect of Apple's new iPad is the A4, the chip that powers the tablet device and was developed in house. As we first highlighted last week, the A4 chip is the first fruit to come of Apple's 2008 acquisition of P.A. Semi, a low-power chipmaker. Recent upticks in supplier and channel risk have made vertical integration an especially attractive strategic decision for many firms. In periods of increased volatility, a collection of diversified businesses provides executives visibility into currently volatile leading indicators of performance, and this information could lead to smarter capital-allocation decisions…
View the Article
LEADERSHIP & ORGANIZATION
Having Fun with Cutting Up Oxen
A cook was cutting up an ox for Lord Wen-Hui. With each blow of his hand, each hoist of his shoulders, each step of his foot, each thrust of his knee, each hiss of cleaved flesh, each howl of the axe, all were in perfect harmony – rhythmical like the dance of the mulberry groves, simultaneous like the chords of Ching-shou…
View the Article
Why Your Friend Becomes Hostile?
You are a caring person and you love to help people when they face difficulties. Then an unexpected episode happened. A person you have helped wholeheartedly became hostile to you out of the blue, accusing you of being exploitative and manipulative – a conspirator all along. “How could you do that to me? I wish I had found it out earlier” the distressed person says while you are shocked by the attack. How could that happen? A very interesting series of research reported on Science recently shed lights on the weird things like this one…
View the Article
How to Get Along With Frenemies
Here are what you should do: 1) stick to the facts; 2) don't take it personally; 3) talk it out; 4) if you can't talk it out, work it out; 5) while you are working it out, spread it out; 6) if all else fail, relax; 7) rinse and repeat…
View the Article
Subscribe to:
Posts (Atom)
